Startups
-
5
 min read

Outsourcing for startups

As a startup, you need to focus on your core business. Any task that is routine or generic becomes a costly distraction. Your ideas and talents are unique, and your time and focus are limited. Do not squander that on tasks that anyone else can do.

Yes, you will be stretched

Expect yourself to be running all sorts of errands, doing work, you never expected. Whether it is cleaning your office, negotiating with your landlord, hiring staff, banking, managing finances or customer service - you will be doing it all.

Pretty soon you will find that there simply aren't enough hours in the day for you to do everything. The routine, drudgery work is taking up more of your time than you can give. That is when, trouble hits. Either the routine filing, answering calls, book keeping work will get done OR you will be able to grow your business. It is this either/or choice that causes most startups to fail.

Overview

  • prioritize
  • understand that your resources - time, money and focus are finite
  • failure is not a pleasant option, yet 60% of startups fail in the first two years
  • help is available
  • your time is much more valuable than the routine tasks you are tempted to perform

"You are the main driver of your business and its main value. Doing work that others can do better and at a lower cost, is illogical and ends badly."

What you cost:

Your time is way more expensive than you think. Let us do some math.

Assumptions: (Feel Free to tweak these)

  1. You are willing to give your business 10 hours a day 5 days a week.
  2. You will take 2 weeks off work for vacation and sick days
  3. You are employable at USD 50 per hour and hope to earn a bit more as a business person to compensate for the risk

Your hourly rate:

Total hours, given to business: 50 weeks x 5 days x 10 hrs = 2,500 hours

Total Value of your time = $ 125,000

Routine work for which you are not really trained:

  1. Book keeping and payroll at 15 hours a week: 780 hours
  2. Website/Social media at 5 hours a week: 260 hours
  3. Ordering and delivery, telephones at 3 hours a week: 156 hours

Total: 1,196 hours or $ 60,000 approximately.

Imagine spending almost half your time doing routine tasks that you can outsource. Of course, you can hire a part time assistant to do the above tasks for you. But, it is unlikely that once all costs are considered, you would spend less than $40,000.

Compare that with a professional outsourcing company. There are many fine companies that can do the above tasks at a fraction of the above costs. At Claritel, the above tasks would cost:

  1. Book keeping and payroll at 15 hours a week: 780 hours:  $ 10,000
  2. Website/Social media at 5 hours a week: 260 hours: $ 3,500
  3. Ordering and delivery, telephones at 3 hours a week: 156 hours: $ 3,000

Total: $ 19,500 and, with no disruptions, timely work. You don't need to buy any equipment or find office space for our staff. We work out of our own offices.

Other Services, that you can safely outsource to Claritel:

Your time is way more expensive than you think. Let us save you time and money.

MS
Verified writer
Subscription

Subscribe to get helpful business insights

Please subscribe and we will mail you a newsletter every time there is something of interest. We promise to not spam you or send you more than one communication a month.

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.