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13 Dec 2023

10 Justifications for Hiring LATAM Companies' Nearshore Developers

Considering the latest price increases and technological advancements within the IT sector, it’s no surprise businesses are turning to cost-saving solutions. One of them is nearshore software development, consisting of outsourcing developers from nearby countries. As a business owner, hiring nearshore developers can be a game-changer for your business, and we’re here to give you the full breakdown of the benefits of nearshore outsourcing. This article dives into why you should consider hiring nearshore developers from Latin American companies.

What Does it Mean to Hire Nearshore Developers from Latin American Companies?

The tech landscape in Latin America has been experiencing dynamic growth in the past few years, marking the region as a burgeoning hub for technological innovation and entrepreneurship. This recent expansion is not just a fleeting trend but a reflection of focused efforts and substantial advancements in the tech sector, with the LATAM tech market expected to reaccelerate to almost 15% in 2023.

A key driver of this upsurge is the increasing number of tech startups emerging across Latin America. Countries like Brazil, Mexico, Argentina, and Colombia are leading the way, with their tech hubs fostering innovation and attracting both domestic and international investments. Moreover, the region's tech companies are not only multiplying in number but are also gaining international recognition, as organizations from all over - but particularly North American companies - look into leveraging LATAM talent. 


As we’ve mentioned, the Latin American tech scene is known for its highly skilled software developers. The region has seen a surge in tech education and training, with many countries investing heavily in creating a skilled workforce. Developers here are not only proficient in the latest technologies but also bring a creative approach to software solutions, driven by a rapidly evolving tech ecosystem.


The possibility of hiring nearshore developers from Latin American companies and creating a nearshore workforce has now emerged as a pivotal strategy for businesses looking to enhance their software development capabilities. This approach involves partnering with companies in geographical proximity, specifically in Latin American countries, for software development projects. But why Latin America? The region offers a unique blend of advantages that are hard to overlook and at Blue Coding we have years of firsthand experience with them. You’ll find the top 10 reasons to hire nearshore developers from Latin American companies below!

10 Reasons to Hire Nearshore Developers from Latin American Companies

1. Nearshore Brings Major Cost-Effectiveness

One of the most compelling reasons to hire nearshore developers from Latin America is the way it can help you save money on development costs. Compared to North American developers or those from other oversaturated outsourcing destinations, developers from Latin America offer competitive rates while still maintaining a large talent pool to choose from. When nearshoring, cost-effectiveness doesn't immediately equate to lower quality. On the contrary, Latin American developers are known for delivering high-quality work within budget constraints, making them an ideal choice for businesses looking to maximize return on investment

2. Central and South America Time Zones are Convenient

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Another significant advantage of hiring Latin American developers is the convenience of similar working hours, thanks to the Latin American time zones. If your business is based in North America, working with a team in Latin America means having plenty of overlapping working hours. This overlap facilitates real-time communication and collaboration, leading to more efficient and effective project management.

3. A Large High-Quality Talent Pool

Latin America boasts a large high-quality talent pool, thanks to its expanding tech education system, the widespread knowledge of the English language, and the benefits of exporting IT services for locals. Universities across the region are producing highly skilled software developers, making Latin America a hubspot for emerging tech talent. These developers are not just proficient in coding but also possess problem-solving skills and innovative thinking - all key ingredients for successful Agile software development projects.

4. Cultural Similarity with North American Organizations

There’s no doubt that a strong cultural fit should be a key factor to consider when making hiring decisions. Luckily, cultural compatibility is another reason why U.S. companies should consider hiring Latin American developers. With cultural similarities in work ethic, communication style, and business practices, there's less room for misunderstandings and miscommunications between LATAM developers and your in-house staff, leading to smoother project execution.

5. Language Advantage

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LATAM has been constantly improving its English proficiency levels, with several of the region’s top tech hubs boasting solid EF EPI Index results for years now. In fact, many Latin American developers are advanced English speakers, speaking both English and Spanish fluently. This linguistic advantage facilitates effective communication, ensuring project requirements and updates are conveyed accurately and efficiently.

6. Agile and Scrum Methodologies

Latin American developers are well-versed in Agile and Scrum methodologies – the most widely used approaches to software development today. These methodologies prioritize flexibility, collaboration, and customer satisfaction, ensuring your project is delivered on time and meets your expectations.

7. Ease of Recruitment

Hiring nearshore developers is made much easier with the help of Latin American companies, as these IT staff augmentation agencies have not only the right experience but also the right connections in the region. A nearshore software development company like Blue Coding can offer you access to the LATAM talent pool and aid you in navigating the recruitment process - ensuring you find the right fit for your projects. 

8. Data Protection and Legal Security

Data protection is a significant concern for businesses today. Fortunately, Latin American countries have strengthened their data protection laws in recent years. These laws can ensure the safety of your project data, providing peace of mind as you engage in nearshore services. Moreover, hiring developers from trusted Latin American companies and outsourcing agencies means your company will automatically have access to greater security systems put in place by outsourcing companies to ensure your data is protected at all times. 

9. Emerging Tech Hubs

Latin America is home to several emerging tech hubs. Cities like Medellin, Buenos Aires, and Santiago are attracting global tech companies with their vibrant tech ecosystems. When you hire developers from these regions, you're tapping into a dynamic community of tech professionals who are at the forefront of technological innovation.

10. Easy Business Travel

Finally, the relative proximity of Latin America to North America makes business travel easier. Should you need to meet your nearshore team face-to-face, a trip to Latin America is less taxing than a long-haul flight to Asia or Europe. This ease of travel can strengthen your relationship with your nearshore team, further enhancing collaboration and project success.


Hire Developers in Latin America with Blue Coding


As a forward-thinking business owner, it's worth considering this option for your software development needs. The next step is to find the right partner who can connect you with top-notch Latin American developers. At Blue Coding, we offer staff augmentation services that can help you build a high-performing nearshore team. Get in touch with us today to learn more about our services by booking a free discovery call!

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