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How Startups Can Benefit From Business Process Outsourcing

Startups need to be flexible and growth orientated, but it’s easy for them to get bogged down in the wrong things. When a startup becomes mired in day-to-day operations, growth often suffers.

Startups benefit from Business Process Outsourcing (BPO) when they use it to free up time and resources that can be better used elsewhere – namely, towards growing the company. If you’re running a startup, you might have wondered whether you can afford to use BPO, but the real question is: can you afford not to?

What Is Business Process Outsourcing?

Business Process Outsourcing is a practical way for companies to manage their business operations. It's popularity has been rising, with good reason. BPO lets companies outsource key operations, like staffing and training, so that they can focus on what matters most, like brand experience and growth.

Startups need to be smart with their money, and they also need time to nurture and cultivate what makes them special. Those that discover the right BPO usually find it easier to do both.

Benefits of BPO for Startups

Startups can outsource a wide variety of operations, each with their own specific benefits. But there are some key advantages any new company can expect from BPO.

Ensure Success from Day One

The right BPO can help a startup ensure success from the start. Startups begin with a brilliant idea and a brilliant team, but that doesn’t always mean they have all their nitty-gritty business ducks in a row. Accounting, IT, customer service, social media management – these all need to be handled brilliantly, too. BPO lets you outsource these often more challenging operations to specialists, who already have all the necessary tools to help you succeed from Day One.

Reduce Overhead

Anyone running a company knows the costs associated with staffing. If you’re a startup, you want the best, but hiring and training the best is very expensive. With BPO, you can still access highly skilled professionals, while paying much less for them. For example, a traditional contact centre will spend 60-70% of its overhead on its labour force. Outsourcing this work saves money on training, replacement costs and benefits.

Outsourcing your ITIL framework can also help reduce overhead costs related to technology infrastructure. There’s no need to spend thousands of dollars on technology you don’t understand, when it’s so easy to access sophisticated platforms through BPO.

Expand More Easily

When you’re using BPO, you can scale up at the drop of a hat, without the hassle of HR. For example, as you grow and reach more clients, more clients will be demanding customer service. Outsourcing this type of work is easy, letting you keep your clients happy without draining your limited resources.

With BPO, you also have a set price, which lets you budget for current or future services. Being able to budget in this way is another big help when looking to expand.

Focus on Branding & Experience

As previously mentioned, startups usually start with a great team. BPO lets that team focus on what they do best, which is usually operations that help grow your business, like branding and client experience.

Using BPO means that your Product Manager, for instance, can focus solely on your products instead of also getting sucked into things social media management and fielding calls from customers. This means you’ll have better product management, of course, but also better social media and customer service, too.

Stay Flexible with BPO

Using BPO isn’t just about saving money, although that’s certainly a big component. And it’s not just about enabling expansion and letting your team do what they do best, although it will do that, too. When you combine these benefits, you get drastically increased flexibility. Ultimately, the real benefit of outsourcing business operations in a smart way is that it lets your startup stay flexible, in a world where flexibility has never been more important.


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