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Reduced costs: an outsourcing benefit

Outsourcing can save your business money by having day-to-day tasks completed in a lower-cost economy, where employment costs are up to 70% less.

How does outsourcing reduce costs and save money?

For many business owners, there aren’t enough hours in the day. The reality is if they want to grow their business, they need to increase their resourcing. However, labour costs can be prohibitively high.

More employees may also mean the need for a bigger office space, more IT equipment and other associated overheads, which will increase fixed costs. Even if you consider remote work, there may still be a need to invest in data security measures or provide technology to facilitate a work-from-home model. These additional staffing costs can be crippling and quickly outweigh the increased sales or revenue that having additional employees may generate.

Outsourcing allows additional work to be completed, at significantly reduced costs, especially when outsourcing offshore to a lower cost economy, such as the Philippines, where employment costs are up to 70% less. Hiring new staff is an expensive process.

Beepo’s outsourcing model takes care of all these costs including recruitment, human resources, new office equipment, superannuation, payroll tax, workers compensation, IT and overall management supervision. Apart from the engagement costs, you would only be sacrificing your time to train your new employees, which is a long-term investment for your business.

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Reduced costs and benefits

An example of reduced cost benefits in action involves an accountancy firm that wanted to provide high-quality services for their customers at an affordable price.

They had previously tried to set this business model up in Australia using local staff but couldn’t achieve the same results with the capital and labour costs associated with employing staff locally. In 2014, they hired two offshore accountants to kick-start their business. As of 2021, their offshore team has grown to 11.

The results? Their local staff have been able to focus more on the high-value services for clients. This has not only saved them time but increased profits. They have also achieved their goal of providing an affordable solution for their customers due to lower overheads.


Want more information or insights on the outsourcing benefit of reduced costs?

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Contact Beepo for quality outsourcing services

Outsourcing allows your business access to a global talent pool of skills and resources that are trained to help your business achieve all kinds of goals. If your business is looking to reduce costs, further investing in outsourced functions such as accounting, customer service, data management, digital marketing, finance and technical support are examples of places to start.


Here at Beepo, we offer specialised support to suit the specific needs of organisations of all sizes. We offer our services in an array of industry verticals including but not limited to: