By nature, a freelancer is a temporary worker who offers a service to companies and other individuals. They are self-employed, tied to a client only through a written or verbal agreement that may or may not be legally recognized.
It’s essentially a managed service. On paper, an offshore hire is the hiring company’s employee but functionally, they’re part of your team. You give them regular tasks and involve them in projects that your local employees are also working on, but it’s the hiring partner who’s concerned with their HR, benefits, healthcare, and compliance needs.
It’s evolving into a preferred option for companies who need a dedicated resource primed to stay with them for the long haul.
Drawback: Compared specifically to a freelancer, an offshore hire would require longer term contracts, but depending on your needs this might be an advantage.. Side by side with an in-house model, offshore saves you about ⅔ of the cost of direct local employment while yielding more benefits.
Which gives you better returns? The answer is rarely black-and-white, but understanding the key differences between the two can help you make the right decision for your business. If you determine that an offshore software team is what you need, your first step should be to find a partner who can get you the best talent.
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