Hiring vs. Outsourcing: How to Recognize the Right Moment to Add Talent to Your Team

When deciding whether to hire or outsource, there are a few key considerations.

A hiring sign is displayed in Downers Grove, Ill., on June 24, 2021. Nam Y. Huh/AP Photo

By Vitaly Alexandrov

One of the many problems startups typically face is a staff shortage. To remedy this, founders can either hire a team or outsource to fill the gaps. While over 300,000 jobs are outsourced annually in the United States, small businesses are 66 percent less likely to outsource than large corporations.

There are pros and cons to each option, but there are a few key considerations when deciding whether to outsource or hire.

Assess Where to Allocate Your Hiring Resources

The hiring strategy for the early stages depends on the market and your company’s current stage of development. However, it’s vital to build a solid team as early as possible. There are two reasons for this.