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Comparison between Outsourcing agencies Vs Freelancers

Outsourcing agencies Vs. Freelancers

Comparison between Outsourcing agencies Vs Freelancers

The advantages and disadvantages of hiring freelancers vs. working with established outsourcing agencies have been hotly debated in recent years, especially when it comes to sourcing talent offshore. Those who favor finding a bargain will tell you that freelancers are absolutely the way to go, while others vehemently argue that if you want quality, you need to work with outsourcing  agencies. In reality, however, there is no default “right” or “wrong” choice when it comes to talent acquisition. Instead, both freelancers and outsourcing agencies have different pros and cons that make them suited to different needs. To gain a better understanding of which option is right for you, consult the guide below:

Outsourcing agencies Vs. Freelancers

Pros Of Working With Outsourcing agencies

  • Diversity. Outsourcing Agencies employ many different people with a wide variety of skills. As such, you can often source your developers, marketers, virtual assistants, and so on, all within the same agency. Not only is this more convenient in the short term, it results in strong “team synergy” and better organization. Projects are therefore completed much more efficiently.
  • Quality assurance. Agencies research their employees thoroughly so that you don’t have to. When you hire through an agency, you’ll be connected with someone who has proven him or herself to be professional, trustworthy, and highly skilled. This reduces risk enormously.
  • Better customer care. Not only do agencies provide “backup” employees in the event that someone you’re working with falls ill (or is otherwise indisposed), they also usually give their clients a lot of ongoing support. If you need specialized long-term services like search engine optimization, agencies are therefore often the best choice.


Cons Of Working With Outsourcing Agencies

  • Expense. Because agencies carry more overhead costs, they typically charge higher rates than freelancers do. As such, they’re not always the ideal choice for entrepreneurs who are just starting out. They’re better suited to established SMEs looking to acquire diverse skills and extensive support.
  • Potential loss of flexibility. Because agencies operate within offices, they often have established office hours—and these hours may not work for you. That being said, there are some agencies who provide around the clock support


Pros Of Hiring A Freelancers

  • Specific skills. Most freelancers choose a specialization that reflects their personal interests and capabilities. As a result, they accrue very specific experience in their chosen niche—Experience that can, in some circumstances, give them the advantage of expertise.
  • Affordable rates. While some highly skilled and experienced freelancers are costly, most freelancers—especially those operating offshore—charge extremely competitive rates. This makes them appealing to entrepreneurs who are operating on a very strict budget.
  • Flexibility. Freelancers set their own hours, so they’re often willing and able to adapt their schedules to fit your needs.

Cons Of Hiring A Freelancers

  • Greater risk. There’s no two ways about it—working with a stranger is risky. It’s very hard to verify that a freelancer is skilled, reliable, and trustworthy before you hire them. You’ll also have to handle all of the legal aspects of hiring (such as contract creation) yourself, which can expose you to legal loopholes..


While there’s no hard and fast rule when it comes to deciding whether freelancers or agencies offer better service, in general, the following wisdom holds true: If you’re a “solopreneur,” working one on one with a freelancer will probably fit your needs and budget best. If, on the other hand, you’re an established SME with an average budget that’s in need of a remote team, an agency will probably offer better overall value.