Four Important Duties New Bootstrapped Companies Ought to Outsource

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4 Essential Tasks New Bootstrapped Businesses Should Outsource

October
10, 2020

5 min read

The opinions expressed by the entrepreneur's contributors are their own.

When you're booting your startup it can be tempting to do everything yourself to save money. If you don't have VC support on your side, then you have to stretch every dollar!

However, a do-it-all mentality could backfire in the long run. If you want to make the most of your financial resources and get the growth that will take your startup to the next level, you need to outsource.

Regardless of what industry you're in, every startup has important, time-consuming tasks that can easily divert your attention from the overall problems that affect the long-term health of your business. Ignoring these "everyday" tasks will limit your growth – but you will also spend too much time doing them.

The solution, of course, is to strategically outsource tasks.

1. Bookkeeping and bookkeeping

Knowing how your money is being spent and where your income is coming from is critical to any bootstrap business – but cracking the numbers is far more complicated than you might think. This is one area where even a seemingly small mistake can have a huge impact on your business.

It is generally recommended that this work be outsourced to accountants who will accurately record all financial information related to your business, as well as accountants who will use this information to prepare tax documents and profit and loss statements. If you use both, you will lose a lot of responsibility and eliminate a major stress factor for startups founders.

Yahoo Small Business estimates that outsourcing these tasks can cut monthly accounting costs by 40 percent. More importantly, you don't run the risk of making a mistake that will lead you into tax trouble or jeopardize your cash flow.

Related: When to Hire an Accountant or Bookkeeper

2. Marketing – everything

Love it or hate it, marketing is an absolute necessity for any startup. The scale of digital marketing can be overwhelming. Your website, your social media channels, content marketing, SEO and much more need to be considered. All of these tasks need to work together to strengthen your brand.

Adequately managing these multiple responsibilities requires a full-fledged marketing team, which the average bootstrap startup simply cannot afford. But more importantly, by outsourcing your marketing, you get a team that knows how to create effective content and analyze its effectiveness.

This approach also provides the much-needed flexibility. Matthew Creswick writes for HubSpot: “Instead of paying an in-house blogger to write full-time for your brand, hire a freelancer to write (…) two posts a week, which is undoubtedly cheaper than the alternative. As your business grows, it may make sense to consider paying a writer full time. "

3. IT and other necessary technologies

Nowadays startups don't just outsource to living, breathing people. Automation has taken over a multitude of day-to-day business tasks and removed much of the work associated with running your own business. Then of course there is the transition from paper to digital recording.

In fact, a 2018 report by IDG found that 89 percent of companies either had a “digital first” strategy in place for their business or were planning to do so soon. This mix of automation, cloud storage, and other technological advances can make companies far more efficient – but they also pose new challenges.

When Kie Liang, founder of Desert I.T. Solutions that were explained to me in a recent email conversation: "If you're not careful, your digital infrastructure can be just as complex and difficult to manage as a paper filing system. Then of course it's about securing these digital assets. Independent Whether it's a hard drive crash or a hacking attempt, you can't afford to lose it all due to poor digital security. Outsourcing can fix backups, security and other technical issues. "

4. Customer support

Few things are more satisfying than watching your bootstrap startup make its first few sales. However, as your customer base grows, so does your need for strong customer support.

Research by PwC shows that 73 percent of consumers believe that a positive customer experience is central to their decision to remain loyal to a brand. At the other end of the spectrum, an Oracle survey found that 77 percent of customers believed inefficient service was affecting their quality of life.

In order to achieve lasting success, your company must be able to offer first-class service in every phase of the customer journey. Whether they inquire about your products or file a complaint, their experience will have an impact on whether they will do business with you again in the future.

Outsourcing that work to someone who knows how to deal with these issues (and staying calm when dealing with an angry customer) is critical to creating consistently positive interactions.

Related: 10 Reasons Why Good Customer Service Is Your Most Important Measure

It's time to outsource your path to success

Outsourcing can be a little daunting when you're booting your own business – after all, it costs money and means giving up some degree of control over these tasks.

But look at it from the big picture. In the long run, outsourcing will help you grow your startup faster and cost less than hiring a full-time employee for work. You get the support you need to scale and get more profit in the process.