For many entrepreneurs, outsourcing certain tasks and projects is a very cost-effective practice that can save them a lot of money compared to hiring a big team of full-time employees. When it comes to working with freelancers, you only need to pay them for the hours they work and you don’t need to provide them with any other perks, such as pensions and paid holidays. So, lots of startup owners depend on freelancers while they are in the early stages of their company. After a few years, once they have enough money to support the company’s growth, they then transition to full-time employees.
However, don’t be fooled into thinking that outsourcing is an easy process. There are actually a lot of pitfalls that business owners can fall into. To ensure outsourcing is a success for your company, here are some common mistakes that you need to try to avoid.
Going With The First Contractor You Find
When it comes to finding a contractor to work with, you shouldn’t always go with the first one that you find. There are hundreds of freelancers out there, so it will pay off to spend some time shopping around to try to find the person who has the best set of skills and experience for your project. So, if you are looking for an IT firm for their computer support services, it’s always best to check out a few companies’ websites and portfolios. Be sure to also ask for quotes too, so that you can figure out who you can afford.
Not Writing Up A Contract
It’s also essential that you write up a contract when working with a freelancer. Without this, you could run into a myriad of disputes and agreements. The contract will outline the scope of the work and what is expected from both you and the freelancer. That way, if any disputes do arise, you can always refer back to the contract to solve them. Plus, the contract should detail the payment that the contractor will reveal. If things get out of hand and you end up going to court against the freelancer, the contract will be used as evidence.
Leaving Freelancers To It
Even though the majority of freelancers work remotely, that isn’t an excuse for you to leave them to it once you’ve handed over their work to them. It’s always a good idea to check in on them so that you can see how their progress is. Make sure that you always respond to their emails as well, especially if they have any questions or run into any issues.
Not Paying On Time
Generally speaking, most freelancers will have thirty-day payment terms, meaning you have a month to pay them. It’s always a good idea to pay them on time, as late payment could tarnish your relationship with them and they might not want to work with you any longer. So, always adhere to their invoice’s terms.
Hopefully, you don’t make any of these outsourcing mistakes in the future!