How to Outsource App Development the Right Way
Outsourcing app development can be a great way to build an app on a budget. But it also comes with risks if not done properly. In this comprehensive guide, I’ll walk you through how to successfully outsource your app development and avoid common pitfalls.
Why Outsource App Development?
Here are the main reasons companies choose to outsource app development:
Cost Savings
App development agencies in regions like Eastern Europe and India offer high-quality work at a fraction of what you’d pay in places like the US. You can get an app built for as little as $25,000-$50,000 versus $150,000-$500,000.
Access to Specialized Talent
Certain regions have excellent app developers that you can’t easily find or afford locally. Outsourcing lets you tap into global talent pools.
Faster Development
Outsourced teams can scale up and down quicker. They also focus solely on building so you get apps done faster.
Focus on Core Business
Outsourcing app dev lets you stay focused on your core business activities rather than trying to build an internal dev team.
Risks of Outsourcing App Development
While outsourcing can save money and time, there are also risks to look out for:
- Poor communication and coordination
- Unmet expectations around quality and features
- Intellectual property theft
- Hidden costs that offset savings
- Timezone differences make collaboration difficult
The key is finding the right partner and having rock-solid processes to mitigate these risks.
How to Choose an Outsourcing Company
Choosing the right app dev partner is critical. Here are key factors to evaluate:
Portfolio and Reviews
Look at the quality of past apps built and client reviews. This reflects their capabilities.
Design and UX Capabilities
Beyond coding skills, ensure they have strong visual design and UX abilities. This hugely impacts app success.
Communication and Collaboration
Evaluate how well you can communicate and sync work with them before committing.
Tech Stack Experience
Ensure they have depth in your required platform – iOS, Android, cross-platform frameworks, etc.
Transparency and Responsiveness
Gauge responsiveness in initial interactions. See if they provide transparent pricing and project plans.
Size and Scaling Ability
Assess team size and ability to scale up if needed. Solo devs can be risky for larger projects.
Security and Compliance
Review their security protocols. See if they comply with regulations like GDPR if needed.
Experience with Agile Methods
Agile development vastly improves collaboration. Ensure they use agile frameworks.
Defining Project Requirements
The requirements document is your blueprint for outsourced app development. Be as thorough as possible on:
Business Context
- Business goals and target users
- Key user flows and app features
- Monetization strategy
Functional Requirements
- Detailed specs on all app screens and functionality
- API integrations needed
Non-functional Requirements
- UX and design requirements
- Tech stack preferences
- Security needs
- Scalability expectations
- Performance metrics (load times, etc)
Project Details
- Project Timeline
- Milestones and payment schedule
- Acceptance criteria
Having meticulous requirements prevents mismatched expectations and confusion down the line.
Creating an Effective Collaboration Process
Smooth collaboration is essential to successful outsourced development. Be sure to:
Schedule Regular Sync-ups
Set recurring video calls – daily/weekly based on project complexity. This gives regular face time.
Use Project Management Tools
Tools like Jira, Asana, Trello, etc. provide transparency on who is doing what by when.
Get Progress Demos
Have the team provide regular demos of the latest app builds for review and feedback.
Assign an Internal PM
Have a dedicated PM on your end to coordinate with the outsourced team.
Document Everything
Keep all discussions, requirements, etc. documented in a shared repository like Notion or Confluence.
Securing Your Intellectual Property
When outsourcing development overseas, you must take steps to protect your IP:
- Sign an NDA – Have team members sign a non-disclosure agreement.
- Background checks – Screen team members for any red flags.
- Code repository access – Limit code access only to members working on your project.
- Code audits – Do occasional codebase audits to check for unauthorized leaks.
- App licensing – Register your app IP and trademarks in your home country.
- Legal recourse – Ensure your contract allows legal recourse for IP theft.
Managing Risks and Hidden Costs
While outsourcing seems cheaper upfront, additional costs can creep up:
- Factor in management overhead for your internal PM.
- Bug fixing and unexpected complexity can increase costs.
- Poor code quality may require rework downstream.
- Security audits, licensing fees, etc. also add costs.
Carefully evaluate total costs and have a contingency budget to avoid sticker shock. Also, set realistic milestones tied to payment to ensure timely progress.
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Key Takeaways
Outsourcing app development can be done successfully by:
- Thoroughly vetting potential partners
- Creating detailed requirements documentation
- Establishing effective collaboration practices
- Protecting your IP with security measures
- Managing risks with contingencies and milestone-based payments
While challenging, outsourcing allows startups and SMBs to punch above their weight by tapping into global talent pools and accelerated timelines. With diligence, it can be done effectively.
