Subcontracting: 7 Reasons Why It Might Be Right For You

Subcontracting can support a business at any given moment. Organisations may need to reach out to a specialist sub-contract company to help them either improve their performance, fulfil large demands or use machinery they don’t have readily available.

1. Help With Large Projects

If you are a growing company or fortunate enough to be operating past your maximum capacity then you may need help to fulfil an order. Subcontractors will allow you to take on larger projects. You may also be able to lean on them for specialist applications which means you can create custom solutions for your clients.

2. Cost Efficient and Risk Averse

When taking on larger projects there is a very real dilemma of either employing more people and investing in equipment or using a subcontractor. Subcontracting can reduce the risk associated with hiring staff by ensuring you are getting a safe pair of hands from an established company to help your business. Taking into account salaries and associated costs, you can be looking at a 20 to 30 percent more cost effective solution than hiring full-time staff.

3. Subs Provide Expertise

When utilising a subcontracting service you will be investing in superior expertise. The subcontractors will likely have been working in a specific field and industry for a number  of years, allowing you to utilise their vast experience to your advantage. They will be able to offer a solution quickly and get the job done.

4. Increased Productivity

This is likely to be the biggest benefit of working with a subcontractor. By outsourcing work you can empower your staff to focus on core business needs. This will likely lead to them being able to get critical jobs done faster.

5. No Long Term Commitment

With subcontracting their will be a level of flexibility that wouldn’t be possible with hiring new staff members. Using a subcontractor will allow you to use the service as and when you need. You will not be required to sign a long-term agreement if there isn’t a need for one.

Unless you are able to keep demand levels up, hiring people can be costly, particularly during unforeseen downtime. Ending a relationship with employees can be very complicated and uses up both time and financial resources.

6. Subs Have Specialised Knowledge

At times there may be work that you are unable to fulfill and so you will need to turn to a specialist for further help. Being able to utilise the skills and knowledge of a subcontractor may be the difference in being able to take on a project or not. This can help enhance your company’s reputation and ensure that you are competitive in the marketplace.

7. Fewer Legal Obligations

Another consideration is the fact that there are fewer legal obligations when using a subcontracting service. As subcontractors will be running their own business they will not receive the same legal protections as employees. Fewer obligations – coupled with less employee-associated administration –  means that it becomes a very attractive proposition.

Is Subcontracting Right for You?

Subcontracting can bring a whole host of benefits to your business. Being able to utilise independent services to take on bigger projects can help your operations grow. Adding skills and expertise to complement your existing staff  can allow you to flourish as a business and could be the difference in being able to provide a service to a potential client or not.

The best thing to do is evaluate your current situation. Once this is done then decide whether you can meet your business demands internally. Speaking to a subcontractor may open up avenues for your business that you didn’t know were possible.

If you would like to speak to one of our own experts then feel free to contact us here.