Why Mexico is your best choice for Nearshore Software Development

For companies providing web and mobile apps to consumers or that rely on custom software to run their business, outsourcing at least some development services has become routine practice. Outsourcing can help keep development costs down while creating valuable software products that might take much longer to build with in-house resources alone.

If your company is in the United States, nearshoring to Mexico is your best bet for outsourcing software development. Nearshore software development in Mexico comes with a wide range of advantages from the practical to the cost-effective.

While we documented some of the benefits of nearshoring to Mexico a few years back, the country is fast becoming a valuable resource for US companies. The Mexican IT talent pool is expanding, while networking infrastructures now provide improved performance and greater resilience. Below, we’ll break down some of the main reasons why US companies benefit from partnering with IT teams south of the border.

Collaborate in Real Time

Mexico operates within the same time zones as the United States, and many locations switch to daylight savings time and back on the same dates as their neighbors across the border.

When you nearshore to Mexico, your development team typically works during the same hours as your in-house employees, making it easy to collaborate on projects or hop on a last-minute call.

With a large number of direct flights—often taking no more than an hour or two—from many U.S. locations to Mexican airports, the country is also within close reach for travelers, easier and less expensive to get to than most of the offshore countries.

Much like business travelers up and down the US east and west coasts, many professionals crossing the border in either direction arrange their flights as day trips, without overnight stays. Business hubs such as Guadalajara or Mexico City are also well-connected to freeway systems.

Cultural Affinity

In the border states and beyond, many Mexicans watch US television, listen to US bands, and root for US sports teams. They shop from the same brands and connect with friends on the same social platforms as their US counterparts, and within the IT industry, English proficiency is the norm.

Additionally, within the education system, many universities and technical programs require students to achieve professional-level English competence to complete their degree.
As such, working with a Mexico-based IT firm means US companies don’t have to deal with language barriers–often a major pain point when working with outsourced teams.

Familiarity with US business culture also entails a customer-focused mindset that emphasizes tangible results, responsive communications, flexibility, collaboration, creativity, and efficient time management; we often hear from clients that their experience with outsourcing companies in other regions did not rise anywhere close to the same quality.

Tap into a Skilled IT Workforce

US companies face some major challenges when it comes to finding talent, particularly in competitive markets, where skills shortages are driving up costs.

There’s also the fact that US employment laws create a need, as well. Companies looking to tap into specialized skillsets for one or two projects can’t just hire and fire people as needed. Working with a nearshore team allows organizations to scale up and down on demand, minus the ethical and legal concerns that come with the territory.

Mexico’s 120 universities and technical schools graduate about 65,000 students with IT-related degrees every year, and top institutions like Tec de Monterrey operate multiple satellite campuses, ensuring that high-quality IT programs are available throughout the country.

Additionally, Agile software development and methodologies are well known and widely preferred among Mexican developers.

For organizations looking for an outsourced IT team with the ability to collaborate as effectively as in-house employees, nearshoring to Mexico is an ideal solution.

Nearshoring to Mexico is a Safe Investment

Between federal legislation and international trade agreements, including the US, Mexico, and Canada Agreement (USMCA), Mexico is an ideal location for creating intellectual property.
Alternatively, countries like India and China, where you’ll find a lot of outsourcing services, score extremely low when it comes to safeguarding IP.

At Tiempo Development, we take additional steps to protect our clients’ IP, including stringent data protection, non-disclosure and confidentiality agreements, and screening for potential security risks while interviewing potential hires.

In terms of physical security, Mexico has come a long way when it comes to reducing instances of violent crime. Today, technology hubs like Guadalajara, Hermosillo, and Monterrey are as safe as any other big city in the western world.

A Strong IT Market with Government Support

Thousands of IT companies from global enterprises to unknown start-ups have operations in Mexico, and the country is one of the world’s top exporters of IT services.

According to the Information Services Group (ISG), Latin America’s nearshore service industry continues to grow, with Mexico as the leading market in the region, known for its mature infrastructure, stability, and business-friendly climate position.

In Mexico, the government invests in a number of professional organizations and training initiatives

For example, Guadalajara, one of Mexico’s Digital Creative Cities, provides a connected, smart urban infrastructure in which creative, high-potential ideas and organizations in the realm of digital technology can grow.

Mexico’s increasing visibility as an effective nearshore location compounds with the individual successes of companies and their customers, resulting in explosive growth in our industry.

As a certain level of success and excellence in nearshore development becomes the norm, chances are, quality standards will only continue to increase over time.

Nearshoring to Mexico is Affordable

Finally, one of the biggest benefits of nearshoring to Mexico is it allows you to keep costs low. In Mexico, employee salaries and the cost of living is much lower than in the US, allowing companies to pay significantly less for top talent. On average, a software developer earns about 32,000 pesos per month–the equivalent of $1,429 USD, while their Los Angeles-based counterpart brings in about $10,750 on a monthly basis.

Thinking About Nearshoring to Mexico? Tiempo Experts Can Help

Similar cultures and geographic proximity give Mexico a major advantage compared to outsourcing companies operating in far-off locales like India, China, or the Philippines, while still offering US firms access to top talent at an affordable rate.

You can also expect fewer delays and errors caused by language barriers and mismatched time zones, and avoid the burnout that comes with the territory. Bottom line is that nearshore software development in Mexico can help you achieve higher returns on your IT investment within a short timeframe.

Tiempo’s nearshore business model leverages Mexico’s talent and IT infrastructure to make software development easier and more affordable. Our proven combination of resources, process, technical knowledge, and strong leadership means clients receive cost-effective solutions–fast–from a pool of top-tier developers and engineers.

Contact us today to learn more about nearshore outsourcing to Mexico.

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