7 Reasons Why IT Startups Should Choose Offshore Development Center (ODC) Model

4 min readDec 21, 2022


Reasons IT Startups Can Benefit from the Offshore Development Center (ODC) Model

Hiring an offshore development center is currently the best choice as it brings several valued benefits for all sizes of companies, especially SMEs and startups. The global outsourcing trends have helped many startups get greater visibility and predictability. Also, software development service providers are gradually moving from their in-house development teams to offshore development centers.

So, what is an Offshore development center? An ODC is a software development center in a country where the standard living cost is lower and has a big pool of highly competent & affordable software resources as compared to where the organization’s headquarters are located. For instance, remote programmers’ salaries in Asia and Eastern Europe are much lower than in the USA and Western European countries.

The offshore development centers provide expertise from skilled programmers to designers, project managers, solution architects, and more. According to a report, the global business process outsourcing market was valued at $261.9 billion in 2022 and is anticipated to reach 525.2 billion at a CAGR of 9.1% for the forecast period (2022–2030).

7 Reasons IT Startups Should Choose Offshore Development Center Model

Why hire offshore mobile app developers is among the most common FAQs. As aforementioned, outsourcing your project requirements comes with lots of benefits. For instance, flexibility and scaling your business to new regions. Also, if you do not have much experience in development process management, you can get support from experienced people in management to expedite the overall development process. Here are seven offshore software development benefits every startup must know:

Cost reduction

Cost reduction is the primary benefit of an offshore development model. An ODC benefits a startup by cutting down significant infrastructure, maintenance, hiring, training, and recruiting costs. Additionally, when you build software for less, you can sell it for less giving you both a cost and competitive edge.

The best talent on board

The offshore development centers give you access to a pool of talent worldwide. Working with a remote team compared to an in-house team allows you to be selective while choosing expertise on board. You can choose depending on their tech stack expertise or their capabilities for lone projects. With (ODC) offshore development center, you can explore a variety of talents equipped with the latest technology and trends necessary to meet international standards and the quality of products. Moreover, if you efficiently manage the remote teams, you can significantly increase the ODC teams’ productivity.

Market expansion

(ODC) offshore development center allows you to tap into new markets as ODCs are generally placed in overseas countries. By understanding the needs of the new customers or the market, you can increase the reputation and sales volume. Also, you can localize your products to meet customers’ demands in that specific market.

24/7 dedicated support

24/7 dedicated support is among the best benefits of offshore outsourcing. Continuous day and night work are possible as there’s a disparity between the timezone allowing your and offshore teams to work efficiently. Additionally, the work can be completed sooner with the help of offshore construction activities. The time gap between offshore and your team will overlap for some hours; this is where you can address the problems that arose at the end of your business day.

Access to established infrastructure

No wonder starting a startup requires a fully-fledged IT department capable of managing and implementing complex software systems and applications. However, with an offshore development center, you can access established infrastructure. When we talk about infrastructure, it’s not just hardware and physical equipment. Instead, it includes virtual tools, processes, and methodologies honed over a while. A functional (ODC) offshore development center will have all the infrastructure necessary for your project development.

Easy to manage and scale

When you work with offshore development centers, they take care of everything, from managing resources to the overall development process. Collaboration with ODC is easy to manage as you no longer have to check arrival time or their output after they log out. The responsible people at offshore development centers will send you simple reports that you can use to scale the team’s strength.

On-time delivery

On-time or faster delivery is another advantage of outsourcing your development product. All you need to do is convey your timelines to your offshore development centers, and they will develop milestones to deliver your product on time. Offshore development centers provide a dedicated team of qualified teams working around the clock to guarantee on-time delivery.


Hope you liked the information shared above regarding what is an ODC and the popular offshore development center model startups must look for. There are both pros and cons of offshore outsourcing. Some cons include language barriers, timezone differences, and cultural differences. However, the proper management software can easily overcome these cons. So, suppose you are planning to introduce a new software product in the market. You can surely go for offshore web development or complete software design and development services to get unique, guaranteed results.

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