Freelancers Vs Agencies When You Are Outsourcing

Building an extremely powerful business strategy is one of the most crucial aspects of developing an effective business. The specialist you decide to hire to develop your company plan will make a huge difference eventually. This is why it becomes a big dilemma for a lot of organizations to choose who to hire for their outsourcing projects, Freelancers, or agencies, and which one would have the best possible outcome.

However, there are numerous factors that play a significant role in this decision-making process. Picking between an agency and a freelancer can dramatically change the end result, either better or worse. Both alternatives can help you save money in the long term, and effectively execute your projects. But still, the point is that both of them have advantages as well as disadvantages that must be considered before the organization reaches a final decision.

Therefore, we are going to discuss what are the major ​​pros and cons of hirings an agency VS hiring a Freelancer. Besides, we will also analyze which would be the best choice in which case. So let’s get into it.

Main Advantages of Hiring a Freelancer

Cost-effectiveness

One of the major advantages of hiring a Freelancer is the fact that this option is way more cost-effective than hiring digital agencies. Freelancers have minimal overhead costs and in many cases, cost 30% less than an agency. This cheaper pricing appears to be pretty appealing for a lot of companies. It comes as no surprise that paying one individual is less expensive than paying a team of specialists.

Besides, Freelancers often do not share their earnings with others and do not pay taxes. You pay them for the specific project completed and that’s all there is to it. Moreover, although you might sometimes have an opportunity to agree on a price with several freelancers, the majority of them have fixed prices that are still far less than it is in digital agencies.

This means that if you are a small business that is searching for a cost-effective solution, choosing to hire a Freelancer would be an ideal option since you will not have to spend extra money on taxes or other additional costs.

Flexibility

While we talk about Freelancers Vs. Agencies another essential advantage of hiring a Freelancer is the factor of flexibility. This is mainly due to their willingness to modify their work schedule to your needs. In most cases, they do not have a problem working extra hours. They can be active and reply to your messages at any time of day or night. This adaptability frequently leads to speedy and more effective service as well. This is why freelancers usually are considered to be the perfect choice for short-run projects.

On top of that, the changes in your project can be implemented much faster when you have an individual freelancer hired rather than a whole team in a certain agency. This is because a lot of people must be notified about the particular change in the project, and it typically takes time between discovering that a course must be changed and the update is actually taking place. This is one of the reasons why companies hire freelancers and not agencies.

Specification of the Field

Another greatest advantage of having a freelancer in your project is the fact that they are usually specified in one particular field and they dedicate most of their time improving their skills in it. Therefore, it becomes the reason why they are able to provide the highest quality of work and efficient projects eventually.

Freelancers specialize in one field of competence. On top of that, you will be able to discover a freelancer with a certain skill set far more simply and quickly than you will be able to find an organization with a team that can satisfy your project-specific needs.

Disadvantages of Hiring a Freelancer

Lack of Trustworthiness

Working with a Freelancer might include some risks as well. One of the big disadvantages of hiring a freelancer can be the fact that they are less trustworthy than experienced agencies with history under their belts. The lack of trust comes from the fact that they are able to leave your project at any time without further notice which will leave you in a very unpleasant situation in the end.

For example, If they become ill, go on holiday, or have a personal issue, your project is going to be put on hold. In this case, if you don’t have a backup strategy in order in event of an unexpected interruption, the project might fail completely. Furthermore, the freelancers’ work overload causes them to hurry project completion with poor performance which means that they can not guarantee a high quality of work all the time.

Limited Service

Another thing that should be mentioned while talking about the problems with hiring freelancers is the limited service that they usually provide. First of all, since freelancers often work online, there is always a chance that they might vanish into thin air. They will also not rely on contracts, which can occasionally lead to legal complications if the work is not completed.

Besides, while digital agencies offer you various types of services, the freelancer is only specialized in one field. So if you have a long-term project going on, you are not recommended to choose to hire a freelancer since the agency will offer you much more comfortable as well as diversified services.

Advantages of Hiring an Agency

Team Work

While discussing the pros and cons of hiring an agency the first beneficial thing that comes to mind is collaborative work. Employees of the digital agency collaborate on a regular basis, leading to an unrivaled degree of team spirit. What you have to do is give them detailed instructions and there is a huge chance you will soon receive the kind of outcome you have desired. You just have to pay for their services and do not worry about the issues that might occur during the working process.

On top of that, they have a variety of resources and cutting-edge technology at their disposal. Some organizations provide ongoing assistance that covers the full package, and they collaborate with a large number of professionals, people with good expertise that can handle practically everything you require.

Diversity of Services

By hiring an agency, you will be able to fully enjoy a range of services simultaneously. For example, the agency would constantly have access to the most recent, functional mobile technology and appliances in the industry, which would be useful when building an app.

Besides, while talking about Outsourcing an agency vs hiring a freelancer, the agency will be more beneficial for people who are searching for the everything-in-one-environment option. They have skilled employees from all types of fields so if you choose to hire a digital agency, you no longer have to spend extra time looking for professional people from different industries since the agency is going to provide you with everything you need for your project to be successful.

Disadvantages of Hiring an Agency

High Costs

Even though hiring agencies is usually very beneficial in the long-run period, you should always consider the fact that it is also way more expensive than hiring a freelancer. Typically, the major reason why their services are more expensive is the overhead expenditures that freelancers do not have. This includes rent, electricity, commuting, insurance, and so forth. As a result, their fees are much greater than freelancers’. Therefore, hiring an agency is not a good solution for small businesses or projects because a freelancer can handle it more quickly and at a far cheaper price.

On top of that, agencies often charge extra money since they offer a lot more diverse services. As we have already mentioned above, they offer you a variety of services while also ensuring that the results are exactly what you were waiting for. However, this high-quality service is definitely worth the price.

Less Flexibility

While discussing Freelancers VS Agencies, another disadvantage that should be mentioned here is that agencies are considered to be less flexible compared to freelancers. This is because a digital agency maintains its own set of working hours. It may be inconvenient if your company operates outside of standard business hours or if your project needs someone to be online at any part of the day. Besides, unavailability might become the reason for delays in the various business processes so this factor should always be considered before you make a final decision about which one to choose.

The Bottom Line

Overall, the obvious fact is that both digital agencies as well as freelancers offer their own benefits and disadvantages, but your final decision should always be based on your project needs. In case your ongoing project involves small types of tasks and is not going to last in the long run period, you are recommended to choose to hire a freelancer which is a more budget-friendly and flexible option as well.

On the other hand, if your project is complicated and needs a larger team of participants who are skilled enough to deliver the required outcomes effectively, then hiring a professional agency is unquestionably the wiser alternative.

Frequently Asked Questions

Why choose an agency over a freelancer?

One of the most important benefits of hiring an agency is the fact that it provides a diversity of services. They have highly qualified personnel from a variety of industries. Besides, if you have a long-term project choosing an agency is always a better option than hiring a freelancer since an agency is perfect when it comes to providing comprehensive digital solutions.

Should I hire a freelancer?

If you have a simple and short-run project going on and if you are looking for a cost-effective option, hiring a freelancer is the best alternative you can choose. They can offer you high-quality services and are much more flexible in terms of communication than any agency.

What is the difference between freelance and agency?

Individuals that operate independently and straight with the businesses are known as freelancers. On the other hand, if you hire an agency it means you are employing a bunch of freelancers to work on your project.

 

Written by Keti Getiashvili

Meet the authors

We are a 150+ people product design, software development, and growth marketing agency from Tbilisi, Georgia. Delivering hundreds of successful projects for industry-leader enterprise companies and startups earned us 100+ international awards, partnerships with Laravel, Vue, Facebook, and Google, and the title of Georgia’s agency of the year in 2019 and 2021.

If you are looking for a partner to extend your product or growth team or design and build a digital product, we are always open to a meeting!