The true cost of hiring a coding dream team
The birth of a start-up or project is always a moment of joy. However, putting together a coding dream team
can be an unwelcomed dose of reality. These tips can guide managers through the key challenges.
Starting a project is exciting, exhilarating, and often frantic. There is so much to consider, so many steps to go through and, more often than not, time constraints to overcome. One of the most burdensome aspects is finding the perfect coding team. That’s because, in the initial stages of the process, it might be difficult to envision what kind of help, skills, and expertise projects will require in the short and long haul. I should know… I’ve been through these challenges many times.
How much does a “coding dream team” cost?
According to Stack Exchange’s 2020 Developer Survey, in which nearly 65,000 people took part, these are the global average salaries of several tech professionals:
GROSS ANNUAL SALARY, 2020
The average annual salaries range from 38k to 95k US dollars – a big difference, especially for start-ups.
To make things even more complicated, there are several other considerations to keep in mind when putting together a technical team for your business, other than average salaries.
What comes into the calculation?
Since each project, organisation and start-up is unique—and so are their needs—it is impossible to predict exactly how much a coding dream team will cost without first analyzing the company and the project. However, there are many factors that come into play—or should we say, into pay—and that will impact the total cost of a team.
How many people do you need?
This one is pretty straightforward: the more elements in your team, the more it will cost. It’s quite simple. Assuming your project is just starting, you won’t need a technical team with half-a-dozen elements to get your game plan started. Or maybe you will. The trick is to understand what each of those people will need to do, and which tasks each one of them will be responsible for. Remember that old HR formula: performance = ability x motivation x clarity of roles.
What specific skills do you need?
Where are these hires located?
Remote work is quite frequent within IT and that has obvious advantages and disadvantages. The biggest pro of remote work for an employer is the access to a larger talent pool. However, the average salaries listed above vary from country to country. For example, the average annual salary of a Software Developer in Switzerland is around 90k dollars, and in neighbour Italy that cost comes down to around 30k. Working hours also vary, as well as language skills, which could add extra costs when hiring.
What benefits will you be offering?
To attract the best talent, organizations need to be an attractive employer. This means possibly health insurance, childcare benefits, wellness programs, education support, commuter benefits – anything that is considered a “bonus” that contributes to employees’ wellbeing and satisfaction. However, these perks obviously cost companies money.
What software and hardware will be necessary?
With IT projects, your employees will need certain software and hardware, with the company bearing the cost. Think frameworks, app development software (and this is what you should look for in one), low-code platforms, hardware budgets and, of course, laptops or desktops, among many others. But also more office space, which means rent and utilities.
How much tax will you pay?
Finally, employment taxes can represent a heavy chunk of an employee’s cost for your company. You will need to research how much will the tax associated with a full- or part-time employee add on to the base salaries.
The bottom line is creating a technical team is something you need to think through. Costs add up easily and a wrong choice can be potentially devastating for a young business—have you heard of technical debt? But, despite this, your business still needs IT services, so how to go around this?
What about outsourcing?
Outsourcing is becoming more popular by the second, and for good reasons. IT outsourcing provides businesses an “extra set of hands” for their development team, but it is also helpful for organizations who are looking to build a solution from scratch.
Outsourcing is quite the flexible solution because it enables companies to “source” the talent that best fits their needs right now – and adapt in the future. Near Partner is a boutique software house, which means we employ experienced professionals, who are also specialists in diverse programming languages and areas. But we also contribute to the culture of the companies we serve, by making your mission our own, and by sharing values and goals. You can choose the duration of our partnership, how much support you’ll need afterwards, and select the way of work that best suits your organization:
- Extended Team. Add highly skilled developers to your team without the hassle of recruitment and retention. Our extended team model expands your in-house staff. Our primary contribution is to add competency, both business and technical, to bridge the skills gap in your core staff.
- Managed Team. We rapidly build complete teams, ready to work on your projects, from project management to testing. With this model, Near Partner assigns a dedicated team and the respective roles (Software Developers, PM’s, Engineers, or other) that correspond to the project’s requirements.
- Managed Project. We breathe life into your idea and for that, by defining and implementing the requirements, scope, and roadmap. It’s your vision, with our team behind the wheel.
Outsourcing is a flexible, efficient way of putting together a coding dream team, even if temporarily. Check out our free e-book Outsourcing 101 and get all your questions answered.
Partnering up with Near Partner
Near Partner is a boutique software house from Portugal, specialized in software development. We develop solutions to support our clients’ business processes and projects.
Because quality matters
Our kick-ass team is made of experienced professionals, fluent in several programming and scripting languages, and with diverse backgrounds. From OutSystems and Salesforce to .NET, Ruby or Python, all the challenges are welcome. Whether you are kick-starting an idea, optimizing an existing project, or just need an extra set of hands, we can deliver on-time, on-budget and on-quality.
It’s all about the team
We are a happy team of innovative, service-focused tech people with many years of experience delivering IT projects and app development for clients worldwide. From Portugal to the world, we specialize in software development to help you pull off your next project with less stress and less cost. Our team has the know-how to power you at every stage of your project development lifecycle: from scratch to launch.
Developing (communication) skills
We do more than just great software. We set out to understand your goals, needs and ambitions before proposing solutions. For us, communication is an integral part of software development and is what allows us to create a shared vision and purpose around our ideas. Basically, it’s the most effective way of getting everyone onboard. With great communication, comes great software. Because each requirement, each script and each line of code serves one goal – yours!
We are problem solvers
At Near Partner, we think of ourselves as problem solvers, not task-doers. And this reflects in everything we do, from who we hire to how we recruit, and to how we treat each other in the company. Our metric for success isn’t how many lines of code we write. Not even how many good lines of code we write. It is how many problems we solve. It is important to give the perfect answer, but only if we are answering the correct question.
Get in touch with us and let us help you figure out what is the coding dream team for your business—no strings attached!