How to Hire Offshore Developers and Build a Reliable Team with SCAND

In recent years, the world has seen millions of software development projects being migrated overseas.

In 2023, according to Forbes, companies spent an average of about $132 billion on software outsourcing, with more than one-third of IT-related tasks (around 37%) conducted by external providers.

Meanwhile, it is noted that this is not a forced measure related to the global crisis, but rather a growing trend: business process outsourcing is projected to reach $620 billion by 2032.

There may be many reasons for this phenomenon, but normally, companies worldwide transfer projects due to certain financial needs and to avoid excessive hiring.

What Is Offshore Development?

Offshore software development is the practice of contracting a software engineering job to a team or company located in another country, usually where the cost of development is lower and technical skills are high.

Instead of slowly building a full in-house team (especially when software development is not a primary direction), businesses outsource all or part of their software projects to be developed remotely by offshore developers.

Offshoring development services is an expansive area, spanning a range of services such as cloud computing, web and mobile application development, cybersecurity measures, and data management solutions.

Offshore development teams may operate in different time zones, yet they stay fully connected through modern collaboration tools and agile workflows that guarantee clear communication and on-time delivery.

Why Companies Choose Offshore Software Developers Today

Why are an increasing number of organizations choosing to hire software developers offshore? Over a span of two decades, the migration of jobs has been impacted by various factors, especially across the US and Europe.

First of all, for non-IT companies, creating software is not their core business, and it is more profitable to hire a professional team than to build one in-house.

Another reason, oddly enough, is the inability to fill technical positions locally due to a shortage of qualified talent. Despite high demand, there simply aren’t enough qualified developers to fill vacancies, especially in fields like blockchain, artificial intelligence, and cybersecurity.

According to the Deloitte Global Outsourcing Survey (2024), approximately 68% of companies state that their primary reason for outsourcing is a shortage of qualified IT specialists.

Next comes the rise in salaries. In the US, for example, hiring and retaining developers is quite expensive, and salaries often exceed six figures. Thanks to qualified foreign teams, American companies can, in turn, reduce development costs by up to 70%.

Beyond solving the talent gap and budget pressure, hiring offshore teams offers the following advantages:

• Access to top talent: Offshore markets boast experienced engineers skilled in modern technologies, often with deep domain expertise.
• Scalability: Businesses can easily scale their teams up or down depending on project requirements and conditions.
• No overhead costs for hiring: Offshore development enables companies to assemble high-performing teams without the constraints of local hiring.
• Faster time-to-market: By distributing teams across time zones, development can continue around the clock, speeding delivery.

How Outsourced Development Teams Work

An offshore development team is essentially a group of software professionals who work remotely to design, build, and maintain digital products for your business; it typically includes:

• The Project Manager who coordinates the team and guarantees timely delivery.
• Business and Data Analysts who collaborate with the client’s team to gather shared knowledge of processes, third-party vendors, etc.
• Backend Developers are in charge of the application logic, database, and integrations.
• Frontend Developers’ main focus is to create responsive and user-friendly interfaces.
• QA Engineers test functionality and performance to maintain high quality.
• UI/UX Designers create engaging user experiences.

In addition, companies can choose from several collaboration models:

• Dedicated Team: A dedicated offshore team works solely on a single project, acting as an extension of your in-house department, often with a fixed scope and budget.
• Time & Materials: The T&M model allows you to extend your team with skilled offshore developers who bring the exact expertise you lack, for as long as you need it. This is the most effective way to apply agile methodologies, enabling clients to achieve amazing results step by step.
• Full-Cycle Delivery: Full-cycle delivery covers the entire software development process, from initial business analysis and design to coding, testing, deployment, and post-launch support, without managing multiple vendors or teams. An offshore general service provider will handle all coordination themselves.

Places to Hire Offshore Developers

Although offshore development is most frequently associated with Asian countries, there are more regions that equally well balance cost, talent availability, and cultural fit.

Eastern Europe (Poland as a Representative Example)

Poland has emerged as a top destination for offshore development in Eastern Europe, attracting everyone from large tech companies to startups thanks to its unique expertise and cost-effective solutions.

The region offers a large pool of highly educated developers with strong backgrounds in computer science and software engineering, many of whom hold international certifications in cloud computing, cybersecurity, and agile practices.

Eastern European specialists are also well-versed in working with global teams, handling technical documentation, and participating in business-level discussions.

A further benefit is the convenient time zone alignment — teams in Central and Eastern Europe can negotiate with both US and Asian clients, which further contributes to cross-regional project management.

Latin America (LATAM)

Latin America (LATAM) is home to roughly 660 million people across 33 countries, with approximately 2 million professional software developers, according to statistics.

Countries like Brazil, Argentina, and Mexico offer a growing pool of IT talent with competitive rates and good English skills. On average, hourly development rates in these regions are 40–60% lower than in the US or Canada.

For instance, a mid-level engineer in Brazil or Mexico typically costs $30–50 per hour, whereas the same specialist in the U.S. would charge $80–120 per hour.

Moreover, remote collaboration from LATAM is especially appealing for North American companies due to minimal time zone differences, allowing for real-time communication and agile workflows.

However, some LATAM states still face challenges with consistent internet infrastructure or have limited experience in niche technologies.

Where to Find Offshore Developers?

Finding the right offshore development team goes beyond simply choosing a region; it involves exploring trusted sources that provide insights, reviews, and access to skilled professionals.

e-Publications

Industry-specific digital publications are a great source for finding credible offshore development companies.

Websites like TechCrunch, DZone, or Medium regularly publish lists of the top software development companies, up-and-coming trends in technology, and case studies of successful offshore projects. These publications provide an in-depth view into a company’s experience with projects and industries in which they focus.

For example, a fintech startup can look for firms highlighted in articles about secure banking applications, while an e-commerce business might explore case studies on scalable online marketplaces.

Following digital publications also helps businesses stay informed about new outsourcing destinations, ingenious collaboration models, and best practices for managing offshore teams.

Review Platforms

Review websites compile client reviews, ratings, and a portfolio of projects for easy comparison by businesses. Clutch, GoodFirms, and IT Firms are some of the most used websites to research offshore development companies.

The majority of these websites provide verified customer reviews, detailed descriptions of services offered, and even company size to help you more easily create a shortlist of candidates to contact based on your technical needs and budget.

For instance, a logistics company looking to make a custom tracking solution can filter the reviews to find providers who have been successful in similar projects.

Review websites also allow you to assess communication quality — a critical factor when building a long-term offshore partnership.

Freelance Websites

Freelance marketplaces, including Upwork, Toptal, and Fiverr, connect buyers to independent developers or small teams with specialized technical competencies.

The model is best suited for short-term projects, prototypes, or the extension of in-house teams with specialist resources in cloud architecture, mobile development, or AI/ML.

However, effective execution also calls for careful vetting, clear contracts, and active project management to ensure that quality and timelines are met.

How to Hire an Offshore Software Development Team?

When it comes to outsourcing app development, it’s clear that choosing the right offshore team is key to success. But the question remains: how to decide which developers are a good fit and which aren’t?

1. Start with Trusted Recommendations

Before searching online, ask colleagues, friends, and industry contacts for referrals. This is often the most effective way to avoid unreliable providers, especially in regions like Greater Chennai Area, Mumbai, or Bangalore.

1. Define Your Needs and Project Scope

Clarify what you are going to build, what kind of skills you need, and how long you expect the collaboration to last.

Clarity at this stage will help you determine the right team size, the level of seniority required, and the best engagement model: dedicated team, staff augmentation, or full-cycle development.

For instance, a mobile app launch might require iOS/Android developers, UI/UX designers, and QA engineers, while the modernization of a legacy system may require backend experts in .NET or Java.

Still, if you’re not sure how to define your requirements, SCAND’s consultants will be happy to guide you through the process.

1. Research and Shortlist Potential Partners

Research several sources (digital publications, review platforms, referrals, and industry blogs) to spot companies that boast impressive portfolios with relevant expertise.

Look for providers who have experience in your domain: fintech, logistics, healthcare, or e-commerce. Case studies, thought-leadership articles, and client testimonials usually give a realistic picture of their capabilities and work style.

1. Assess Skills, Experience, and Culture Fit

When you have a shortlist, evaluate each provider based on technical skills, certification, communication approach, and development methodology.

Whenever possible, request portfolios, sample code, or prototype demos. Cultural compatibility and proficiency in English are important since they directly impact the quality of collaboration.

1. Interviews & Technical Assessments

Interview key team members, such as developers, project managers, and QA engineers, to understand their experience and approach. Many companies ask for coding tests, system design tasks, or paid trial assignments that constitute an assessment of real-world problem-solving skills.

1. Explain processes, tools, and communication routines

Establish, before starting a project, clear processes for project management, communication, reporting, and documentation.

Define which tooling will be used for task tracking (e.g., Jira, Azure, Teams) and version control (e.g., Git).

Agree on meeting frequency, time zone overlap hours, release cycles, and procedures for escalation. Well-structured processes are the backbone of frictionless long-term collaboration.

1. Start with a Small Pilot Phase

In case you’re not sure with your choice, start with a pilot phase. Many companies start with a 2–4-week beta project to validate the provider’s capabilities and test the flow of communication. This step mitigates risks and provides you with hands-on experience of the performance, speed, and quality of delivery.

Why SCAND Is Your Best Offshore Development Partner

SCAND is one of the most trusted names in offshore software development services, with more than 25 years of overall development background and 250+ software engineers onboard.

Our professionals help you solve real business challenges using top bleeding-edge technologies like AI/ML when needed, with a strong background in high-load systems and strictly regulated industries.

Besides, our remote developers bring deep technical expertise in .NET, Java, React, Angular, Node.js, Python, and modern cloud environments, such as AWS and Azure, as well as strictly adhere to all necessary standards, including ISO/IEC 27001.

This versatility allows us to support projects of any complexity, from re-engineering legacy systems to building enterprise-grade platforms and modern SaaS software solutions.

We’ve worked with both market entrants and Fortune 500 enterprises over the years to help speed up delivery and bridge talent gaps.

Our clients value us for our transparent communication, regular progress reports, and focus on long-term partnerships that drive measurable results.

Our featured case studies:

• ERP for a Manufacturing Company (EU)
• Fintech App for a US Client
• IoT Dashboard for Industrial Automation

Benefits of Hiring Offshore Developers with SCAND

Frequently Asked Questions (FAQs)

What is an offshore development team?

In simple terms, it’s a remote team of developers, designers, and QA specialists working from another country to take on part or all of your software development project needs.

How much does it cost to hire offshore developers?

The prices depend on the team size, experience, and project complexity, but usually, businesses can save up to 60% compared with in-house hiring.

What tech stacks are available for offshore projects?

It depends. For example, SCAND's offshore developers specialize in the following technologies: .NET, Java, PHP, JavaScript (React, Angular, Node.js), Python, Go, C++, and cloud platforms like AWS and Azure.

How does SCAND provide data security and quality in development services?

We follow ISO/IEC 27001 practices, sign NDAs, and implement strict internal policies regarding data safety and code quality. Ready to hire offshore developers? Contact SCAND today and let’s discuss your offshore development needs — we’ll help you find the right model and team setup for your project.