You’re not a corporation. Startups and enterprises differ in a million ways, starting with their needs and ability to scale and implement changes, and—in the end—their financials. As a company that’s just starting out, you can make mistakes and learn from them. Keep the product scope to a minimum. Think long-term, act short-term. How does that apply to building a team at your company? Well, you don’t need to have all the employees in-house. You can use the outside help.
Costs: team augmentation is cheaper than having full-time employees
Let’s break down the cost of a full-time employee. According to LAC Group, the cost of a computer and office supplies can reach about $200 per year for each employee. Read also: Why Billing on a Time and Material Basis Is a Guarantee of Flexibility It can be twice the amount when you go for a more advanced Mac or PC. No t-shirts, mugs, and other gadgets are included in this figure. Total cost so far: $400 Then there are software licenses. Developers and designers use pricey apps such as Creative Cloud or PhpStorm, which can cost several hundred dollars a year per user. For the sake of this article, let’s say it’s about $1,000. Total cost so far: $1400 The salary of a .NET developer in San Francisco is about $93,429. Total cost so far: $94,829 Health insurance is yet another thing. Multiply the wages by 1.25 – 1.4, and you get your result. Let’s use 1.3 in this example. Total cost so far: $123,217.7 Also, you may need a recruiting service or an HR agency to help you find these people.
Commodity tasks
Just as you have your accountant, you can have your quality assurance, maintenance, or any other division augmented. You need sound engineers to supervise and create the right tests, and possibly to have some degree of automation in your QA process. If you decide to outsource your QA offshore, you can save up to 40 percent of the costs compared to those in the United States. And that’s just one example.