The power of outsourcing: cost-effective growth for business owners
Is your to-do list getting longer every day? Are you getting bogged down with simple tasks that are taking up too much of your time? We all have our limits, and when it gets to the point where you spend the majority of your time on background tasks rather than those that help grow your business, you need to change how you work.
The start of the new year is a great time to make some much-needed changes to your business. So many people start the year with the resolution to improve their business practices and increase their profit margins. One of the easiest ways to do this is by outsourcing some of your work to others!
But how does outsourcing help a business grow? And how should you go about outsourcing in a way that suits your business? Read on for all you need to know!
What is outsourcing?
Before I go into the different ways that outsourcing can benefit your business, it's important you have a concrete understanding of what "outsourcing" actually means.
In simplest terms, outsourcing is where you hire an outside company or freelancer (such as a VA) to complete work for you that an employee would typically do. This can be anything from dealing with customer enquiries to managing your social media accounts. If you've got a job that needs doing, there is sure to be someone out there that can do it for you!
How does outsourcing help a business grow?
There are many advantages to outsourcing some of your work to someone outside your business, the biggest of which is that it will indirectly help your small business grow. I'm yet to meet a business owner that doesn't see that as a good thing!
All the advantages listed below nourish your business so that this growth can be set into motion. Of course, not all of the advantages listed may apply to your business, but understanding how other companies utilise this practice is a big step in determining if it is the right fit for you.
Fewer missed opportunities
With any growing business, there will come a time when you physically cannot fit in any more work. At this point, your business becomes stuck. You become so busy with your current workload that you miss revenue-generating opportunities.
The inability to spend time planning, goal setting, and thinking about the future ultimately means you reach a point where your business fails to grow, and you risk becoming disillusioned. "What can I do?" I hear you cry, buried underneath a mountain of paperwork, receipts, and coffee cups. Well, quite simply, you can outsource!
By handing over some of your daily tasks to an outside source, you will free up some of your time, allowing you to make the most of those revenue-generating opportunities. Fewer missed opportunities equal more money for you and your business.
Reduced costs
When thinking about outsourcing, many people wonder why you should hand over work to a freelancer instead of employing someone permanently. Quite simply, outsourcing helps to save you money!
On the surface, there isn't much difference in the costs involved with these two options, but look a little deeper, and you'll see that outsourcing is much more affordable. Not only will you not have to deal with hiring expenses, but you will also avoid NI and pension contributions, the cost of essential equipment, and will only need to pay for the hours you need.
Simply have a trial run with your chosen freelancer, and alter or cancel your contract if things aren't working out. There may come a time when you need to hire an employee, but until then, why burden your business with the costs associated with permanent employment?
Access to industry experts
The final benefit of outsourcing is that it provides you with opportunities to collaborate with people you wouldn't be able to employ on a permanent basis. Having access to this rich pool of talent can only be a benefit to your business.
There are so many people out there who have a niche skill set and expert knowledge in areas you're not confident in. So whether it be copywriting or website design, why not use this resource to help boost your business's weakest areas?
How do I start outsourcing work?
Now that you've decided whether or not outsourcing is the right move for you, it's probably a good idea for me to outline how to go about it. Below is my foolproof 3-step guide to outsourcing your work.
1. Decide what you want to outsource
Before anything else, sit down and write a list of tasks you do daily or weekly, then group them based on whether you love, like or loathe the task. I've designed a handy form to help you with this, which you can download here.
Look at the tasks you loathe, and imagine someone else doing them for you. These are the perfect types of jobs to outsource to someone else. Depending on how niche the task is, you may want to write instructions on how to complete your outsourced tasks at this time.
2. Find your perfect fit
Finding a suitable freelancer to outsource to can be quite time-consuming, but it is vital. Unless the person you choose is a good fit for you and your business, you will not be able to reap the benefits I went over earlier.
A good place to start is by talking to people in your current network. Ask them if they can recommend someone; the chances are someone will know just the person for you, and a recommendation is always a good place to start. You can also use your contacts on LinkedIn and other social media channels to ask for advice.
If you'd like to explore my VA network, get in touch to find out how we can support you.
3. Let go
Once you've decided that outsourcing is the way forward and you’ve found your perfect fit, the next step is letting go. One of the hardest parts of outsourcing is handing parts of your business over to someone else. "Will they reach my standards" and "Will they complete it on time" are common worries, but outsourcing will never work if you want to be involved at every step.
When you find someone you want to work with, try handing over one task or project at a time and see how it goes. The person you outsource to will have experience working this way, so they will be able to facilitate communication and so on.
As long as you make sure that both parties are aware of the other's expectations right from the start, you should be able to work through any issues that arise.
Still unsure how to get started with outsourcing? Our SOP Guide & Free Blueprint can offer you a solid framework for deciding what tasks to delegate and how to do it efficiently.
TLDR: There comes a point for all small businesses where it is impossible to fit in any more work. Outsourcing is the perfect way to overcome this and help your business grow! Outsourcing is cost-effective, time-saving, and gives you access to expert individuals. Simply decide which tasks to outsource, find your perfect match, let go, and see what outsourcing can do for you.
