Love it, hate it or completely clueless about it, outsourcing and its benefits have been the buzzword in the entrepreneurial world since Tim Ferriss blew it open in his infamous book The 4 Hour Work Week<\/a>, which became a bestseller in 2007. <\/p>\n\n\n\n While outsourcing is a simple concept, it still baffles many of us \u2013 even the savviest of business owners who already engage in it! The myths and misconceptions surrounding it are many. <\/p>\n\n\n\n So, let\u2019s just cut to the chase and clarify what exactly outsourcing is (and what it\u2019s not!) and explain why it\u2019s an absolute no brainer for business growth \u2026 if you do it right that is. <\/p>\n\n\n\n Simply put, \u201coutsourcing\u201d involves hiring a third party, a \u2018non-employee\u2019 if you will, to perform certain business functions. This third party can be an individual or another company and can be totally arms length from your business (pure outsourcing) or more integrated with your business and internal team. <\/p>\n\n\n\n For example, clients of The Virtual Hub<\/a> hire our company as a third party that integrates our virtual assistants into their businesses to run various digital marketing and operational business processes and tasks.<\/p>\n\n\n\n It\u2019s something that\u2019s been around forever<\/a> but only became a recognized \u2018thing\u2019 in the late 1980s, when major corporations began outsourcing their IT systems. <\/p>\n\n\n\n It has become a no brainer business strategy, the \u2018secret sauce\u2019 to successful business profits for so many companies. There are many advantages of outsourcing. It\u2019s a strategy that\u2019s been silently fueling growth around the world and is only gathering more pace, notoriety and momentum. <\/p>\n\n\n\n The word outsourcing is often used synonymously with offshoring, but this is one of the misperceptions. We\u2019ll come back to that. <\/p>\n\n\n\n Everyone! <\/p>\n\n\n\n In fact, you\u2019re more than likely outsourcing, whether you realize it or not.<\/p>\n\n\n\n Many people don\u2019t recognize all forms of outsourcing because of those misperceptions around it. For example, it\u2019s often associated with huge companies, with massive budgets, that can afford to sign long-term contracts for tens or even hundreds of thousands of dollars. . But they are not the only ones capitalizing on it. <\/p>\n\n\n\n Most solopreneurs who haven\u2019t yet built a team for their business are outsourcing something. <\/p>\n\n\n\n You\u2019re already outsourcing if you:<\/p>\n\n\n\n No matter how much a new business owner is bootstrapping, no one can do everything on their own! Nearly everyone is outsourcing something, even if their business is brand new. <\/p>\n\n\n\n Although just about anything can be outsourced<\/a> these days, outsourcing is most effective when it\u2019s done strategically, through hiring subcontractors to execute non-primary, non-revenue-generating functions. Also, both product- and service-related business functions can be outsourced to third parties. <\/p>\n\n\n\n So, let\u2019s take a look at the different possibilities for outsourcing.<\/p>\n\n\n\n Depending upon where you look, you\u2019ll find different ways to categorize the types of outsourcing. But the two major ways to break down outsourcing are by process function and by location. <\/p>\n\n\n\n For example, some sources<\/a> identify four types of outsourcing:<\/p>\n\n\n\n Another perspective breaks outsourcing down into the following process categories: <\/p>\n\n\n\n Another way to break down outsourcing is to divide it into categories based on whether or not the third party is in the same or another country. (offshoring vs outsourcing)<\/p>\n\n\n\n Remember when we noted above that many use the terms \u201coutsourcing\u201d and \u201coffshoring\u2019 synonymously? You should be able to see the difference by now. <\/p>\n\n\n\n \u201cOffshoring is a specific category or subset of outsourcing. That is, all offshoring is outsourcing, but not all outsourcing is offshoring. \u201c<\/p>\n\n\n\n Because of this incorrect association between the two words, outsourcing often gets a bad rap. What they\u2019re not fully aware of are the many outsourcing benefits. But we\u2019ll get into detail about outsourcing myths below. <\/p>\n\n\n\n Here\u2019s where we\u2019re going to get into the details about the advantages of outsourcing and how it\u2019s pretty much essential to business growth. <\/p>\n\n\n\n So, why are so many businesses outsourcing select business functions? Oh, let us count the ways! <\/p>\n\n\n\n As we\u2019ve discussed elsewhere, you can\u2019t do everything in your business forever. At least not if you expect to grow! At some point, you need to start delegating effectively to other people so you can free up your time and energy to focus on growing the business. <\/p>\n\n\n\n Delegation involves bringing other people in to help and this can be costly when it comes to hiring and managing employees. Outsourcing, either onshore, near shore or offshore, can be a really effective way to get over this hiring roadblock that stops so many business\u2019 growth plans. <\/p>\n\n\n\n Get it? <\/p>\n\n\n\n You hire someone to do \u201ctheir thing,\u201d you gain more time to do \u201cyour thing,\u201d and those pesky tasks that aren\u2019t your thing get done quickly and effectively. Win-win! <\/p>\n\n\n\n One way to look at the money-savings offered by outsourcing is to compare it to the costs of hiring employees and\/or investing in training in order to perform every function and process within your company.<\/p>\n\n\n\n Employees require benefits, equipment, and training to perform tasks within your business. Going outside your company to utilize someone who already has the equipment and expertise (and for whom you don\u2019t have to provide benefits) is much more cost effective. <\/p>\n\n\n\n Remember too that certain types of outsourcing give you the look and feel of having employees without all the employee headaches and expenses. At The Virtual Hub we integrate our virtual assistants into our clients businesses so they look and feel like an employee in those businesses but, really, they are employees of ours. <\/p>\n\n\n\n On the other hand, outsourcing initially may seem like an expense, instead of a cost-savings measure, at least among newer entrepreneurs. But you should view the costs of outsourcing as an investment in your business. As noted above, outsourcing saves you time, and (say it with me!) time is money. <\/p>\n\n\n\n Consider what an hour of your time is worth when you\u2019re \u201cdoing your thing.\u201d Now think about how many hours a week you spend on business tasks that are not your thing, or are simply not a good use of your time as an entrepreneur (even if they are your thing!). Don\u2019t you think you could find someone who could perform most of those tasks for you at an hourly rate that is less than \u2013 or even far less than \u2013 your hourly earning power? <\/p>\n\n\n\n We guarantee that you can! <\/p>\n\n\n\n When you quit doing everything in your business, you spend less time \u201cshifting gears\u201d among all the functions and processes needed to keep your business running. Therefore, outsourcing means you have fewer distractions from the mission of your business. Also, because you then get to focus more on your core business offerings and differentiators, you\u2019re increasing your capacity for your business\u2019 specific strengths. You\u2019re able to serve more people and do it with more impact, earning you more money and creating a competitive advantage. <\/p>\n\n\n\n Let\u2019s back up to the sections above about how outsourcing saves you time and increases focus. Doesn\u2019t having more time and focus for \u201cyour thing\u201d also allow you to create higher quality results in your business as a whole? <\/p>\n\n\n\n So, even if you simply outsource a bunch of routine, low-impact tasks (e.g., calendar management, blog post formatting) to a virtual assistant, you get the breathing room to produce higher-quality outcomes and work more ON the business than IN it. <\/p>\n\n\n\n \u201cTherefore, outsourcing means you have fewer distractions from the mission of your business.\u201d<\/p>\n\n\n\n Within many other articles about outsourcing out there, this section is titled something along the lines of<\/p>\n\n\n\n However, The Virtual Hub thinks a bit differently on outsourcing in general and on offshoring specifically. <\/p>\n\n\n\n For starters, although you have to manage the risks that go with any business endeavor, the benefits, convenience, and cost-efficiency can really outweigh any challenges associated with outsourcing \u2013 IF you do it right! That rings true for both onshore or offshore resources.<\/p>\n\n\n\n Furthermore, delegating business tasks effectively is simply non-negotiable if you want to grow your business. You can delegate or you can stagnate. It\u2019s impossible to grow and scale your business without effective delegation and outsourcing is a really cost effective way to achieve this. Period. <\/p>\n\n\n\n So why do others focus on the potential challenges of outsourcing? Because they don\u2019t know how to do outsourcing right. Lucky for you, we do. <\/p>\n\n\n\n We think we\u2019ve already made our case above that quality typically improves, rather than declines, because you (and your team) gain more time and focus within your zone of genius. But we\u2019ll also add here that we\u2019ve found that this is often simply a block or a mindset issue among business owners. <\/p>\n\n\n\n Business owners are high achievers and can, therefore, fear that \u201closing\u201d control of a task or function means that it won\u2019t be \u2013 or even couldn\u2019t be \u2013 done as well by someone else. Yet in reality, they gain more control<\/a> over their business when they outsource because they have the time and energy they need to manage the business more effectively.<\/p>\n\n\n\n The only trick is to ensure that you have clarity on what quality means to you and that your criteria for success are clearly relayed to the person or agency you hire. <\/p>\n\n\n\n There\u2019s a misperception out there that working in different time zones<\/a> creates all kinds of havoc, but that definitely doesn\u2019t have to be a problem. Often, the tasks we need assistance with are not dependent upon location or even a specific time of day. They\u2019re easily delegated, communicated, and executed electronically.<\/p>\n\n\n\n It doesn\u2019t matter if they get completed during your working hours or if they happen while you\u2019re sleeping. (And actually, we think waking up to completed tasks is rather a perk!) <\/p>\n\n\n\n Furthermore, in the Philippines and other parts of Asia, there is a thriving and lively late night work culture. Finding offshore workers willing to work when you\u2019re working is 100% possible, even if they\u2019re completely on the other side of the globe! <\/p>\n\n\n\n This one comes from a lack of understanding of global economics. Hiring an offshore virtual worker typically costs you significantly less than hiring one locally, because the offshore worker has a much lower cost of living. As such, your virtual position is a really good opportunity for offshore workers. <\/p>\n\n\n\n You might be surprised to learn this, but virtual assistants living in Asia often earn as much or even more than their counterparts in professional careers such as nursing! In addition, hiring offshore people creates wealth and growth in poorer nations, fueling their economies. <\/p>\n\n\n\n Using this strategy to help your business grow successfully means that your business will go on to pay tax revenues in your own country, hire local staff and other services and, in turn, drive your economy. Therefore, outsourcing overseas is really a win-win-win.\u00a0 Although clich\u00e9s are true, this one definitely doesn\u2019t have to be. After Myth #3, it should be obvious that, although hiring offshore costs you less, you\u2019re getting the professional equivalent of a local worker who commands a higher rate. That is, you can hire an offshore team member who is comparably trained, experienced, and effective to someone you could find locally but at a much lower hourly or project rate. <\/p>\n\n\n\n It may seem scary to hire someone so far away and feel confident about the work they will do for you. But there are very high-quality workers available.<\/p>\n\n\n\n You just need to carefully do your research when hiring and\/or hire through an agency like The Virtual Hub that trains and manages its staff of virtual assistants. <\/p>\n\n\n\n As we\u2019re sure you realize, even among English-speaking, Western nations, many cultural differences exist! Heck, there are cultural and language nuances even among different regions within a given country. So, when you think about it, this potential challenge is blown out of proportion. <\/p>\n\n\n\n Further, as countries\u2019 economies become closer and closer to operating within one global economy, many large companies have offices in major cities all over the world. Those companies are successfully navigating any cultural differences among their offices. <\/p>\n\n\n\n Why can\u2019t you?! <\/p>\n\n\n\n In addition, where there are virtual (or other) offshore workers looking to work for Western companies (e.g., throughout Asia, including India), English has been made a major part of their existing cultures and their populations are very in tune with Western culture. In fact, we\u2019ve found that the culture in the Philippines, where our virtual assistants are located, is very Western in nature! <\/p>\n\n\n\n Our short answer would \u201cnow\u201d! If you think you don\u2019t \u201cneed\u201d a VA or to outsource some functions of your business, we\u2019d tell you that you simply don\u2019t value your time. As we\u2019ve repeatedly mentioned here, offloading your low-impact, time-intensive business tasks and freeing yourself up to focus on your zone of genius, \u201cyour thing,\u201d is possibly the most effective way to earn more and to grow your business. <\/p>\n\n\n\n But as we also stated, outsourcing is most effective when it\u2019s done strategically. First, consider what you want outsourcing to do to accelerate your business<\/a>. Know specifically what you\u2019ll do with the time you gain by outsourcing and establish your goals. <\/p>\n\n\n\n Next, identify all of those tasks that you shouldn\u2019t do \u2013 the ones you don\u2019t like, the ones that take to much time, and the ones where you lack expertise. Get very clear on which tasks you\u2019ll outsource, how you want them to be completed (set-by-step), the work hours required, and how you\u2019ll establish communication channels.<\/p>\n\n\n\n Finally, ensure you find the right combination of onshore and offshore resources. Take a look at the tasks to be outsourced and consider which are basic, day-to-day tasks that could be done offshore and which might require a more local resource. For example, basic technical operations can easily be moved to offshore resources, but you likely need a native language speaker to write your ad copy. Also, consider hiring different people for different tasks. For example, you\u2019ll probably have more luck hiring one, part-time person for customer service and a second, part-time person to manage your social media scheduling than you will have finding one, full-time resource who\u2019s good at both of those functions. <\/p>\n\n\n\n The myths we covered above truly are myths \u2013 if you do outsourcing right. The biggest potential downside of outsourcing is that it\u2019s a bit easier to fall out of sync with your team member(s), especially if they\u2019re offshore, because you don\u2019t get to connect face-to-face as you would in a traditional work environment. This is why clarity is key. <\/p>\n\n\n\n But if you establish clarity and the right mindset, we believe outsourcing is the number one way to grow and scale your business and to have a bigger impact on the world. <\/p>\n\n\n\n If you\u2019re looking to learn more about outsourcing virtual assistants, our Ultimate Guide to Virtual Assistants<\/a> is the best help that you can get. This guide takes you to all the necessary procedures on how you can maximize the use of a virtual assistant and shows you all the steps from hiring one to managing one. Be sure to read it.<\/p>\n\n\n\nWhat Is Outsourcing? <\/strong><\/h4>\n\n\n\n
Work Culture<\/strong><\/h4>\n\n\n\n
Who Is Outsourcing Their Business Functions?\u00a0<\/strong><\/h4>\n\n\n\n
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What Can Be Outsourced? <\/strong><\/h4>\n\n\n\n
Types of Outsourcing\u00a0<\/strong><\/h4>\n\n\n\n
Outsourcing Categories Based Upon Type of Product or Service <\/strong><\/h5>\n\n\n\n
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Outsourcing Categories Based Upon the Location of the Third Party <\/strong><\/h5>\n\n\n\n
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The Benefits of Outsourcing <\/strong><\/h4>\n\n\n\n
Outsourcing Saves You Time\u00a0\u00a0<\/strong><\/h5>\n\n\n\n
Outsourcing Saves Money\u00a0<\/strong><\/h5>\n\n\n\n
Outsourcing Increases Focus\u00a0<\/strong><\/h5>\n\n\n\n
Outsourcing Improves Quality\u00a0<\/strong><\/h5>\n\n\n\n
![\"\"](\"https:\/\/training.thevirtualhub.ph\/sandbox\/t9\/wp-content\/uploads\/2025\/12\/1.jpg\")
<\/figure>\n\n\n\nMyths about Outsourcing <\/strong><\/h4>\n\n\n\n
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Myth #1: Quality will decline\u00a0<\/h5>\n\n\n\n
Myth #2: We have to be in the same (or very close) time zone\u00a0<\/strong><\/h5>\n\n\n\n
Myth #3: Westerners are taking advantage of lower-paid workers offshore\u00a0<\/strong><\/h5>\n\n\n\n
<\/p>\n\n\n\n![\"\"](\"https:\/\/training.thevirtualhub.ph\/sandbox\/t9\/wp-content\/uploads\/2025\/12\/2.jpg\")
<\/figure>\n\n\n\nMyth #4: You get what you pay for\u00a0<\/strong><\/h5>\n\n\n\n
Myth #5: Cultural and language differences create problems\u00a0<\/strong><\/h5>\n\n\n\n
When Outsourcing Is Most Effective <\/strong><\/h4>\n\n\n\n
Identify the Tasks\u00a0<\/strong><\/h5>\n\n\n\n
Identify the Mix\u00a0<\/strong><\/h5>\n\n\n\n
Do Outsourcing Right and You Can\u2019t Go Wrong <\/strong><\/h4>\n\n\n\n
![\"\"](\"https:\/\/training.thevirtualhub.ph\/sandbox\/t9\/wp-content\/uploads\/2025\/12\/3.jpg\")
<\/figure>\n\n\n\nReady to stop doing everything yourself and start scaling smarter?<\/strong><\/h4>\n\n\n\n