Why VC-Backed Companies Should Outsource

Since venture capital (VC) backed companies are deemed to have high-growth potential despite their size (small businesses), short operating history (<2 years), and limited funding, they are projected to have potentially above-average returns if the company delivers on its fullest potential.

But these types of companies have limited access to capital markets, bank loans, or other debt instruments hence they seek financial fundings to venture capitalists. With the limitations in operating budgets, they receive Series A financing or Series A investment from private equity or mostly from venture capital firms.

The funds they receive from the Series A phase helps them finance their company to growth. This involves:

Hiring new talents, teams and key personnel
Research & development (R&D)
Invest in customer service
Create IT and engineering departments
Have well-established back office support

The items mentioned above involve financial resources and experience to build efficiently and effectively. But since VC-backed companies neither have ample financial resources and industry expertise this is where outsourcing comes to play.

Benefits of Outsourcing for VC-backed Companies:

Outsourcing lends a helping hand to a company’s daily operations while they focus on achieving their business goals. Listed below are a few important benefits of outsourcing you should know:

Cost-effective solution

For startups, effective utilization of resources and capital funding is a must, therefore savings is not just important but a need.

Since funds are more limited than highly established companies, having the avenue to allocate funds is always a smart move. With outsourcing, there’s no need to pay cost in recruitment, training, officespace, hardware/software and even employee benefits. You can allocate those resources to innovation and other operating expenses for your company. The right outsourcing partner can usually offer up to 70% savings in general operational cost all the while ensuring premium quality talents, industry expertise and overall operational assistance.

Scaling your teams FAST

A survey from Deloitte saw an increase of 49% from 20% in companies seeking manpower services through outsourcing as they innovate. For VC-backed companies having great, high-performing teams built in the fastest and most efficient way possible is a must. Ideally, scaling your team should be done in just 30-45 days from hiring to onboarding.

Note that only startups who engage the most innovative, intelligent, and creative development talent will succeed.

Access to top notch talent

As the saying goes, you can only scale effectively with access to world-class talent. The right outsourcing company does not only have A+ recruitment process but access to top notch talent to ensure they are building and scaling the most suitable teams you need for your organization.

Customizable and personalized outsourcing solutions

Not all outsourcing companies can customize or personalize their solutions and services based on your unique needs. That is why, finding a partner who can provide you customizable solutions and services is a great advantage in achieving your business goals. They make sure that the teams they are building for your company, the strategies and other operational assistance they can offer are at par to the pain points and emerging needs of your business. These partners usually conduct surveys and other processes to know what their clients exactly need so they can align their solutions and services accordingly.

Finding the right outsourcing partner is worth the effort. You can choose a partner with a track record of satisfied clients through a high Net Promoter Score (NPS). It means they already know your industry and business landscape. Their proven expertise on similar projects means building great, high-performing teams, speed to market, and cost savings.

An NPS of >60 represents the primary way customers survey their experience because it means that their clients are happy which results in customer loyalty and retention, making this a critical trait a BPO company should have. When used correctly, NPS (of at least 60%) can tell you how well the BPO is performing, how often they resolve issues, and if their clients are satisfied with their experience.

In summary, choose an outsourcing company that can help you put your business forward by providing you the following:

Collaborative partnership
Access to talent through their A+ recruitment process
Cost savings of up to 70%
Ability to scale quickly and predictively
Hitting milestones and targets
Adaptability in technological advancement
Established Information Security
Operational excellence
Information and data security
71 Net Promoter Score: Sense of security and peace of mind

Partnership with Infinit-O

Infinit-O’s mission is to create endless opportunities for your company to realize its full potential.

We partner with the world’s fastest-growing tech companies who want to scale and advance their brand.

Demonstrated by our world-class Net Promoter Score of 71, we deliver the highest quality outsourcing services using our unique data driven approach – combining powerful technology and high performance teams within our highly-engaged and agile culture.

Our expertise includes CX, engineering, data science & analytics, sales & marketing, and back office services.

Start small. Exceed expectations. Think infinitely. Think Infinit-O.