In 2020, choosing to hire remote developers is commonplace among business managers. Right now, there’s no lack of remote-only businesses. Tools like Google Hangouts and Slack make it easier for people from all over the world to connect and create innovative remote web development projects together.
For small business owners, relying on the remote workforce is a game-changer. Company managers will be able to cut operating costs, increase the level of workplace flexibility, and access wider talent pools.
Although there are numerous misconceptions about onboarding remote teams, the reasons to build a remote team outweigh the shortcomings by short numbers. In this post, we’ll take a closer look at the benefits collaborating with people from all over the world offers small business owners.
5 Benefits of Hiring Remote Employees
To work sustainably and be able to resist large-scale competitors, SME owners need to think about working smarter than multinational corporations. To cut operating costs without missing out on workplace efficiency, business owners are more open about hiring remote talent as opposed to scouting in-house specialists.
Mixed workplace cultures are common as well. According to State of Remote Work 2019, 68% of full-time employees in the US worked remotely at least once a month. Why are business owners so eager to trust people they can’t connect with face-to-face?
Here are the benefits of hiring remote employees small business owners should take into account when choosing between in-house and global talent sourcing strategies:
1. Higher employee retention
Although an office opening seems a better way to integrate an employee into the corporate culture, it turns out, remote talent is actually more loyal to employers and happier at work. According to statistics, employees like to work outside the office for the following reasons:
- It helps create and maintain a sustainable work-life balance;
- An employee’s day is more flexible and manageable;
- Remote work makes looking after yourself easier and increases workers’ overall well-being;
- There’s no need to adapt to commute stress.
As a result, the remote workforce is more attached to their workplaces. It turns out, 53% of employees working from home are not planning to change jobs one year from now. On the contrary, most in-house teams reported that they would be considering a change over the next 12 months.
2. Reduced operating costs
Small business owners have to be selective about the investments they make. It turns out, hiring remote employees is a reasonable investment since it prevents future financial losses. For one thing, an office manager will not have to pay rent, electricity bills, pay for workplace perks, and office management technology.
On top of that, it turns out that remote employees have fewer work-related spendings than their in-house colleagues. According to Inc.com, working from home saves up to $7,000 a month in transportation, clothes, healthcare, children care, and other expenses.
Global Workplace Analytics calculated yet a more impressive estimate. According to the analysts’ research, if every company chose to hire remote developers, the country will be able to save more than $700 billion per year.
Eliminating financial losses induced by office management, employee absenteeism, and other expenses allows an employee to save $11,000 a year per employee.
3. Wider talent pools
The location of the office is a crucial decision-making factor for an employee when considering available openings. To stay competitive, business owners need to rent spaces downtown - it’s not easy to find such an office, and rent is typically expensive.
Remote work, on the other hand, doesn’t limit HR managers to one area when looking for talent. Being able to screen candidates from all over the world gives access to qualified talent and allows onboarding employees with lower hourly rates.
Other than that, remote work can be used as a perk to lure more talent in. Turns out, 70% of job-seekers recognize the possibility to work remotely as an important factor for choosing the next opening. Also, 36% of in-house employees would prefer a permit to work remotely over a raise.
4. Higher employee productivity
Keeping the team at the office is no longer an efficient way to monitor an employee’s productivity and reach business goals. On the contrary, remote teams are considerably more productive than in-house departments are. Statistically, people are more willing to pull off overtime outside the office.
Not only that, 45% of remote teams remark the possibility to optimize their workflow as a competitive advantage over in-house collaboration. 44% of respondents say that there are fewer distractions outside the office and they find focusing on the work easier.
Most business managers notice significant productivity spikes from employees who have workplace flexibility. A team for remote software development can accomplish more in a week than an average in-house department in a month of work.
5. Promotes positive workplace habits
On a large scale, remote work encourages teams to approach work more mindfully and efficiently. The prevalence of written communication makes it easier to communicate changes and exchange reports. The lack of direct oversight demands discipline and a sense of responsibility from employers, allowing business owners to collaborate with conscious talent. On top of that, every employee on the team is encouraged to be a self-starter, constantly looking for new ways to benefit the company.
In the long run, remote teams have higher interdependence than that of in-house departments. Also, allowing employees to work remotely reduces the manager’s workload and helps focus on efficiency rather than maintaining a sustainable working environment at the office.
How to Hire Remote Employees?
To benefit from the changes the remote workforce revolution brings forth, business owners need to be familiar with the specifics of recruiting talent to work outside the office. Otherwise, a company manager might gather people who don’t work at their peak productivity.
Here are some tried-and-true tips that help gather a high-performing remote team:
- Outlining the defining traits of a good candidate. It’s crucial for business owners to have an idea of what type of job applicant would be a good fit for the opening. The list of traits may vary depending on the industry and type of job you are scouting for. However, excellent written communication, the ability to work in a deadline-oriented remote development environment, and high technical proficiency are examples of must-have skills for remote employees.
- Posting job openings on the right platforms. Make sure you know which tools talent uses to connect with remote employers. AngelList, StackOverflow, and Remote.co are the platforms you can consider to hire remote developers for startup management.
- Take the candidate’s value into account. A fair share of business owners underestimates the importance of corporate culture for remote teams. The truth is, the productivity of the team highly depends on whether or not candidates match the values of the company and are compatible with one another. Other than running an experience interview, schedule a short call with a candidate where the corporate culture will be discussed.
- Offer a candidate a paid work trial. It’s a risk-free way to make sure a prospective employee is a right fit for your future remote team. To cut operating costs, a business owner doesn’t have to offer full developers remote salary during the trial or pay an employee by the hourly rate.
The remote workforce has been a powerful change-driver in the modern workplace. Small business owners are the ones to benefit from the emergence of the trend to the highest extent - hiring remote employees helps reduce the company’s operating costs, makes talent sourcing easier, and gives employers a competitive advantage compared to teams that don’t offer flexible work.
If you know what resources to use for talent scouting, take time to connect with job applicants, and know what type of employee you are looking for, creating a well-functioning remote team will be a breeze. After onboarding skilled international employees, you will be able to create innovative projects together, reach business goals and maximize the company’s revenue.