App Startup Ideas: To Outsource or Not to Outsource?

Are you torn between building an app in-house and outsourcing app development to a mobile app agency? You're not alone. The debate has been ongoing for quite some time, with pros and cons on both sides. In this definitive guide, we'll explore the advantages and disadvantages of each approach, helping you make an informed decision that suits your company's needs.

Why Outsource App Development?

Brand & Industry Knowledge vs. Time-Consuming Learning Curve

When it comes to building an app, a mobile app agency has the advantage when it comes to learning about your brand and industry. While they may not have the same level of understanding as an internal team, they can still grasp the essence of your organization's vision, goals, and target audience through collaboration and time.

Faster Sign-Off & Approvals vs. Process-Driven Approvals

Sign-offs and approvals can happen quickly when everyone is on the same page – literally. When you work with a mobile app agency, sign-offs can happen rapidly if both parties are committed to the process. With the right tools and communication methods in place, teams from different locations can collaborate seamlessly.

Flexibility Revisions vs. Scope Creep

One of the biggest benefits of outsourcing app development is having a set budget and constraints. This means you're less likely to fall prey to scope creep, which can quickly blow your budget. With an agency, there's typically a set number of revisions and rounds of feedback at each step of the process.

Why Build Your Own App In-House?

Established Team Chemistry vs. New Team Dynamics

When building an app in-house, you'll have established team chemistry on your side. This means your team will already be familiar with each other's strengths and weaknesses, making it easier to get projects off the ground quickly.

Extensive App Experience vs. A Mix Of Backgrounds

In-house teams often have a mix of backgrounds and skills, which can be beneficial when building an app. However, this diversity can also lead to delays and miscommunication. On the other hand, an outsourced team specializing in mobile development will bring extensive experience to the table.

The Most Important Factor: Talent

Ultimately, deciding whether to outsource or build your own app in-house comes down to talent. If you're a larger company with thousands of employees, it might make sense to hire a mobile app agency to execute the entire project. If you're a small startup that has yet to get funding or launch a product, you might want to bring in a few new founders to build the app with you.

It truly depends on your situation. For example, according to 500 Startups founder Dave McClure, the ideal startup team should have three types of people: hackers who can code, hustlers who can manage and understand the business, and designers who can lead and implement design.

If you're a larger company needing to build a scalable app, your team might require a different set of skills. In any case, identifying the right talent is crucial for success.