Maintain Lower Costs
Sometimes the expense of purchasing equipment or needing a new location can be prohibitive. In these cases, it's more cost-effective to outsource than to expand operations internally.
If the growth of your business results in an increased need for office space, try outsourcing simple operations such as telemarketing or data entry rather than moving to a new location. It might cost far less than the price of expanding, and it is both more efficient and less expensive than relocating.
Outsourcing can also lower costs by reducing the expenses associated with bringing on new employees, such as:
- A hiring search
- Onboarding
- Healthcare and other benefits
- Payroll taxes
- Increased need for workers in management and HR positions
Working with contractors rather than employees can minimize these costs, allowing your business to get the same amount done for less.
Source: https://www.thebalancesmb.com/top-outsourcing-advantages-2533765