Software Outsourcing: The Difference Between Onshore, Offshore & Nearshore

Oftware development outsourcing can be described as being onshore, offshore, or nearshore -- but what’s the real difference?

It’s all about the distance from the hiring company. For example, if your company is located in Western Europe, it would be considered “nearshore” to hire a developer team in Eastern Europe while a team in Asia, Latin America or the US would be offshore. If your company is located in the US, and you hire a developer team in the US, that’s considered “onshore”.

Nearshore and Offshore Saves 40% for US Firms

When compared to US salaries, offshore and nearshore typically provide the best hourly rates which makes them the most cost efficient.

By eliminating employee overhead costs, you’ll decrease your fully-burdened cost of employee benefits, taxes, paid time off, company perks, training and retention, and gain flexibility around growing (and shrinking) team.

View Savvycomsoftware.com for more sources.

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