4 Keys to Successfully Outsource Software Development to Brazil

A vast talent pool

Not so long ago, Brazil wasn’t among the countries you’d think of when considering software outsourcing. Yet, a lot of things have changed in the South American country in the educational, social, and economical fields that positioned it as a great alternative for companies looking for software engineering teams, especially if said companies are based in the US.

There are plenty of reasons for that. Brazil has a vast talent pool that includes a considerable number of legacy and enterprise software engineers versed in languages like COBOL and Java. Its government is incentivizing STEM education as well as the development of IT infrastructure. And the US dollar is strong when compared with the Real, which makes development prices very affordable.

You can get countless benefits from outsourcing development to Brazil, provided that you take some things into account. First and foremost, you should really follow BairesDev’s suggestions as to how to choose the right outsourcing partner for you. But, beyond that, you should pay attention to some specific aspects regarding outsourcing to Brazil, especially the 4 ones below.

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Look for Engineers in Regions with Robust IT infrastructures

Brazil’s IT sector has been growing steadily over the last decade to the point where it now boasts more than 90 new tech parks across the country. In those parks (called Science and Technology Parks or STPs), there’s a concentration of research centers, tech companies offices and, naturally, plenty of engineers. 

This has been made possible by the Brazilian government that now offers tax incentives to corporations that bring tech innovation to their cities, which has resulted in a significant infrastructural growth. Such context provides a ripe field for engineering talent to thrive – which is what’s actually happening. 

So, it’d be wise for you to look for development companies or teams in those parks or their surrounding areas, as you’d have the guarantee that the engineers will have the proper infrastructure. Some of the most notable parks are located in cities like Sao Paulo, Rio de Janeiro, Florianopolis, Recife, and Campinas.

Don’t Limit Your Talent Search to Big Cities

As tempting as it is to look for the talent you need in Brazil’s biggest cities and STPs, the reality is that you might run into some issues if you just stick to them. Take Sao Paulo, for instance. The financial center of the country, this huge cosmopolitan city surely has a high number of software engineers ready to work on your projects. The problem is that you might end up paying higher fees, given the higher cost of living when compared to other Brazilian cities. 

That’s why it’d be better for you to search for talent in smaller cities and STPs. Campinas, Porto Alegre, and Curitiba are all great locations where you can find many software engineers versed in different technologies and a good IT infrastructure that provides them with the perfect environment to collaborate remotely with you. 

In fact, some of those cities are already seeing an influx of skilled developers coming from bigger cities (especially from Sao Paulo). Just as it happens with Silicon Valley and San Francisco, engineers are relocating in search of a better quality of life that doesn’t feel that expensive. So, chances are you can find some seriously skilled IT professionals there.

Pay Attention to Brazil’s Complex Taxation System

Searching for the talent is one thing and hiring it is another – and both have its challenges when you do them in Brazil. As for hiring Brazilian software engineers, one of the trickiest aspects has to do with the country’s tax system, which is somewhat convoluted and can offer numerous obstacles and problems for foreign companies. 

The problematic nature of Brazil’s taxation system stems from the countless variables it counts as taxables, including things like the cost of consumed energy. Navigating through all those variables on your own can be next to impossible, which is why a lot of the foreign companies that hire the country’s engineers often partner with advisors that help them comply with the local regulations.

This, naturally, ends up in an added expense you should take into account. That, and the fact that the wage system also offers some complexity and added costs, is an important factor that you need to thoroughly understand and keep under control to avoid potential issues down the road. 

Take Time to Learn the Peculiarities of Employer-Employee Relations

Hiring engineers in Brazil can be seen as nearshore outsourcing – the practice through which you hire a software development company in a region that’s close to your company’s headquarters. As such, you might expect to enjoy all of the benefits of nearshoring, including the minimal cultural barriers that ensure a smooth collaboration. Yet Brazil’s work culture is a little peculiar, so you’ll need to learn the specific to avoid a cultural clash between your team and the outsourced team.

Brazilians organize their work in a more hierarchical manner than Americans, which means that people from there tend to keep their professional opinions to themselves, especially if they are conflicting. To avoid that, you’ll need to show yourself very openly before the Brazilian team and ask for their honest feedback to establish that rapport from the get-go.

Additionally, Brazilians expect constant check-ins when working in groups, so you’ll have to keep everyone on the loop at all times (something you should do with all teams regardless of their country but that’s especially important for Brazilians). Finally, you’ll have to provide flexibility to development teams in Brazil, since a little tardiness is culturally acceptable down there.

How to Hire the Best Software Engineers in Brazil

You need to dominate the 4 aspects we’ve described above to successfully outsource your software development to Brazil (while also keeping in mind the other factors that come into play in this kind of partnerships). Sure enough, it’s somewhat tricky to handle all of those things and it’s natural for you to feel insecure about them. If that’s the case, you can always resort to the services of an outsourcing software development company to take care of it all for you – a company like BairesDev.

We hire the Top 1% of IT talent in Brazil and across the Americas to provide you with high quality development services for any project you might have at hand. We have a proven track record developing IT solutions and boosting digital acceleration processes across multiple industries and business verticals. Our teams have the know-how and are well-versed in the latest technologies and development methodologies. What’s more – we offer you our custom development services that precisely fit your needs, no matter what they are.

So, if you’re looking to successfully outsource development to Brazil you have two ways – either you go on your own and follow our suggestions above or trust BairesDev to bring you Brazil’s finest engineers in no time.

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