5 Benefits of Nearshore
Software Development

Offshore software development is extremely beneficial yet has some disadvantages. For example, working flow is different since your employees sleep while you work and vice versa. Moreover, cultural differences between the US and Asia may result in unclear communication.

What if we suggest that there is a way to get rid of some disadvantages and still enjoy all the benefits of offshore development? Nearshoring is the way. Find out its 5 main benefits, compared to both far outsource destinations and in-house development.

Image by Gerd Altmann from Pixabay

Benefits of Nearshore Software Development

Close or Same Time Zone

As we have mentioned, it is a problem when you are awake and productive, and the development team is just not there. With nearshore development, it is not an issue anymore.

You will have a close or the same time zone which means real-time communication, more opportunities for regular meetings, and quick bug fixes. It is essential to the roadmap of the project, its efficiency, and timely delivery.

Moreover, it will be much easier to negotiate on changes and brainstorm on new ideas when something is not working out. It is also less confusing because both parties feel like the other party is doing nothing because they literally sleep while you are working.

Cost-Effectiveness

Most startups and many established companies use outsourcing as a way to reduce development costs.

It is actually vital for startups to get a high-quality end product if they want a successful case. However, not many of them have enough resources for the in-house development team. That is when outsourcing kicks in and provides an astonishing price to quality ratio. While nearshoring, you can keep your dev team close and still enjoy the cost reduction.

Wider Talent Pool

Unfortunately, sometimes you have to go a long way before you find a perfect employee with the necessary skills. If you seek talents locally, you may find out that you do not have such a great variety of choices. After all, people in one area visit the same schools and get the same education.

If you think outside of the borders, you will find that there are so many great software developers out there. All of them have a different set of skills and different educational backgrounds. You can get a little picky even, considering how much wider your choice becomes.

Similar Cultural Background

Offshore developers may speak your language but there are more important things to pay attention to — cultural backgrounds. Every culture has its working ethic, and you have to keep it in mind to avoid possible misunderstandings and even a chance to offend someone.

With nearshore development, it is much easier, because fewer miles between countries mean a narrower culture gap. For example, outsourcing Mexico feels less different from the in-house team than it does with China.

Travel Cost Economy

It may not seem like a relevant benefit at the moment, considering that business traveling is either prohibited or risky. Pandemic does diminish the value of this but one day the pandemic will be over. We will be back to buying plane tickets as much as we did before we locked ourselves at home.

If you aim at a long-term relationship with a development team or you start to research nearshore for future projects, you have to take this benefit into consideration. You will need just a couple of hours to get to a nearshore development destination and have almost the same experience as you would have if you had an in-house team.

Top Countries for Nearshore Software Development Outsourcing (For US Companies)

If you decided that nearshore development is a perfect choice for your software development project, consider these countries as a nearshore destination:

  • Argentina
    The low rate of Argentinian/American currency teamed up with top-quality results make Argentina one of the top choices when it comes to nearshoring.
  • Brazil
    Brazil has the biggest talent pool in Latin America and Brazilian developers have the same working ethic and innovative views as the US employees have.
  • Mexico
    Local software developers have the same time zone as a management team in the US which makes the working process as easy as having a regular meeting in the office.

Nearshore software development outsourcing has all the benefits of outsourcing while eliminating the disadvantages of it. For instance, you can still save money and have access to a global talent pool, but you do not have to worry about different cultures and time zones. Moreover, you can easily hop on the train and be in the country of your development team as soon as the pandemic is over.

If your US-based development company decided on the nearshore, take Argentina, Brazil, and Mexico as top destinations.