You've got to add value when outsourcing and the project has to be of a particular scale. A friend recently outsourced development which could be concisely spe

You've got to add value when outsourcing and the project has to be of a particular scale. A friend recently outsourced development which could be concisely specified. From the UK, he got a student in the US to develop security software for 600 pounds. He installed it on two servers which cost 1000 pounds each. He sold the system to an existing client for 8000 pounds. The student required supervision but it allowed my friend to do on-site consulting while the outsourced software was being developed. The difference in timezone wasn't an issue. Indeed, if you're already working full time then outsourcing to a different timezone can be very beneficial. However, there isn't much opportunity for a start-up to outsource development. Cost isn't a issue. You should be working in a small field, within your competence. There's also transaction cost which places a minimum size on the project to be outsourced. For a start-up, most projects will be too small to outsource. If you're thinking of outsourcing a project, think whether you should do it at all.