Hiring Tips for Startups: Developers on a Budget

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August 18, 2023
Productivity


One of the biggest challenges for startup tech businesses is the cost of hiring software developers. In-house developers are expensive to employ and often not as skilled as one might wish.

If your company is spending so much money on in-house developers, the solution is to hire an offshore developer. Here at Cloud Employee, we’ve seen immense improvement in our client’s operations in terms of workforce efficiency. This is all thanks to our professional offshore developers in the Philippines.

In this article, we will share some tips for hiring developers even when you don’t have much to offer as a startup business.

What is Offshore Software Development?

A simple way to describe offshore software development is "outsourcing." When you hire an offshore software developer, you're outsourcing aspects of your project to an expert.

While the standard practice is to outsource some aspects of your project, it's possible to equally outsource the entire project and delegate tasks to external developers. For this reason, it's probably safer to hire a development agency rather than a freelancer.

Offshore developers are typically from foreign countries. This is because it's sometimes more affordable to hire a foreign developer than it is to hire a local. Hence why many offshore software developers are often from countries with low costs of living, so their hourly rates are more affordable for startups.

Pros and Cons of Offshore Software Development

We have already mentioned one of the pros of offshore development, which is that it’s affordable. Another advantage is that you have access to some of the most skilled developers in the world. Don’t be fooled by the affordable rates; many offshore developers produce high-quality work that can rival the work of any "bigshot" software agency.

Additionally, offshore developers are often skilled in one or two specific areas. This allows them to be more focused and efficient in their work. It saves you the cost of setting up office space, buying equipment, and keeping the office running.

Now onto the cons of offshore software development. Sometimes, it's not so easy to establish and maintain clear lines of communication with offshore developers. For instance, different time zones and internet bandwidths are real problems that business owners have to deal with.

These challenges can slow work down and lead to missed deadlines. There's also the issue of cultural gaps. For instance, different cultures may have varying thoughts on what a good work ethic is. Social matters like gender issues, tradition, and religion may even cause problems if they are not dealt with properly.

Finally, data security is a risk that comes with using offshore developers. Even with all the necessary checks, it’s still possible to fall into the hands of fraudsters and hackers. So, make sure you protect any sensitive company data before you bring an offshore developer on board.

Tips for Hiring Developers:

1. Decide what your business really needs.

  • What are your business goals?

Before you hire an offshore software developer, you first need to determine what it is that you want, or better yet, what your business needs. Further, identify your growth targets, the results you expect, strategies to be used, and the type of project you're outsourcing. You should also be clear about your company's values and share them with your candidates.

  • What are the quality standards you expect?

One of the risks of working with offshore developers is low quality work. To avoid this, first, decide what standards of quality you expect from workers and then document them. From the get-go, everyone on the team should be fully aware that there is a standard to meet.

2. Create a culture of continuous recruitment

  • Have a rolling recruitment system.

It's crucial for startup businesses to be on the hunt for new talent and additions to the team. Most business owners will testify that they've been in positions where they needed someone to immediately fill a vacant role.

The problem with recruitment is that it often takes a while to find the right person for the job. So, you may end up compromising your values to meet the urgent need.



  • Regularly examine your hiring strategy.

If you find that potential developers are dropping out in the middle of the recruitment process, then you may want to take a second look at your hiring strategy. Perhaps, it's complicated and long-winded. You could shorten application forms, as I will explore later. Another option is to modify your interview sessions.

While it's true that having multiple levels of interviews help you to choose the best candidate, it can also be quite tiring. Consider merging some interview stages. For hiring offshore developers, I'd say that a maximum of two interviews is enough.

3. Make people want to work for you

  • Make your candidates feel special

Everyone likes to feel special, even at work. Potential developers would like to feel that you value them and their work. As a startup business, you probably don’t have much to offer in terms of perks. However, you can make up for this by the way you relate with potential developers.

Admittedly, this will be harder to do long distance, but it’s possible. Founders should personally interact with candidates and have several touchpoints via email, texts, video calls, etc. Another helpful key is to have other team members reach out to your potential developers and introduce themselves.

  • Set up a recruitment process that’s straightforward and simple.

Many startups don't recognize that recruiting new staff is just as necessary, if not more important than acquiring new clients. Because of this, they make inevitable mistakes with potential staff that they would never make with potential clients.

For instance, it can be quite off-putting to have to fill several pages of information in one application.  A better option would be to limit application forms to only the crucial information for the actual recruitment process. The aim should be to make things as stress-free as possible.



4. Provide flexibility

The world has long since moved past the era of strict 9-5 working hours. These days, employees are more inclined towards companies that give them room to be flexible with working hours.

This new attitude focuses more on reaching goals and achieving results, rather than merely filling in the required number of work hours. Especially because offshore developers aren’t onsite workers, this kind of flexibility is crucial.

  • Tell good stories about your business.

People are attracted to what looks nice, so you need to portray your business as the ideal company that everyone would love to work with. How to achieve this? Harness the power of social media to show the world your company values and the good experiences that both staff and clients have had with you.

5. Go for the best

  • Be visible

As a startup, you aim to hire the most skilled offshore software developers. But this cannot happen if you’re not visible to the world. Join online communities where you can find the skilled developers you’re looking for. Read blog posts that are relevant to your business and comment frequently.

You can also use social media to your advantage by posting regularly about your business. When a potential team member is considering you, he/she will likely go straight to your social media accounts, so you need to make sure that your accounts are active and lively.

Selecting the best

  • Cultural fit vs. competence

Sometimes, you may find a candidate who is very skilled but just doesn't fit into your company's culture. The question is whether to overlook that and hire them anyway. According to some business gurus, fitting in with your business is more important than skill.

The most productive workers are those who feel safe, confident, and at home in their workspace.

  • Assign a small project

An excellent way to assess the competence of potential software developers is to give all the applicants the same small project to work on. This way, you have something to

Compare it to, and you can easily pick out the best project.

Preferably, you should give them a project that is in line with the actual work you’d like them to do for you.

To Conclude

In this article, I have shared with you some hiring tips for startups.  They will guide you as you hire a new developer, even when you have little to offer. Hiring can be daunting for both startup business owners and seasoned business gurus.

But if you know what you want and how to attract the kind of person you want, then you'll soon have the choicest offshore developers at your disposal.

I hope you’ve enjoyed reading this article. If you did, please leave a comment below and tell us your thoughts!

Author
Chief Technology Officer
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Cloud Employee is a fast-growing UK-managed offshore recruitment and staffing company in the Philippines. We tackle the growing global IT skills shortage by connecting tech companies based in Europe, the US, and Australia to our pool of expert software developers in the country.

We are now seeking passionate mid to senior-level Fullstack PHP Developer to join our team of skilled talents. This is an excellent opportunity to join a fun and dynamic work environment and to significantly advance your career.

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Full-Stack PHP Developer Tech Lead

Cloud Employee is a fast-growing UK-managed offshore recruitment and staffing company in the Philippines. We tackle the growing global IT skills shortage by connecting tech companies based in Europe, the US, and Australia to our pool of expert software developers in the country.

We are now seeking passionate Lead Full-Stack PHP Developer to join our team of skilled talents. This is an excellent opportunity to join a fun and dynamic work environment and to significantly advance your career.

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Full stack RoR/VueJS Developer

Cloud Employee, is a UK-owned Philippines business established 8 years ago. We connect high-performing software engineer talent in the Philippines with some of the world’s leading and most innovative tech companies. Developers join to work from the Philippines as part of international engineer teams and grow their CV and skill-set.

We pride ourselves on being supportive and cutting-edge work that continuously invests in staff development, engagement and well-being. We provide security, and career paths, along with individual training programs and mentoring.

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Fullstack Developer

Cloud Employee, is a UK-owned Philippines business established 8 years ago. We connect high-performing software engineer talent in the Philippines with some of the world’s leading and most innovative tech companies. Developers join to work from the Philippines as part of international engineer teams and grow their CV and skill-set.

We pride ourselves on being supportive and cutting-edge work that continuously invests in staff development, engagement and well-being. We provide security, and career paths, along with individual training programs and mentoring.

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Fullstack .NET Developer

Cloud Employee, is a UK-owned Philippines business established 8 years ago. We connect high-performing software engineer talent in the Philippines with some of the world’s leading and most innovative tech companies. Developers join to work from the Philippines as part of international engineer teams and grow their CV and skill-set.

We pride ourselves on being supportive and cutting-edge work that continuously invests in staff development, engagement and well-being. We provide security, and career paths, along with individual training programs and mentoring.

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Lead/Senior Frontend Developer (UI/UX) - Brazil

Cloud Employee is a UK-owned business established eight years ago. We connect high-performing software engineer talent worldwide with some of the world’s leading and most innovative tech companies. Developers join to work from the Philippines and Brazil as part of international engineering teams and grow their CV and skill-set.

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Marketing Specialists

Cloud Employee, is a UK-owned Philippines business established 8 years ago. We connect high-performing software engineer talent in the Philippines with some of the world’s leading and most innovative tech companies. Developers join to work from the Philippines as part of international engineer teams and grow their CV and skill-set.

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Backend Developer (Python)

Cloud Employee, is a UK-owned Philippines business established 8 years ago. We connect high-performing software engineer talent in the Philippines with some of the world’s leading and most innovative tech companies. Developers join to work from the Philippines as part of international engineer teams and grow their CV and skill-set.

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Senior Full-Stack PHP Developer

Cloud Employee is a UK-owned Philippines business established 8 years ago. We connect high-performing software engineer talent in the Philippines with some of the world’s leading and most innovative tech companies. Developers join to work from the Philippines as part of international engineering teams and grow their CV and skill-set.

We pride ourselves on being a supportive and cutting-edge workplace that continuously invests in staff development, engagement, and well-being. We provide security, and career paths, along with individual training programs and mentoring.

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Hiring Tips for Startups: Developers on a Budget

February 16, 2024


One of the biggest challenges for startup tech businesses is the cost of hiring software developers. In-house developers are expensive to employ and often not as skilled as one might wish.

If your company is spending so much money on in-house developers, the solution is to hire an offshore developer. Here at Cloud Employee, we’ve seen immense improvement in our client’s operations in terms of workforce efficiency. This is all thanks to our professional offshore developers in the Philippines.

In this article, we will share some tips for hiring developers even when you don’t have much to offer as a startup business.

What is Offshore Software Development?

A simple way to describe offshore software development is "outsourcing." When you hire an offshore software developer, you're outsourcing aspects of your project to an expert.

While the standard practice is to outsource some aspects of your project, it's possible to equally outsource the entire project and delegate tasks to external developers. For this reason, it's probably safer to hire a development agency rather than a freelancer.

Offshore developers are typically from foreign countries. This is because it's sometimes more affordable to hire a foreign developer than it is to hire a local. Hence why many offshore software developers are often from countries with low costs of living, so their hourly rates are more affordable for startups.

Pros and Cons of Offshore Software Development

We have already mentioned one of the pros of offshore development, which is that it’s affordable. Another advantage is that you have access to some of the most skilled developers in the world. Don’t be fooled by the affordable rates; many offshore developers produce high-quality work that can rival the work of any "bigshot" software agency.

Additionally, offshore developers are often skilled in one or two specific areas. This allows them to be more focused and efficient in their work. It saves you the cost of setting up office space, buying equipment, and keeping the office running.

Now onto the cons of offshore software development. Sometimes, it's not so easy to establish and maintain clear lines of communication with offshore developers. For instance, different time zones and internet bandwidths are real problems that business owners have to deal with.

These challenges can slow work down and lead to missed deadlines. There's also the issue of cultural gaps. For instance, different cultures may have varying thoughts on what a good work ethic is. Social matters like gender issues, tradition, and religion may even cause problems if they are not dealt with properly.

Finally, data security is a risk that comes with using offshore developers. Even with all the necessary checks, it’s still possible to fall into the hands of fraudsters and hackers. So, make sure you protect any sensitive company data before you bring an offshore developer on board.

Tips for Hiring Developers:

1. Decide what your business really needs.

  • What are your business goals?

Before you hire an offshore software developer, you first need to determine what it is that you want, or better yet, what your business needs. Further, identify your growth targets, the results you expect, strategies to be used, and the type of project you're outsourcing. You should also be clear about your company's values and share them with your candidates.

  • What are the quality standards you expect?

One of the risks of working with offshore developers is low quality work. To avoid this, first, decide what standards of quality you expect from workers and then document them. From the get-go, everyone on the team should be fully aware that there is a standard to meet.

2. Create a culture of continuous recruitment

  • Have a rolling recruitment system.

It's crucial for startup businesses to be on the hunt for new talent and additions to the team. Most business owners will testify that they've been in positions where they needed someone to immediately fill a vacant role.

The problem with recruitment is that it often takes a while to find the right person for the job. So, you may end up compromising your values to meet the urgent need.



  • Regularly examine your hiring strategy.

If you find that potential developers are dropping out in the middle of the recruitment process, then you may want to take a second look at your hiring strategy. Perhaps, it's complicated and long-winded. You could shorten application forms, as I will explore later. Another option is to modify your interview sessions.

While it's true that having multiple levels of interviews help you to choose the best candidate, it can also be quite tiring. Consider merging some interview stages. For hiring offshore developers, I'd say that a maximum of two interviews is enough.

3. Make people want to work for you

  • Make your candidates feel special

Everyone likes to feel special, even at work. Potential developers would like to feel that you value them and their work. As a startup business, you probably don’t have much to offer in terms of perks. However, you can make up for this by the way you relate with potential developers.

Admittedly, this will be harder to do long distance, but it’s possible. Founders should personally interact with candidates and have several touchpoints via email, texts, video calls, etc. Another helpful key is to have other team members reach out to your potential developers and introduce themselves.

  • Set up a recruitment process that’s straightforward and simple.

Many startups don't recognize that recruiting new staff is just as necessary, if not more important than acquiring new clients. Because of this, they make inevitable mistakes with potential staff that they would never make with potential clients.

For instance, it can be quite off-putting to have to fill several pages of information in one application.  A better option would be to limit application forms to only the crucial information for the actual recruitment process. The aim should be to make things as stress-free as possible.



4. Provide flexibility

The world has long since moved past the era of strict 9-5 working hours. These days, employees are more inclined towards companies that give them room to be flexible with working hours.

This new attitude focuses more on reaching goals and achieving results, rather than merely filling in the required number of work hours. Especially because offshore developers aren’t onsite workers, this kind of flexibility is crucial.

  • Tell good stories about your business.

People are attracted to what looks nice, so you need to portray your business as the ideal company that everyone would love to work with. How to achieve this? Harness the power of social media to show the world your company values and the good experiences that both staff and clients have had with you.

5. Go for the best

  • Be visible

As a startup, you aim to hire the most skilled offshore software developers. But this cannot happen if you’re not visible to the world. Join online communities where you can find the skilled developers you’re looking for. Read blog posts that are relevant to your business and comment frequently.

You can also use social media to your advantage by posting regularly about your business. When a potential team member is considering you, he/she will likely go straight to your social media accounts, so you need to make sure that your accounts are active and lively.

Selecting the best

  • Cultural fit vs. competence

Sometimes, you may find a candidate who is very skilled but just doesn't fit into your company's culture. The question is whether to overlook that and hire them anyway. According to some business gurus, fitting in with your business is more important than skill.

The most productive workers are those who feel safe, confident, and at home in their workspace.

  • Assign a small project

An excellent way to assess the competence of potential software developers is to give all the applicants the same small project to work on. This way, you have something to

Compare it to, and you can easily pick out the best project.

Preferably, you should give them a project that is in line with the actual work you’d like them to do for you.

To Conclude

In this article, I have shared with you some hiring tips for startups.  They will guide you as you hire a new developer, even when you have little to offer. Hiring can be daunting for both startup business owners and seasoned business gurus.

But if you know what you want and how to attract the kind of person you want, then you'll soon have the choicest offshore developers at your disposal.

I hope you’ve enjoyed reading this article. If you did, please leave a comment below and tell us your thoughts!

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