The Top 10 Tips for Outsourcing like a Pro

by James Martell on May 11, 2011 · 48 comments






The Top 10 Tips for Outsourcing like a Pro

For many years now, people have been looking to work for themselves rather than someone else. This kind of entrepreneurial spirit is integral in human nature, but today it is easier than it ever was in the past because of the Internet.

On the other hand, it’s not exactly easy – you do have to work. To balance it all out, though, you have freelancers. Freelancers make it so that you don’t have to struggle with jobs that are over your head or skill level, allowing you to focus on the big picture.

My wife and I outsource just about every facet of our business (she outsources more than I, believe it or not) and it has been a true godsend. The marketers that I’ve spoken with at seminars have said the same. Many have actually approached me months or even years later and said that outsourcing was what made the difference in whether their business sank or swam.

Whether your business is brick-and-mortar or online, you should get to know outsourcing. Data entry jobs, illustration jobs, infrared photography, web designing projects, photo retouching, writing and editing web content – all of them can easily be outsourced.

The Top 10 Tips

People have some misconceptions when it comes to outsourcing, but you have no perspective without really studying it. My wife Arlene and I discovered the website Elance in 2004 and utilizing it really streamlined our entire business. Here are the top 10 things we have learned after all these years and 400 outsourced projects later.

  1. Don’t Assume That It’s Over Your Budget – Many business owners will wrongfully assume that they can’t afford to outsource and will waste valuable time trying to make a go of it themselves. Websites such as Elance make outsourcing easy and affordable because they are set up so that freelancers underbid each other to get jobs.
  2. Provide a Clear Description of What You Want – If you want your freelancer to make your idea a reality, you have to clearly let them know what you want. If you don’t provide a lot of details, you shouldn’t complain when the results aren’t what you imagined.
  3. Set Deadlines/Milestones and Use Escrow – Elance and websites like it have features in place to protect the process and the exchange of money. Milestones let you track progress and the escrow account assures your freelancer that they will get paid for their services.
  4. Evaluate Your Prospects’ Feedback – Before you decide on a freelancer, look at the Elance profiles of all the freelancers that have bid on your project. Their feedback scores will give you a pretty good idea about their past behavior. You should also look at any comments that previous providers have left for further insight.
  5. Haggle on the Price – Once you have your list narrowed down a bit, now’s the time to haggle. Send your freelancers a message and ask each of them what their minimum bid would be to get the job. Many will come down on their bid to get the job.
  6. Answer Private Messages Quickly – If you want to hit your deadline, you need to answer your freelancer’s questions expeditiously. Your project will get stuck in limbo if you don’t.
  7. Pay Expeditiously – As soon as your freelancer turns in your finished project to your satisfaction, release the money held in escrow. Elance has a failsafe that releases the funds by default after a time, but don’t dither; do it yourself. We all need to make a living.
  8. Conduct All Your Business in the System – Some freelancers will ask you to deal with them one-on-one, rather than through Elance. Don’t take the bait; you will lose the protection of the feedback system and their escrow accounts.
  9. Form Relationships – Use Elance to an even greater advantage by using it to build a team. If a freelancer gives you the results you want, hold onto them for future projects.
  10. Build Your Own Feedback – Providers also have a feedback score on Elance, so be diligent and forthright and your score will show everyone that you are a good provider.

True Experts Can Be Found on Freelancer Sites

No business owner is an expert at every facet of their business. This is why freelancers are necessary. Freelancers are true experts and professionals versed in a variety of skills. You will never be as versed in editing, let’s say, as a freelance editor. By utilizing a freelancer’s skillset, you have high-level expertise at your fingertips that will make the final product that much better.

You should also look for a freelancer with a deep understanding of your subject matter. When my wife and I were building our website for mothers dealing with epileptic children, for example, we went out of our way to find a freelancer writer that had personal experience of dealing with a child with epilepsy.

Fortunately for us, we ended up finding a writer that also happened to have an epileptic child. The final content had a genuine perspective that we would not have had otherwise.

Going a Step Further

Reading this guide will give you a good start for successful outsourcing, and you can further your knowledge by listening to a podcast or attending a training on the subject. You can also learn by doing so I encourage you to get started today.

Many of those who are reading this have probably outsourced to freelancers already, while some may be neophytes and have some concerns. So let’s talk about our collective experiences for the betterment of all in the comments area below.



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{ 46 comments… read them below or add one }

Jane from Blogging Tips May 12, 2011 at 2:56 am

Hi James,

I am a fan of outsourcing even though I don’t do much myself. I sparingly outsource my tasks but have strict guidelines about them.

Great tips, I recently blogged about this too; link attached via commentluv.

Cheers,
Jane.
Jane@Blogging Tips´s last [type] ..Time Management- Why And How Should you Delegate Effectively

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James Martell May 14, 2011 at 4:15 am

Hi Jane, thanks. I agree with having strict guidelines. It is the ONLY way I can get back exactly what I want from the completed project. Nice job on your article as well.
James Martell´s last [type] ..Google SEO Tip 120 – Do You Recommend Article Marketing As An SEO Strategy

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Stella | Fiverr Outsourcing Guide May 12, 2011 at 4:55 am

Hey James, I always love reading your posts. Always on point – couldn’t help to comment on this.

On the need to “Provide a Clear Description of What You Want ” – I found out that that is one of the steps people rarely take and that leads ro a mis-match of expectations – the outsource help doesn’t read minds and so an outsourcer can help by giving a detailed requirements list PLUS clarifying that the freelancer understands and can do those. Else find another.

It’s amazing that we share a couple of similar ideas about getting the best out of outsourcing, coincidentally I also wrote a Fiverr outsourcing guide yesterday, touching on some of the points you shared.

Reply

James Martell May 14, 2011 at 4:12 am

Hi Stella, it seems we are of the same mind which is that it is very important to explain in great detail to the freelancer exactly what we want. It is also as you know a very good exercise because it forces us first to think through want we really want done.

I would love to know more about your Fiverr outsourcing guide.
James Martell´s last [type] ..Affiliate Buzz 202 – Why You Should Use Automation to Optimize Your Paid Search Campaigns

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Peter Hutyr May 12, 2011 at 6:52 am

Thanks James for your tips on outsourcing. I haven’t tried outsourcing yet because I’m a techie, but I know that outsourcing makes work easier and shortens the time to complete a project. For I know PHP but sometimes trying to learn Java for me to complete a project will take forever. Thats where outsourcing comes in. I outsource the Java part of my project or even outsource the whole project.

Currently I have some great ideas which I need to implement and I will have to outsource fully. So, other than Elance, which other platform would you suggest to be the best alternative among Odesk, Freelancer and Scriptlance. Please let me know.

Thanks again,
Peter Hutyr
Peter Hutyr´s last [type] ..5 Steps To Affiliate Marketing Fortunes

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James Martell May 14, 2011 at 4:17 am

Hi Peter, the only other platform that I use for outsourcing is vWorker.com. It’s not that the others are not good, I bet they are, but I like to stay within one or two platforms because it makes it easier for me to manage.
James Martell´s last [type] ..Google SEO Tip 121 – Is HTML Validation Necessary For Ranking

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Karan from Link building tips May 12, 2011 at 8:11 am

Great tips there….
I do practice most of them and have been successful in getting quality stuff from outsourcing…

I just hire the local inhabitants so that its easier to communicate and facilitate payments…I use digitalpoint, it’s a great market place for buyers, we get everything for dirt cheap.
Karan @ Link building tips´s last [type] ..New Skype – Expected Features and Updates

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James Martell May 14, 2011 at 4:19 am

Hi Karan, thanks for reminding me about the Digital Point forums. I have hired a few of the service providers there in the past. I had a good experience.
James Martell´s last [type] ..Google SEO Tip 120 – Do You Recommend Article Marketing As An SEO Strategy

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Diana Reid May 12, 2011 at 10:54 am

great information James,

Outsourcing is a sign of true leadership! Why do the work when you don’t have to eh? Great Tips for finding will definitely be using them in future thanks.

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James Martell May 14, 2011 at 4:23 am

Hi Diana, thanks and agreed. I have often wondered how many people’s businesses would look like if for some reason they had to outsource everything?
James Martell´s last [type] ..Google SEO Tip 121 – Is HTML Validation Necessary For Ranking

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Rajesh from Techozens May 13, 2011 at 2:44 am

Nice tips listed!!!
I had hired a few persons, but don’t know why, had problems with deadlines almost everytime.
Rajesh@Techozens´s last [type] ..Top 15 Warez sites to download Cracked softwares for free

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Erika Harris May 13, 2011 at 3:15 am

Thanks a bunch.- You may have very well answered a prayer!! I’ll visit Elance tomorrow.
Erika Harris´s last [type] ..Motivational Monday

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Christine May 13, 2011 at 4:24 am

I am definitely looking at outsourcing some of the aspects of my biz. In fact, I started the process tonight. Although scary of the unknown… I know once I get involved in the process a few times, it won’t be so bad (and hopefully I will have found the perfect writer).
Outsourcing can be very cost effective. So much so, that I believe many people would benefit to outsource certain aspects of their biz. Then they can focus on more of the building aspects of their biz to generate an increased income. If anything…hopefully it’ll lead to less stress by delegating. ;)
Christine´s last [type] ..How to Install a StudioPress Child Theme

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James Martell May 14, 2011 at 4:38 am

Hi Christine, I am glad to hear you started the process. The first step is the toughest. Go slow at first. Clearly outline exactly what you want. Be very selective on who you choose. You might also find my podcast on the subject very helpful:

Affiliate Buzz #165 – How To Fast Track Your Business With Outsourcing
http://jamesmartell.com/affiliate-buzz/fast-your-business-with-outsourcing/
James Martell´s last [type] ..Google SEO Tip 121 – Is HTML Validation Necessary For Ranking

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Jonathan Sparco May 13, 2011 at 5:40 am

These are really good and enlightening tips. I have always wanted to outsource some of the tedious and time consuming online tasks that I have so that I can focus more on the more important stuff. However, I have been hesitant about it as I have never tried outsourcing before. Maybe I will give elance a try.
Jonathan Sparco´s last [type] ..How to Choose the Right Nozzles and Tips for Your Pressure Washer

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James Martell May 14, 2011 at 4:40 am

Hi Jonathan, yes by all means give it a try. Follows the tips outlined above and I am sure you’ll do fine.

James
James Martell´s last [type] ..Google SEO Tip 121 – Is HTML Validation Necessary For Ranking

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Bathroom Suites May 13, 2011 at 6:01 am

Great I like it very much. You are right that now trend is changing in matter of works. People prefer to work for themselves rather than for someone else coz they have realize their ABILITY , TALENT and POWER of MIND. They came to know that If their mind and talent gives unexpected benefit to others than why not they use for OWN benefit instead of working for others as shelves.
And for us YOU and your WIFE stands as a good example for inspiration and motivation. I congrates and respect both of you for this DARING steps and STRUGGLE which like a RAY of HOPE for us

Thanks for sharing this useful post alongwith TIPS on Outsourcing.

Reply

James Martell May 14, 2011 at 4:41 am

Thanks so much for your comments. They are much appreciated.
James Martell´s last [type] ..Google SEO Tip 121 – Is HTML Validation Necessary For Ranking

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Oliver Tausend May 13, 2011 at 5:15 pm

Hi James,

every entrepreneur needs to outsource if they really want to enjoy their successes. It’s amazing how easy and affordable it is. It’s obvious that we can’t do everything on our own because we don’t have all the skills or the task is necessary but tedious.

To me, one of the most important rules is to eliminate before we delegate.

Thanks for sharing your insights.

Take care

Oliver
Oliver Tausend´s last [type] ..Freedom Or Security – What Do You Value More

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James Martell May 14, 2011 at 4:32 am

Hi Oliver, I so agree that is is “amazing how easy and affordable it is” and “that we can’t do everything on our own because we don’t have all the skills or the task is necessary but tedious”, Well said.
James Martell´s last [type] ..Google SEO Tip 121 – Is HTML Validation Necessary For Ranking

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Stacy from Blogging Entreprenuer May 13, 2011 at 7:56 pm

I have not outsourced very much yet but I have appreciated it the times that I have. I heard about a site called fiverr which people offer outsourcing services for five dollars. There was some pretty interesting stuff on there!

Stacy
Stacy @ Blogging Entreprenuer´s last [type] ..Thanks for a Great Year – My Blogiversary!

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James Martell May 14, 2011 at 4:30 am

Hi Stacy, yes fiverr.com is getting a lot of great press. They have quite an idea there. I haven’t yet take advantage of the services there yet but plan to in the near future.
James Martell´s last [type] ..Google SEO Tip 121 – Is HTML Validation Necessary For Ranking

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Janet from The Natural Networker May 13, 2011 at 8:14 pm

James, aloha. Thx so much for this invaluable resource. Knowing exactly what you want and describing it completely, does a long way to obtaining the desired end result. Far too many people are “fuzzy” in their thinking when they give it to the freelancer and thus the project has to be redone multiple times because of lack of clarity.

Though I have used fiverr for small projects, I am looking at contracting with 123employees.

Look forward to reading the experience of others, James. Again, thx so much for this guide to outsourcing.

Best wishes for a terrific weekend. Aloha. Janet
Janet @ The Natural Networker´s last [type] ..Network Marketing- Social Media Marketing &amp Life—Travel Agent or Tour Guide by Janet Callaway The Natural Networker

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James Martell May 14, 2011 at 4:29 am

Hi Janet, thanks for your comments. I am glad to hear you found the tips a valuable resource. Take care and good luck with your future outsourcing efforts.
James Martell´s last [type] ..Taking Your Home Office on the Road

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Tony from Technology News May 14, 2011 at 3:10 am

Thank you for your great tips. I would love to practice it now.
Tony @ Technology News´s last [type] ..Amazon Cloud Player Now Plays With iOS

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Kavya Hari May 14, 2011 at 9:41 am

In the particular topic, time management would be most important one. Thanks a lot for given up here :)

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Nanette Saylor May 15, 2011 at 10:16 pm

This is one of the most comprehensive outsourcing posts I’ve seen in a while.
One of the things I find most interesting when I talk to people about the possibility of outsourcing is that they tend to have the “all or nothing” mentality.
And that’s so far from the truth of what’s possible these days. Almost any task can be outsourced, if it’s broken down into it’s components clearly.

I am a fan of fiverr, too. The themed video I use on my site, at http://wisewellwomen.com/my-dream was created there, for just $5, NO REVISIONS REQUIRED!

And as you point out, the key to outsourcing is always to be very clear about what you’re hoping to accomplish and to understanding your role in providing the necessary pieces.

Looking forward to more informative posts.
Wishing you well-
Nanette
Nanette Saylor´s last [type] ..Kreativ Blogger Award continues…

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James Martell May 17, 2011 at 8:33 pm

Hi Nanette, you make a great point when you mentioned the “all or nothing” mentality. It’s so true that almost any task can be outsourced providing as you say “it’s broken down into it’s components clearly.”

I outsource almost everything. In fact I am having some trouble right now with my autoresponder software which for some reason has stopped sending emails. I just posted a project at Elance to find a tech to troubleshoot and fix the problem. It took all but 3 minutes to post the job.

You’re video is another great example. A 2 minute plus video all for $5. You gotta love it.

Thanks for your comments.

James
James Martell´s last [type] ..Affiliate Buzz 203 – The Key To Profitability with Affiliate Programs – Think Pages Not Websites

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Suzy Weiss from Women Dating After Divorce May 15, 2011 at 10:41 pm

James,

I have recently ‘jumped into the outsourcing pool’.

It’s been both challenging and rewarding.

I personally, know that I have grown as a business person as a result of this.

I know you use elance a lot, with all the outsourcing that you do, do you have any fulltime employees that you have as outsourced team members?

Suzy Weiss
Divorced Women Dating
“Practical Steps For Finding Love After 40”
Suzy Weiss@Women Dating After Divorce´s last [type] ..How To Attract A Guy Over 40 – Easier Than Many Believe

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James Martell May 17, 2011 at 8:38 pm

Hi Suzy, glad to hear you’ve ‘jumped into the outsourcing pool’. I don’t have any full-time employees. I did have back in 2004 but by the time I got fully engaged with Elance I found I could move much faster by working with freelancers only.

James
James Martell´s last [type] ..Affiliate Buzz 201 – Affiliate Marketing Success Stories

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Diana Simon from blogging for beginners May 16, 2011 at 9:47 am

Hi James,

Great insights and what I like to add is that you should outsourced what you aren’t good at so you can use precious time to focus on things that you are good at. It comes down to understand the cost vs benefit. If you are going to spend 3 hours of your time trying to figure out something that a freelance can do in 30 minutes, what’s the cost of the 3 hours to you vs. paying someone for 30 minutes of work?

Thanks for sharing!
Diana Simon @blogging for beginners´s last [type] ..My Blogging Community Features Samantha Bangayan

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James Martell May 17, 2011 at 8:40 pm

Hi Diana, well said. I have a 15 minute rule that I follow which is if I can’t fix or solve a problem in 15 minutes I spend the next 15 minutes posting a project to get some help. It works so well and keeps me very productive.

James
James Martell´s last [type] ..Affiliate Buzz 203 – The Key To Profitability with Affiliate Programs – Think Pages Not Websites

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Mavis Nong from Online Business Tools May 17, 2011 at 8:43 pm

Hey James,

Great outsourcing tips you’re sharing here. A fact is, we just cannot do everything. If you want to enjoy the freedom that comes with running your own business, you need to delegate some of the tasks and focus on the income-producing activities.

Thanks for sharing your insights.

All the best,
Mavis
Mavis Nong @ Online Business Tools´s last [type] ..How I Became a Top and Popular Blogger in Less Than 9 Months!

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James Martell May 23, 2011 at 7:57 am

Hi Mavis, agreed, and I believe the goal should be to get others to do everything. It is the freedom we’re all looking for.

James
James Martell´s last [type] ..Affiliate Buzz 204 – How Many Sites Do You Need To Earn A Full-time Income with Affiliate Programs

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Felicia from No Deposit Poker May 19, 2011 at 2:29 am

Hi James,
Outsourcing is one very good way of distributing some of the work that you find tedious to do yourself or you do not have enough time for. However, it is quite hard to find reliable and long-term outsource workers nowadays. If you always opt to pay too low as well, then the really reliable and very good workers will go find someone else to work for.
Felicia @ No Deposit Poker´s last [type] ..PokerStars donates confiscated funds from minor to charity 518-402

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James Martell May 23, 2011 at 8:00 am

Hi Felicia, hmmmm I can’t say I agree.

With Elance, vWorker, Guru we have a massive talent pool at the ready. I feel it’s really how we go about working with the freelancers — setting up project descriptions, giving them detailed work orders and so on so we get the quality work we’re looking for in return.

James
James Martell´s last [type] ..Affiliate Buzz 204 – How Many Sites Do You Need To Earn A Full-time Income with Affiliate Programs

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Rowena Bolo May 19, 2011 at 2:47 pm

Hi James,

It’s wonderful to be introduced to you and this post through Dev. I have heard a lot of great feedback about Elance and outsourcing in general. I haven’t considered doing so yet but I know that I will in the near future. Thanks for this comprehensive guide, and I couldn’t agree with you more that the entrepreneur has to be very clear in giving out instructions and communicating with the freelancer for the project to be a success.

Thanks again for these valuable tips!

- Rowena
Rowena Bolo´s last [type] ..30 Day Mental Cleanse- Think and Grow Rich Chapter 2

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James Martell May 23, 2011 at 8:04 am

Hi Rowena, thanks so much for your feedback. I credit outsourcing as THE major reason for our online successes. I have found my primary role to be for years now to spec and outsource the jobs that need doing rather than doing them myself. It is a way easier way to go.

Good luck in your upcoming outsourcing efforts.

James
James Martell´s last [type] ..Affiliate Buzz 204 – How Many Sites Do You Need To Earn A Full-time Income with Affiliate Programs

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Quigley May 22, 2011 at 4:23 pm

Outsourcing can really help a business a lot in terms of minimizing expenses. There are several outsourcing companies out there and there are also many clients that are willing to pay for a good price in exchange of quality content.

Recently, I was looking for a good outsourcing company, and luckily, I found one. It’s OBW, which you can find at http://onlybestwriters.jimdo.com . I ordered once and I think I will hire them again. Really good.

Reply

GoDaddy Review May 23, 2011 at 12:25 pm

Hey James, I always love reading your posts. Always on point – couldn’t help to comment on this.

On the need to “Provide a Clear Description of What You Want ” – I found out that that is one of the steps people rarely take and that leads ro a mis-match of expectations – the outsource help doesn’t read minds and so an outsourcer can help by giving a detailed requirements list PLUS clarifying that the freelancer understands and can do those. Else find another.
GoDaddy Review´s last [type] ..Apple Jumping Into Cloud Services

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James Martell May 30, 2011 at 5:57 am

I agree . The most important thing to begin with is a clear understanding of what you want or need. I have found that people need to ask themselves … best case, exactly what will the completed project look like?
If the person needing the work done can’t answer that question precisely …the service provider will NOT be able to deliver what the buyer wants because the buyer doesn’t know what they want.
Who as at fault …BOTH parties.
1. The buyer for not knowing and articulating clearly what they want.
2. The service provide for accepting (or even bidding) a job that doesn’t layout clear guidelines.
It can go so smoothly if the time is taken by the buyer to outline EXACTLY what they want.
James
James Martell´s last [type] ..Greetings from 34-000 Feet – A Birds Eye View of the Fun Side of the ShareASale Think Tank 2011

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Jym from Online Lead Generation May 26, 2011 at 6:31 am

Love this topic James, nice work.

Outsourcing may seem like something far away or unnecessary for many online business owners but I believe it’s important to set your business up for outsourcing from the very outset, even if you intend to begin by doing all the work yourself.

At the end of the day, a business which you can’t unplug from without it continuing to run itself is not a true business, but a job where you employ yourself. To be really free in business, building a trusted list of freelancers and learning how to best empower and instruct them to do what you need is really essential.

Thanks for the great set of tips you’ve listed here – helpful stuff indeed!

All the best,
Jym
Jym @ Online Lead Generation´s last [type] ..Successful Blogging- Get the Girl- Kill the Baddies- Save the Entire Planet!

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James Martell May 30, 2011 at 6:01 am

Hi Jym, thanks and appreciated.
I have often wondered what a person’s business would look like if they outsourced everything …and I mean everything. It is worth chinking about.
James
PS – I love the headline for your recent post. A real attention grabber.
James Martell´s last [type] ..Greetings from 34-000 Feet – A Birds Eye View of the Fun Side of the ShareASale Think Tank 2011

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Terje Sannarnes from Entrepreneur May 31, 2011 at 11:19 am

It is not a surpize that an online entrepreneur can benefit and decrease costs signifficantly from implementing outsourcing process in their business. All that it is important to know is how to minimize risks in outsourcing.
Terje Sannarnes@Entrepreneur´s last [type] ..How Social Networks Can Change the Life on an Online Entrepreneur

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Susie from Stretch Mark Therapy July 2, 2011 at 4:39 am

Hmm, haggling on the price. I’ve neve actually thought of that before. I do outsource some of my work online because it is simply too taxing to do so many things at once. What I usually do myself is to streamline the candidate selection process, communicate with them clearly about my contract terms. explain to them what I want exactly for my projects and at the end do a mini interview on the shortlisted candidates. Just like what you’ve mentioned James, I believe that good relationship with your contractors/workers is important for your feedback and future jobs.

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KIRK FORNEY September 6, 2011 at 10:48 am

LOVE THE POST VERY INFORMATIVE THANKS FOR SHARING WILL GRAB FEED AND BOOKMARK SITE.

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