Although I’m not a conspiracy theorist at all, I was drawn into reading The Outsourcing Conspiracy free report that was written by Jon Morrow and Brian Clark, two of the amazing minds and writers from CopyBlogger.
After all, what better way to draw someone in to reading your report than by suggesting a conflict in the title.
While they paint some gloomy pictures of the world of outsourcing, they bring up some very valid points about why outsourcing fails for people just starting their online businesses. And because I’m an optimist at heart, I’ve decided to tackle those issues and offer some ways to make your outsourcing experience more pleasant and effective.
Problem #1: Outsourcing is Too Expensive
Yes, outsourcing your workload to a VA or a team of freelancers will cost you money. There’s no way around that particular issue, especially with the influx of new VA’s jumping on the work from home bandwagon. But developing a plan for your outsourcing needs can certainly help eliminate some unnecessary expenses.
- WHEN will you outsource? Working up a budget is an important first step to avoid going into credit card debt. Determine how much income you currently make and be honest with yourself and your VA candidates about how much time you can afford to spend each month outsourcing.
- WHAT will you outsource? Starting off small will keep your investment minimal and is the best way to test out your relationship with your chosen virtual assistant. While your ultimate goal may be to outsource 90% of your business, starting small will allow both you and your VA to develop processes and good communication while keeping the cost down. Try outsourcing online research, content management, email management, or concierge-type services first.
- WHO will you hire? This can be a daunting task, especially when a simple google search for “virtual assistant” gives you 1.25 million results. You can find VAs that charge $40+ per hour but you can also find those who charge $10 per hour. Keep in mind, however, that you usually get what you pay for. The higher price range usually means that VA has specialized or technical training and will need little supervision whereas the lower price range might indicate a brand new VA who will need additional training from you. What price range fits your budget?
- WHERE will you find your VA? To help sort through those 1.25 million search results, ask business contacts for referrals. But more importantly, find out where in the world your VA is located before signing any contracts. Communication is vital in developing a VA relationship but if you have a 10 hour time zone difference, keeping in touch will be difficult and deadlines might be missed if your VA has questions about a project while you’re sleeping. Also, outsourcing to someone in another country might pose a language barrier if this person does not speak your native language, which could mean costly mistakes to a project or additional training time.
- WHY are you outsourcing? Usually the main purpose for outsourcing is to free up your time to do something else. But you should have a plan for how best to use that newly found free time. Will you play golf or will you finish that long overdue ebook? Write a newsletter? Expand your affiliate program? Focus on your own affiliate marketing? Outsourcing can allow you to focus on whatever makes you money, which in turn could help pay for your outsourcing.
Just some food for thought, especially if you’re new to the idea of outsourcing. Hiring a VA is an investment in your business, and just like with any investment, careful research can give you more profitable results.
Tomorrow I’ll discuss Problem #2: How to Manage Your Team.
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Well thought out response to the problem mentioned at CopyBlogger!! And you are dead on about getting what you pay for! Biz owners want to scrimp and save where they can and they (sometimes) wrongly think that they can do this in the area of hiring independent contractors.
Great post! I agree that the initial thought of outsourcing is a scary and daunting proposition, but when you break it down (as you have done) it really is easy and makes sense. Thanks!
Great Article! Just to the point. And right, you have to plan what you want to outsource and how much you can afford to spend. If you dont know what you want to get done, how should a VA know?
Wow, what a terrific post. I’m a virtual assistant and you are right on track with your outsourcing plan for businesses. If business owners had a well thought out plan in place before hiring a VA, it would make the partnership much easier for both the business owner and the VA. There is a great little free eBook called How to Hire a Virtual Assistant on VAnetworking.com that anyone contemplating using the services of a VA should download and read.
Good article — makes great points. And the fact remains, as with everything — you get what you pay for. Interview VAs as you’d hire any employee in a traditional office. Check references. And be willing to pay a decent wage. I’m sure we’ve all worked with monkeys: http://cardinalpointva.typepad.com/inside_out/2007/04/if_you_pay_pean.html
The fact remains, a good VA can help you grow you business in ways you could never accomplish on your own.
We’re an outsource company based in Thailand - and I outsource lots of work as well; both to freelancers and outsourcing companies. Writing of many kinds, research, editing, design, development, clerical - any number of things.
It’s not a piece of cake - you have to learn how to do it. I pay from $5 to $100 per hour for work. I get the right person, in the right place to do the job. I test people and quickly determine if they are worth working with. When they work out I try to have steady work and pay within a day or two always. There were some great ideas on partnering in Outsourcing conspiracy as well. I think about partnering not just in terms of equity but of deep relationships you build with people so they become vested in your success.