Outsourcing companies in UAE, especially in Dubai seems to be reaping success year after year. Especially, with the recent reforms in the area of tax and accounting, there has been an ever-increasing demand for bookkeeping and accounting outsourcing companies in UAE.

What factors make outsourcing companies in UAE preferable?

There are some things related to UAE’s economic, social, political and legal environment that makes outsourcing companies in UAE quite preferable for both domestic and international businesses.  Here are some of the major factors taking outsourcing in the UAE through a boom.

Government support and friendly policies: For the success of any business industry, political and legal environments can be the greatest support systems as well as challenges. Well, in the case of the UAE, there is an abundance of government support for the business. There are lesser formalities to be met backed by the possibility of getting various concessions and tax waivers. There has been particular support from the government for outsourcing companies in UAE given the vision of making Dubai an outsourcing hub and more importantly, a knowledge-based economy.

Budget friendliness: The cost of living in Dubai and other parts of UAE is comparatively lower than many of the developed countries. So setting up bookkeeping outsourcing companies in UAE and other kinds of outsourcing companies would cost much less. This, in turn, means a lower cost of hiring companies that operate from developed countries. International businesses can outsource their work to UAE firms at a cost that’d be much lower than the costs of hiring in their own countries.

An abundance of labour: UAE has relatively much easier visa policies. This, along with good working environment there brings in a great pool of foreign nationals who are in search of jobs. The easy and excess availability of labour lowers the operating costs further for the outsourcing companies, which in turn makes it cheaper for businesses to hire them.

The influx of international investment: The UAE government’s determination to support serious economic growth has lead to a serious inflow of international businesses to UAE. And, of course, the businesses operating on a large scale outsource whatever processes they can while they can. A competitive business environment in the UAE eventually leads to increased demand for business outsourcing companies in the UAE.

Great infrastructure and connectivity: Thanks to the fantastic development pace of Dubai and other parts of UAE, there is hardly any problem for companies from different corners of the world when it comes to connecting or communicating with the outsourcing companies in UAE. Additionally, the great infrastructure offers comfortable business spaces, transaction and opportunities.

Well, initially, there was some hesitation as to whether or not trust outsiders with sensitive data and business information.  This hesitation eventually melted away as the outsourcing companies in UAE proved to be successful in complying with legal necessities and winning the trust of clients over and over again.

The benefits of outsourcing business processes to outsourcing companies in UAE

1.      Access to diverse markets

As you expand your business beyond your county’s boundaries to new territories, there might be several barriers that can come in your way. There might be language issues, problems in understanding the legal environment and policies of the new country or even the lack of trust of people on foreign faces etc. One of the predictable benefits of outsourcing at least some of the business processes would be the ease of access to the new markets. For example, if you have a business in the US and choose to expand your business to Dubai, hiring a bookkeeping outsourcing company in UAE to handle your accounts would be a smart thing to do. They will be more aware of the legal requirements formalities than you.

2.      Lower operation costs, administrative costs and labour costs

This benefit is usually the particular focus of companies that are established or operating from developed countries with a much higher cost of living. Hiring locally would mean much greater labour costs. Additionally, the training and administration of the labour would further add to the expenses. Thus, a lot of overhead costs can be saved through outsourcing.

3.      Benefits of experts

If you are operating a business, you know that hiring experts in any industry is, well, an expensive affair. And, by no means can you have staff that are good at everything. Outsourcing is a solution here too. Outsourcing companies are usually specialized in one thing or another. This means, when you hire an outsourcing company, you can be sure that you are giving the task out to those who know what they are doing. This availability of expertise at a fraction of the original cost can make a real difference in business’s growth and goodwill.

4.      Lowers work burden and leads to efficient utilization of resources

When you are outsourcing some of your business processes, a considerable amount of your business’ resources are either saved or freed up. you can put the thus-saved time and resources to better and more efficient use. Additionally, when you or your managerial team don’t have to pay attention to matters of every department on a daily basis, there is a scope of paying undivided attention to critical and important business matters. This can lead to far greater productivity in the business.

5.      Availability of external resources

When a business is at its initial or break-even point, all the necessary resources may not be available- or, sometimes, affordable. Outsourcing, in a way, help you access resources that your business might not be able to afford at the time. This can also help business tap into world-class business capabilities.

6.      Immediate availability of resources and expertise

Acquiring and employing fresh resources as your business goes through a boom period is a long, sweating task. On the other hand, through outsourcing, you have adequate expertise and resources available to work in co-operation with your demand-supply level.