How to Start a SaaS Company Table of contents: Software Company Guide

How to find a team to build your SaaS

Building a SaaS (Software as a Service) product requires more than just a great idea; it requires a skilled and reliable team to bring that idea to life. Whether you choose to build an internal team or outsource the development to a dev agency, the decision will significantly impact your product’s quality, timeline, and long-term success. Here’s a guide on how to find the right team to build your SaaS.

Starting with Leadership: Hiring a CTO or Engineering Manager

Are you a technical founder? If not, your first and most crucial step is to find a technical co-founder to serve as Chief Technology Officer (CTO). If you are reluctant to take on a partner you might need to hire an Engineering Manager and this can be either a permanent or freelance position. Whether they are a partner or employee or freelancer, this person will lead the technical aspects of your project, make critical decisions about the tech stack, oversee development, and ensure the final product meets your vision.

Why is this role so important? The CTO or Engineering Manager acts as the bridge between your business goals and the technical execution of your product. They are responsible for translating your ideas into a working application, managing the development team, and making strategic technology decisions that will affect your SaaS’s scalability, security, and performance.

For non-technical founders, having a strong technical leader is essential. They will guide the team, make informed decisions, and help you avoid common pitfalls. Even if you are a technical founder but you lack experience in managing large projects, hiring an experienced Engineering Manager can provide the oversight needed to ensure your project stays on track.

Internal Team vs. Outsourcing: Weighing the Options

Once you have a technical leader in place, the next decision is whether to build an internal development team or outsource the work to a dev agency. Both approaches have their advantages and disadvantages, and the right choice depends on your specific needs, budget, and long-term goals.

Building an Internal Team

Pros:

  • Full Control: With an internal team, you have complete control over the development process. You can ensure that the product aligns with your vision and make changes quickly as needed.
  • Deep Product Knowledge: An in-house team will have a deep understanding of your product, making them more effective at maintaining and improving it over time.
  • Cultural Fit: Internal teams are more likely to align with your company culture and values, fostering better collaboration and innovation.

Cons:

  • Higher Costs: Hiring and maintaining an internal team can be expensive, especially when you factor in salaries, benefits, office space, and equipment.
  • Longer Hiring Process: Recruiting skilled developers takes time, and there’s no guarantee you’ll find the right fit quickly.
  • Management Overhead: Managing an internal team requires significant effort and expertise, especially if you’re scaling rapidly.

Outsourcing to a Dev Agency

Pros:

  • Cost Efficiency: Outsourcing can be more cost-effective, especially if you choose a dev agency in a region with lower labor costs. You only pay for the work done without the ongoing costs associated with an in-house team.
  • Speed: Dev agencies often have established teams that can start working on your project immediately, speeding up the development process.
  • Access to Expertise: Agencies typically have a diverse pool of talent with experience across different technologies and industries, allowing you to leverage their expertise.

Cons:

  • Less Control: When you outsource, you relinquish some control over the development process. Communication can be a challenge, and you may need to rely on the agency’s project management practices.
  • Potential Quality Issues: Without a technical advisor, non-technical founders may struggle to assess the quality of the work, leading to issues with code quality, scalability, or maintainability.
  • Long-Term Dependence: Relying on an external agency for ongoing development and maintenance can create long-term dependencies, potentially leading to higher costs over time.

Recruiting an Internal Development Team

If you decide to build an internal team, your first step is to clearly define the roles you need. Typically, these will include front-end and back-end developers, a UX/UI designer, and possibly a DevOps engineer.

Where to Find Talent:

  • Job Boards and Recruitment Sites: Platforms like LinkedIn, Indeed, and Glassdoor are great places to post job listings and find candidates with the skills you need.
  • Tech Communities and Meetups: Engaging with local or online tech communities, such as GitHub, Stack Overflow, or industry-specific meetups, can help you connect with talented developers.
  • Employee Referrals: Leverage your network and existing employees to find potential candidates. Referrals can often lead to high-quality hires who are a good cultural fit.

How to Assess Candidates

For technical roles, coding tests and technical interviews are essential to evaluate a candidate’s skills. However, don’t overlook the importance of soft skills—communication, problem-solving, and teamwork are crucial for a successful SaaS development team. For more detailed advice, check out our guide on how to find the right software talent.

Outsourcing: Finding and Choosing a Dev Agency

If you choose to outsource, selecting the right dev agency is critical to the success of your project.

Where to Find Dev Agencies:

  • Online Directories: Platforms like Clutch, GoodFirms, and Upwork list reputable dev agencies along with client reviews and ratings, helping you shortlist potential candidates.
  • Industry Recommendations: Ask for recommendations from your network, especially from those who have successfully launched SaaS products. Personal endorsements can be a reliable way to find trustworthy agencies.
  • Tech Conferences and Events: Attending tech events and conferences can help you connect with agencies that specialize in SaaS development.

How to Choose the Right Agency:

When evaluating dev agencies, consider the following criteria:

  • Portfolio and Experience: Review their previous work to ensure they have experience in building SaaS products similar to yours. Look for case studies that demonstrate their ability to deliver quality work on time and within budget.
  • Technical Expertise: Ensure the agency has expertise in the technologies you plan to use. They should also have experience in your industry or with similar products.
  • Communication and Project Management: Effective communication is key to a successful outsourcing relationship. Ensure the agency has a clear project management process and that they keep you updated regularly.
  • References and Reviews: Ask for references from past clients and check online reviews to get a sense of their reputation and reliability.

The Importance of a Technical Advisor for Non-Technical Founders

Choosing the right team to build your SaaS is a decision that will have a lasting impact on your product’s success. For non-technical founders with no technical partner (no CTO) and no technical staff (no Engineering Manager), navigating the complexities of building a SaaS product can be challenging. If you are a non-technical founder in such a situation, having a trusted technical advisor is invaluable in navigating these decisions and ensuring that your SaaS product is built to the highest standards. The technical advisor will serve as your interim CTO and guide you through the technical aspects of your project, whether you’re hiring an internal team or outsourcing to a dev agency.

Why You Need a Technical Advisor: A technical advisor will help you choose the right tech stack, define project milestones, and manage the development process. They will also set up critical parameters like code ownership, repository management, and quality assurance practices. Without this guidance, non-technical founders risk making decisions that could lead to costly mistakes or subpar outcomes. Technical advisors also help you recruit your internal team or help you find the right external team to outsource to. Your advisor should conduct regular code reviews and ensure the project stays on track. Their oversight is essential to avoid situations where the outsourced provider makes decisions that benefit them at the expense of your project’s long-term success. Remember, a working product is not enough—it needs to be maintainable, scalable, and built on solid technical foundations.

I offer consulting services where I can serve as your technical advisor, providing expert guidance to ensure your project is on the right track from inception to completion.