12 Benefits of Nearshoring your Software Project to Latin America

If you’re thinking of outsourcing your software development, you’ll find a multitude of good reasons to consider Latin America for your IT needs beyond simply lower prices and geographical proximity. Below, we outline 12 reasons why you should choose nearshore software development in Latin America.

1. Lower Costs

The lower cost of living in Latin America makes developer rates very competitive when compared to the US, which makes it a great option to save on development costs. You might note that prices are often listed even lower compared to some Asian countries, but nearshoring to Latin America comes with many extra advantages that hit the perfect sweet spot between cost and quality.

2. Compatible Time Zones

Time zone proximity should always be a consideration for outsourced projects, as it’s important to be able to communicate with your team in real time (this goes double for Agile software development that leverages frequent short meetings and feedback). Latin American countries, such as Argentina, have time zones with a difference of just one or two hours from the US, which makes it easier to coordinate communication during the work day.

3. High English Proficiency

Due to geographical proximity and cultural cross-pollination, many Latin American countries, such as Argentina and Bolivia, have very high English proficiency rates. This helps facilitate communication between outsourced teams and clients.

4. Cultural Similarities

Cultural differences can lead to communication difficulties and confusion when it comes to expectations. Compared to vendors in other parts of the world, Latin American culture is very similar to that of the US, especially in the tech industry, where workers are willing to raise issues when necessary and volunteer their opinion, which is important in collaborative software development.

5. Creative Direction

Latin Americans share a lot of cultural expectations, tastes, and consumption habits with their northern neighbors, leading to better compatibility in aesthetic and informational projects. A Latin American team can better create UI/UX designs that appeal to a US customer base.

6. Strong Work Ethic

Latin Americans exhibit a strong work ethic. Those who pursue an IT career are especially motivated to excel in a career that promises a high standard of living in their native country. Latin Americans are passionate about their work, take pride in every project, and are a worthwhile addition to any team.

7. Good IT Infrastructure

Many Latin American countries have made uplifting IT education and infrastructure a priority for their economic development. These investments include:

• Fast and stable telephone and Internet
• Incentives for US companies to set up in their cities
• Support of emerging technologies such as virtual reality and blockchain

These investments are turning major Latin American cities into innovation hubs that attract IT talent and investors alike.

8. Mixed Teams Options

Remote working technology and close time zones offer the possibility to mix and match team members from the US and Latin American companies to optimize your software development team. That way, you get the best of both worlds—lower costs, English language, and US service culture.

This is exactly how we build nearshore software development teams at AccelOne. Our IT talent is drawn from across major US tech hubs and our Nearshore base in Argentina. Our senior-level developers, engineers, UX designers, and QA specialists have a proven track record in delivering quality software solutions to industry-leading clients.

To learn how we can assemble the perfect Nearshore team for your needs, contact us online or call 800.863.6814.

9. Agile Methodology

The Agile method of software development excels at delivering software products quickly and cost-effectively. Agile is more widely adopted in Latin America than in other outsourcing destinations, and therefore nearshore development teams can work more closely with US clients based on this modern methodology.

10. Experienced Custom Software Developers

For a long time, Latin American companies were not able to import pre-built software packages from North America, which meant that their developers had to build their own software for banking, CRM, productivity, etc., from scratch. Consequently, Latin American developers are experienced with custom software development and highly aware of customer needs.

11. Flight Accessible

The occasional in-person, on-site visit can do wonders to boost the cohesion and productivity of a project, but flying out to a location halfway around the world can be very expensive and time-consuming. In contrast, visiting a nearshore office in Latin America can be shorter and more efficient.

12. Lower Developer Turnover

One effect of the ongoing global IT talent shortage is a high developer churn rate, which results in companies investing in developer talent that quickly moves on and has to be replaced. This can cause significant disruption to projects. However, Latin America has a relatively low churn rate compared to other outsourcing destinations. Projects outsourced to Latin America are therefore less likely to be disrupted by employee turnover.