Evelyn,      May 5 2022 5:23PM

Why early stage investors select startups that leverage remotehybrid software development talent

In the past three decades, SaaS companies have shown a growing inclination towards utilizing remote offshore talents as it has proven to leverage handsome investments.
Business Wire in March 2022 published the findings of the 2022 State of Tech Staffing report by Commit that states that startups are expected to display a 70% increase in hiring remote software developers between 2022 to 2023 alone. The same report also highlights that every 3 out of 4 HR leaders (75%) and 99% of senior technology have reported higher productivity from remotely employed staff.

What are the advantages of hiring remote tech talent?

Given its benefits, it is no miracle that software development conducted remotely (including offshore) has taken off the charts with the investors. Here is our take on some of its dominant advantages:

1. Access to a global talent pool

Investors are looking for sustainable growth therefore companies that augment their team with remote tech talent tend to look more appealing as an investment. This is because they come with the promise of hiring the most talented intellectuals around the globe. About 46 % report that outsourcing has enabled them to access skill sets which otherwise would not have been available to them in an in-house setup. This ensures that the company keeps afloat amongst its competitors by keeping its deliverables up to the mark

2. Cost-benefits

The lengthy recruitment procedures involved in hiring tech workers makes up for a significant portion of hidden costs for SaaS companies. This precious time can be saved by finding the right skill sets that can be rapidly outsourced and inculcated in the tech team. 2022 State of Tech Staffing report reflected that HR leaders believe that the major benefit of outsourcing talents lies in its attribute as an effective cost saving ( upto 48%) mechanism.

3. Employee satisfaction yielding higher productivity

It has been observed that workers are more comfortable with working from the comforts of their home, which in turn is related to higher productivity and easier collaboration between the employees. This trend has taken such a boom during COVID that softwares that facilitate WFH like Zoom and ProofHub have reported a marginal increase in investment considering the gradual shift to a digital economy.  A survey conducted by PWC USA reported that 83% of employees showed preference for WFH rather than physically commuting to the office on a daily basis. This only goes on to show that recruiting off-shore talents is not just beneficial but will soon be the norm; with employees themselves preferring companies that have avenues for it.

4. Smooth workflow and quick results

The concerns of remote working as posing a hindrance in the workflow is certainly a thing of the past given the advancement in technology that has enabled smooth and feasible communication. Thus enabling remote talents to deliver projects on time and within the budget; while simultaneously ensuring its quality.

5. Outsourcing as the future

Did you know that about 3,00,000 jobs get outsourced out of the US each year? Moreover over 93% organizations are in the process of considering cloud services to improve their outsourcing. This is indicative of the growing acceptance of the outsourcing environment. A 2020 Forbes report states that SaaS companies are the real victors in the WFH setup and explains how this trend is here to stay for the years to come as outsourcing is not just a necessity but a desired advantage.

Some things to keep in mind while hiring remote talents:

1. Clear communication
It is advisable to interview a number of candidates to ensure that you end up with just the right fit for your project. Keep in mind that there are no communication gaps and the work expectations are clearly laid out from the very start.

2. Hiring based on performance in tech-specific certification exams

 Make sure that you look beyond the resume of the candidates and base your opinion on their ability to utilize their skillset. An easy way to test this is to grade them on their ability to perform in tech-specific certification exams. This will assure you that they will be able to deliver the expected tasks in the future.

3. Intellectual property rights

With countries like India who have one of the best intellectual property rights protection in place, SaaS companies are showing increasing inclination to hire offshore talents. It would be a safe practice to ensure that the contract is through a US based management team to ensure easy accountability.


If there is one thing that the pandemic has taught us it is that businesses that can adapt are the business that will survive. SaaS companies who focus on remote/offshore working are the new game changers and if done correctly, they have a sure shot at attracting their desired investors. It wouldn’t be a leap to herald the coming era of SaaS development as marked with offshore tech talent  who have the potential to bring in new and welcoming changes to traditional modes of business.