Frequently Asked Questions

1. What are the benefits of outsourcing for software development business?

Outsourcing – is the practice of using outside firms to handle work normally performed within a company. Small companies routinely outsource their important functions. In response, entire industries have evolved to serve companies’ outsourcing needs.

But not many businesses thoroughly understand the benefits of outsourcing. There are many reasons to do outsourcing and doing it wisely can provide a number of long-term benefits:

  • Control capital costs.
    Outsourcing converts fixed costs into variable costs, releases capital for investment elsewhere in your business, allows you to avoid large expenditures in the early stages of your business, and makes your firm more attractive to investors, since you’re able to pump more capital directly into revenue-producing activities.
  • Increase efficiency.
    An outside provider’s cost structure and economy of scale can give your firm an important competitive advantage.
  • Reduce labor costs.
    Outsourcing lets you focus your human resources where you need them most.
  • Start new projects quickly.
    A good outsourcing firm has the resources to start a project right away. Handling the same project in-house might involve taking weeks or months to hire the right people, train them, and provide the support they need.
  • Focus on your core business.
    Outsourcing can help your business to shift its focus from peripheral activities toward work that serves the customer, and it can help managers set their priorities more clearly.
  • Level the playing field.
    Outsourcing can help small firms act “big” by giving them access to the same economies of scale, efficiency, and expertise that large companies enjoy.
  • Reduce risk.
    Markets, competition, government regulations, financial conditions, and technologies all change very quickly. Outsourcing providers assume and manage this risk for you, and they generally are much better at deciding how to avoid risk in their areas of expertise.

Outsourcing is increasingly becoming a strategic tool for companies, so that leading companies understand that outsourcing some functions can help them gain a competitive advantage by allowing them to access expertise or innovative technologies they don’t have in-house; or by helping them deliver products or services more quickly; or enabling them to shift resources to the areas of the business that are most critical.

2. Why outsourcing to Ukraine?

Many business owners find Ukraine an attractive place for IT outsourcing and the reasons for it are high quality and reasonable cost. Moreover, some tech giants are so attracted by Ukraine’s IT potential that many of them, such as Microsoft, Apple, Skype, Oracle, Cisco, Ericsson, Boeing, and Samsung have opened their R&D centers there.

Some reasons below will show you the answer to this question:

  1. 160,000 IT Professionals. By the number of tech workers, Ukraine holds 4th place in the world after the United States, India, and Russia. Moreover, it is expected there will be 200,000 IT specialists by 2020. Ukrainian developers have skills in most of the world’s technologies, with Java (26.3%), C#(15.4%), JavaScript(13.8%), PHP (13.1%), and Python (8%) being the most popular programming languages in Ukraine according to DOU.
  2. A Big Tech Community. Such Ukraine’s major tech event as IT Arena, Agile Eastern Europe Conference, PyCon Ukraine, iForum, and DEV_Challenge give IT specialists an opportunity to network with their colleagues, share experiences, and learn on the best practices from the leaders of the industry.
  3. Best Price/Quality Ratio. With such a large and talented tech pool, Ukraine offers low rates (the average salary varies between $2,500 and $4,000 per month)
  4. 1,000+ IT Companies. There are over 1000 software development companies in Ukraine that offer almost every kind of IT service and are at the top of the global rating of IT companies.
  5. 2,000+ Up and Coming Startups. Many big companies have their birth in Ukraine  (Grammarly, GitLab, PrepL, etc) and the local startup community is growing. Global market big players have a huge interest in Ukraine’s startups. Moreover, venture capital investment in Ukrainian startups has been growing and has reached $258 million in 2017.
  6. 80% of Ukrainian developers speak English. 80% of Ukraine’s IT professionals have an intermediate or higher level of English knowledge according to DOU’s
  7. Cultural Compatibility. Ukrainian developers are open to challenges, treat the projects they’re working on as their own, and are interested in the success of the customer.
  8. Good Business Climate. Ukraine has gone 20 positions up in the rank of ease of Doing Business owned by the World Bank. Ukraine also made the process of paying taxes easier for employees by reducing a flat rate from 49% to 22% for the Unified Social Contribution.

Reviewing all the above-mentioned data, it is hard to ignore the fact that looking for IT talents in Ukraine can be a great choice to make.

3. Why should I choose Newsoft?

We are a software development company located in Lviv, Ukraine. Our main advantages over the competitors are:

  • A small company with a big desire to grow. We understand that providing only high-quality products we can grow fast.
  • Our company is located in Lviv, where IT services hold one of the leading positions in Ukraine. It has several domestic IT-BPO companies, which can be used or partnered with to enter the country.
  • We have the opportunity to hire Senior developers as well as prospective students so that we offer reasonable and advantageous prices for our services.
  • We are a Win-Win orientated company. Our goal is to create valuable products for our customers as a result, we will be able to grow quickly and efficiently.
  • The importance of a client. You can be one of the many clients in a big IT company or a strategically important client for us.
  • Problem-solving. It can take a lot of bureaucratic procedures to solve your problem in a big company, in contrast, you may drop us a line and we will solve any kind of problem with a person who is really interested in it.

We strive to understand your business and add value to it.

4. What experience does Newsoft have?

The company was founded in 2018. The average experience of programmers composes 2-3 years (there are 4+ and there are from scratch). Many have experience in TOP IT companies in Lviv and Ukraine. We are trying to find a reasonable relation between experienced developers and young & promising university graduates (there is a large and high-quality choice of personnel in Lviv). Thanks to this ratio, we are able to provide quality services at a reasonable price.

5. What services does Newsoft provide?

Our main services are:

  • Android app development
  • iOS app development
  • Mobile app design
  • Mobile app testing
  • Backend development
  • Web development

Our main service is the development of mobile applications and everything related to their development: design, application development, backend development, testing, support. We also develop websites when needed.

6. What is WIN-WIN cooperation?

Win-win is a frame of our company’s attitude to a client. Win-win means that agreements or solutions are mutually beneficial, mutually satisfying.

    Win-win: client – company

    Win-win: company – personnel

With a win-win solution, all parties feel good about the decision and feel committed to the action plan.

We are sure that the best cooperation is when each party is satisfied and receives value from the cooperation. We understand that if the customers are satisfied with the services provided and the employees are satisfied with the work they perform, the quick and qualitative growth is guaranteed. Therefore, this is one of our main goals.

We use the same principle to resolve any disputes (we look for WIN-WIN for all parties).

We believe that the Win-Win principle holds the future and this rule is our primary goal for customers and employees.

7. What guarantee do I get?

Since we are a young and prosperous company, the level of services we provide is very important for our growth. We always monitor the quality of work and the quality of employees’ professional growth. We attend advanced training courses every time something new appears on the market. The service we provide passes several stages of quality control. We understand that if the customers are satisfied with the services provided and the employees are satisfied with the work they perform, the quick and qualitative growth is guaranteed.

Depending on the type of contract, the following guarantees are possible:

    1. Fixed price. In this case, one month after the release, we are ready to fix all the bugs that were found in our work for free (the period of 1 month can be changed depending on the contract). Also, we are ready to support the product in the future.
    2. Hourly rate. The client has the opportunity to interview the programmer before hiring him/her and look through the projects they have developed. To control the work of the employee, the customer can use any additional tools like trackers and others. If it is difficult for a customer to cooperate with a hired employee or something goes wrong with the project a programmer develops, then we will find a new programmer quickly and effectively.
    3. Dedicated team. The customer can interview each member of the team before hiring them and any additional tools can be used to control their work. In case of performing poor quality work, a member or a whole team can be changed; if a team needs more people, we will find them!

We work individually with every client because our goal is to receive value from the cooperation for both: client and company.

8. How will we communicate?

One of the most important factors in outsourcing is the quality of communication between you and your remote workers. Nowadays it isn’t a big deal! There are plenty of different tools to communicate and share information. We usually use Slack, Zoom, Skype, Google Hangouts, WhatsApp, emails, and many others. You may choose one that best suits you!

Being only 1 hour ahead of European countries, Lviv is an incredibly convenient location for outsourcing, as it enables smooth communication and workflow between geographically dispersed teams. Ukraine International Airlines offer regular flights from Lviv to many major European tech hubs. The country also makes an attractive offshore choice for American companies. This allows us to be within easy reach to our clients and arrange regular on-site trips. We practice visiting long-term clients for meetings and building long-term cooperation.

We guarantee you a qualitative communication using a communicative tool or even on-site trips in order to make our cooperation efficient.

9. Is it possible to visit Newsoft office when needed? Could you visit my office for negotiations?

You may visit our office at any time for business meetings, interviews, management and just to explore Lviv. We will be glad to show you our city and its incredible atmosphere!

In case of long-term projects or enterprise projects, we are ready to visit you.

10. What about payment? What are the general payment schedules?

Usually, there are different payment schedules for different cases of cooperation:

  • Hourly rate (Time and Materials): usually, the client pays for the hours worked by a developer (or developers) once in two weeks.
  • Fixed price: after every milestone.
  • Dedicated Team: once in two weeks or once in a month.

We work individually with a client, so that we may make some exceptions in payment schedules in order to make our work organized.

11. Is the difference in time zones a problem? What is your time availability?

We are a client-friendly company and the difference in time zones isn’t a problem for us. Usually, we find a suitable time for both sides, but we are also ready to communicate at a suitable time for a client.

If you are a client from Europe or Israel, there shouldn’t be difficulties, because our working hours are practically the same.  With American clients, we usually talk when it is 4-7 pm in Ukraine and morning in the USA.

We are open to communicating with you and any kind of problem will stop us.

12. What are the business models in your company?

Each client chooses the business model which best suits the project and the client’s abilities.

The most prevalent business models in our company are:

  • Hourly rate (Time and Materials): a customer pays a supplier for work time and materials used.
  • Fixed Price: a customer and a supplier agree on a fixed price
  • Dedicated Team: a supplier provides a customer with a team that works on a client’s project only for a fixed monthly salary.

Clients should choose a pricing model based on the type of project they have. If they have a clear understanding of their project and a limited budget, then a fixed-price or dedicated team model should be used. Clients should avoid including lots of functionality in this case and instead focus only on core features. If the project is quite flexible and requirements change frequently, then the hourly rate model should be applied

We offer you to choose one of these models, but if you want to work with another business model, we are open to discuss it!

13. Who are your clients?

Our goal is to make Win-Win relationships with every client because we are sure that the best cooperation is when each party is satisfied and receives value from the cooperation.

We have experience in working with clients from Europe, America, Israel, Australia, Egypt, etc.

According to statistics, TOP 3 are:

  • Tel Aviv (Israel)
  • London (Great Britain)
  • New-York (USA)

The main clients are large IT companies that hire our developers to expand their team and make it reasonable. Also, startups usually order product development and MVP.

We are doing our best to receive good feedback from the client and the motivation to grow even faster!

1. How does cooperation usually begin? How much time does it take to find a developer?

We offer you only motivated developers with profound expertise in various frameworks and technologies. We hire programmers for our clients according to their requirements, scale, and business field.

This process usually consists of next steps:

  1. Share your requirements. Tell us more about the tech stack, team structure, and specific requirements and requests you have. Based on that we show you the expected budget and start the recruitment process for free.
  2. Interview and hire developer(s). Get the CVs of vetted developers during the first week. Then you interview the best ones and make the final hiring decision. On average it takes 4-10 days to find and hire developers our clients need.
  3. Onboarding. Visit your team in our office or use online tools to set up processes and integrate developers into your organizational structure. 
  4. Get to work. Enjoy your fully integrated team working together in our office. 
2. What is the advantage of outstaff team over in-house team?

From the perspective of a client, outstaffing isn’t much different than taking on a contractor. The difference is that the contractor has been carefully selected by an outstaffing supplier to be qualified for the job.

IT outstaffing offers the following perks, to name a few:

  • You hire a vetted professional without dealing with the hassle of paying overhead benefits, tax insurance, legal responsibilities, etc.
  • You can be totally flexible when it comes to increasing or decreasing the number of dedicated specialists you hire for your projects.
  • Outstaffing provides a safe and efficient way to identify professionals and guide their activities according to the demands of a particular project.
  • You can reduce expenses for personnel.
  • Company value can be increased by increasing the index of income per one staff employee of your company.
  • You have full flexibility in development.
  • Unlike outsourcing, outstaffing allows you to manage employees directly and gather team meetings any time you need.

IT outstaffing often works best for companies that already have some degree of in-house development capacity. A remote worker doesn’t replace an entire IT department, they supplement it.

3. What is the advantage of hiring a developer over ordering a product using a fixed price model?

Each project is specific and needs an individual approach to it. When you know that your project is vast and there might be many changes to provide, hiring a developer is the best option! You actually pay for all the time a developer spends working and any unexpected changes or additional work can be easily billed for without requoting anything. One more reason to hire a developer is team extension. In this case, hiring a developer will help your team to work faster and more productively.

If you have some doubts about hiring a developer, contact us and we will consult you on this issue.

4. Why should I hire a developer in your company?

We are a young and ambitious IT company located in Lviv, where IT services hold one of the leading positions in Ukraine. Though our company is small, we have a big desire to grow and do it fast! We understand that providing only high-quality products we can grow fast.

We have the opportunity to hire Senior developers as well as prospective students so that we offer reasonable and advantageous prices for our services. You will never be disappointed with our services because we are a win-win orientated company (your good feedback is our “win”, our qualitative product is your “win”).

Every client is important for us and the approach to a client is individual. We are not afraid of problems, we solve them quickly and efficiently. Moreover, we strive to make your business profitable developing great products!

5. Could I interview a developer before hiring him/her?

Yes! You will have the opportunity to interview a developer and look at the projects he or she developed. Keep in mind that many programmers sign NDAs with the client so that we cant’s show you all the projects we were working on.

We work every day on improving the level of programmers (training classes) and finding the best talents! 90+% of our clients are completely satisfied!

6. What does a contract look like? How big is it? Can I sign an NDA with both a company and a programmer?

The contract is as simple, short, and clear as possible. In general, you should let us know about the termination of cooperation with a programmer one month before the cooperation will be stopped. If we are forced to change a programmer (for example, when he/she is leaving the company), we have to notify you a month before a programmer is to be changed. Everything can be changed personally depending on the customer’s requirements.

Yes! You can sign the NDA with both a company and a programmer. Moreover, every developer, who works in our company, sign NDA with us.

7. In what way can I check the productivity of a programmer? Can I use a time tracker?

The developers that work in our company are our face and our reputation. We hire only professionals and know how to transform a junior developer into a professional developer! Training is our company’s good habit. We control the work of the programmers because it is very important for us.

The client can use a time tracker.

8. What about vacations? What weekend does a programmer have?

When a public holiday falls on a weekend (e.g. Saturday or Sunday), the following working day (e.g. Monday) turns into an official day off. (https://publicholidays.com.ua/2019-dates/)

Also, depending on the work experience in the company, a programmer has 20-25 days of vacation per year.

9. How is a programmer's rating formed? What affects it?

Annual performance reviews are a key component of rating a programmer. The performance review is intended to be a fair and balanced assessment of an employee’s performance. Many factors can affect the rate: level, experience, skills, development. We have a spreadsheet of programmers’ rating that we will provide you with during negotiations.

10. What about a performance review? How often does it happen and how often should I raise the rate to the programmer?

Performance review of the Middle-level programmers holds every six months, Middle + once a year. Our managers evaluate a programmer’s work performance, identify strengths and weaknesses, offer a client’s feedback, and set goals for future performance.  We notify you in advance about the review and you also participate in it by giving feedback.

11. Do all the programmers work in your office in Ukraine?

Yes, all the programmers work in our office in Lviv, Ukraine.

12. What is developer time ability?

Usually, programmers work 8 hours a day between 6 am and 7 pm UTC time. We provide employees with more freedom and flexibility in making their own work schedule.

Our programmers set their own work schedule according to the project, the country of the customer, and their abilities. The main requirement for the programmer is to work 40 hours a week.

13. If I hire a developer, does that mean I have that person dedicated only to me? Is it possible for a programmer to work more/less when needed?

Our programmers work 40 hours a week. If you hire a programmer, he/she will work for you 40 hours a week. If a client wants to change the work schedule, it will be discussed individually.

14. How does it work with a dedicated team?

We build your team based on your requirements, using our internal development resources and recruitment capabilities.

 In general, everything is done according to the same rules discussed above but, in this case, everything can be even more customized depending on the client’s suggestions and requirements.

1. How cooperation usually begins?

Good collaboration makes great sense when it is organized wisely. We are doing our best to make our cooperation with a client simple and efficient.

We usually follow the next steps at the beginning of the cooperation:

  1. We negotiate about all aspects of the project in detail.
  2. We write requirements, documentation, all necessary charts, create prototypes, and the layout.
  3. Estimate the project.
  4. Make a project plan. We break everything into milestones.
  5. Sign the contract and start working.

Always keep in mind that we cooperate with a client individually. We are ready to make some changes according to your requirements!

2. What is the advantage of ordering project development in your company over hiring local developers?

First of all, Ukraine is one of the most attractive places in Europe for IT outsourcing. Our company is located in Lviv, where IT services hold leading positions. Our main advantages are qualified developers, win-win strategy, and a big desire to become successful. The fact is that we have the opportunity to hire Senior developers as well as prospective students so that we offer reasonable and advantageous prices for our services.

Secondly, ordering a project in our company you save your money and time. The developers work in our office and we are in charge of all the risks and changes.

Finally, our goal is to create valuable products for the client so we can become successful.

3. What is the advantage of ordering a project development in your company over hiring the programmers to develop it?

If you have a clear understanding of the project than, fixed price model should be used. It is wonderfully manageable, because you do not have to keep detailed records of everything a developer does just to get paid, and you know from the start how much you will pay for a piece of work. You give the requirements, and we fulfill them. Also, ordering a project in our company you do not have to manage it, we will manage it from the beginning till the end of the development.

4. Why should I order a project development in your company?

Every project is strategically important for us as we follow the win-win principle. You get a qualitative product – we receive good feedback. Your ideal team will be selected according to your requirements and for a reasonable price.

We add value to your business developing high-quality products.

5. How long it takes to estimate a project? Is the estimate paid? What information should I provide you with to get the most accurate estimate?

In most cases the project estimate is free. It can be paid only when there is a lot to investigate or it is very custom. In that case, we will notify the client about paid estimate during the negotiations. On average, the estimate is ready within 24 hours.

To get a clear estimate, a client should provide us with as much information as possible about the project to be developed. Namely: requirements, user flow, mockups, description of system functions, etc.

Do not worry if you have only an idea and a little structure information. We will ask you the right questions during the negotiations and help you to make the right system requirements.

There are also cases when, according to the requirements, the design estimate should be done first. In this case, the project is estimated right after the design is ready; this is the way to do when it is difficult to predict the project’s design and the design affects development time.

6. Do you develop projects from scratch? Does your company have all the necessary personnel to develop a project: UI/UX designers, analysts, project managers, testers?

We are ready to build an outstanding project from scratch according to the ‘software development life cycle’ scenario: planning, analysis, design, development & implementation, testing & deployment, and support. Since we have developed many different projects for many different clients, we think our experience will be useful for you at every stage of project development.

We will help you with:

  • Advice. We will consult you on how to do the best in terms of business and development (choosing business model, technologies, etc)
  • Create detailed requirements and project description
  • Create mockups and all the necessary system diagrams
  • Create user flow and design
  • Develop a product
  • Test it
  • Run it
  • Support it

Our goal is not just to develop a product but to provide you with the right and truthful tips to help you get the most out of your product.

7. What guarantee do I get? What about project support?

The level of services we provide is very important for our company as our goal is to become successful by developing great products. We understand that if the customers are satisfied with the services provided and the employees are satisfied with the work they perform, the quick and qualitative growth is guaranteed.

In the case of a fixed-price model, we fix all the bugs that were found in our work one month after the release and for free (the period of 1 month can be changed depending on the contract). Moreover, we are ready to support the product in the future.

In most cases, we move customers on an hourly rate right after the release, so it is easier to do support and refinement. But everything is individual, and support at a fixed price is also possible.

8. How will we communicate during the project development?

Passing information about specifications, requirements, bugs in the code, etc. is really crucial for the developer, the product, and the business. There are plenty of different tools to communicate and share information between the client and the company. We usually use Slack, Zoom, Skype, Google Hangouts, WhatsApp, emails, and many others. You may choose one that best suits you! We are a client-friendly company and the difference in time zones isn’t a problem for us. Usually, we find a suitable time for both sides, but we are also ready to communicate at a suitable time for a client.

We communicate a lot with a client at the beginning of our cooperation in order to understand exactly what the client wants and to compile the correct documentation, to create mockups, design. Once we have started the development, we communicate when the client or the developers have any questions, also after every milestone when we send a bill to check.

Good communication gives a lot to a project – this allows us to detect errors at the planning stage. If there is good communication during the project development, the client and the company are always aware of the project status and there should not be unpleasant surprises.

9. How often should I pay?

Usually, payment is made once in milestone. The length of a milestone depends on the project and its plan. The average length of a milestone is two weeks.

10. What project management technology do you usually use?

We usually use Agile (Scrum and Kanban).

Agile is a process that helps teams provide quick and unpredictable responses to the feedback they receive on their project. It creates opportunities to assess a project’s direction during the development cycle. An agile is a very empowering process that helps us design and build the right product.

Kanban and scrum are frameworks that help teams adhere to agile principles and get stuff done.

Kanban is all about visualizing the work, limiting work in progress and maximizing efficiency (or flow). Kanban teams focus on reducing the time it takes to take a project from start to finish. They do this by using a Kanban board and continuously improving their flow of work. 
Scrum teams commit to ship working software through set intervals called sprints. Their goal is to create learning loops to quickly gather and integrate customer feedback. Scrum teams adopt specific roles, create special artifacts, and hold regular ceremonies to keep things moving forward.

If you have any other proposal about project management technology to use, we are open to discuss it.

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