Hiring Agency Vs. Freelancer – Which Is Better For Initial Startup

Hiring Agency Vs. Freelancer – Which Is Better For Initial Startup

The most important thing for any startup would be their app or the website, but not every entrepreneur is tech-savvy and knows everything about coding. Thanks to the internet, hiring a professional for this technical work is no more a challenge. Many individuals and big agencies offer services ranging from web development and development to digital marketing and branding.

However, for many startups, hiring an agency might be an issue as they are pretty low on budgets. With platforms like Fiverr and Upwork, you can hire a freelance developer that suits your business needs at a suitable price. Whichever you decide to go with, there is no denying that for both pros and cons exist. So, let’s have a look at some of the significant essential points you should consider before deciding whether to go with a design agency or a freelancer.

Before beginning, make sure you know the difference between them: A freelancer is essentially an individual who provides clients with their professional services. Nowadays, a freelancer can provide almost every service type, and some common ones include marketing, design, coding, and writing. In contrast, an agency is a company with skills covering different disciplines, such as web design, marketing, and development, providing businesses with one-stop, customized solutions.

The key difference between product development agencies and freelance developers are:


The key reason why freelancers are given priority over agencies is because of rates. Freelancers are comparatively much cheaper; you can hire them without getting through the hassle of signing a contract with them. The best part of it is that you can negotiate with them about the pricing as well. This works out well for many new startups who don’t have enough budget to avail services from big agencies.

For many agencies, their services’ prices are rigid and non-negotiable, and many work on a contractual basis where the clients are stuck with the same agency for a specific time. Therefore, hiring a freelancer would be much more economical and cost-effective for a new business.

Credibility And Security:

Your relationship with a freelancer is on word of mouth. There is no legal binding between you two, and your only source for communication is via an internet connection. Your freelancer might disappear in the middle of the project, leaving you hung out to dry. You can get your money back and leave a negative remark if you found them on Fiverr or Upwork. However, it would be a waste of time as you would have to look for another freelancer.

Although it’s not a guarantee that any agency would not do the same, it’s highly unlikely. Any agency would refrain from having such an unprofessional approach. They offer their client the security of getting tasks done on time.

Areas of expertise:

When it comes to skills, agencies have the upper hand here. They have a team specialized and dedicated to each of their clients. There is coordination between each other and proper supervision to make sure that there is no hindrance. Though many freelancers say that they are a one-man army, it’s hard to believe it. A developer might know few aspects of digital marketing, but this does not mean that they have mastered it.

It’s nearly impossible to find a freelancer who is a good developer and good in digital marketing. Now you have a website, but you would need to hire another freelancer for its branding and marketing. Suddenly, what seems out to be an easy and cheap model quickly turns much more expensive and cumbersome. There is no guarantee that both freelancers would communicate effectively and yield results keeping your interests in mind.

Support and Maintenance:

Coding is very typical and technical. There is no doubt that once a website is complete, it will be without any bugs. Many Freelancers tend to complete their projects as soon as possible and then move on to the next client. There are a few who help out and sort any bugs or issues out. However, the majority don’t look back to make sure that their clients are fully satisfied. Not many freelancers are keen on creating a long-term relationship with one client.

On the other hand, agencies believe in building long-term working relationships. This is the reason why they incline more towards providing their clients with long-term maintenance and support. The work on delivering services beyond the client’s expectations to gain clients’ full confidence for future projects.


Freelancers love independence; that’s why they chose to avoid the office life and rules. They work for many clients simultaneously so, and you might find it challenging to get a hold of him/her. In case of urgent tasks, who would be cursing yourself for choosing a freelancer. They pick their own working hours, and therefore effective communication might not be possible. Also, because of the remote work dynamic, it is highly unlikely to have face-to-face communication. This could result in miscommunication with the project and also possibly postpone turnaround times.

Contradictory to this, agencies always have proper schedules and workflows. If a developer becomes temporarily unavailable, they are substituted by another one within the team. This structure helps clients to get their projects completed on time. Agencies also provide reporting to clients on project status and timeline by providing them periodic reviews and reporting, including frequent in-person meetings.

To conclude, there is no perfect formula for you to calculate which would be better for your business. Business decisions should solely not only be on the ground for options that are cost-effective but also help the business to grow substantially.

Hire developer online might seem a very cost-effective option if you consider hiring someone for a specific project or task. On the other hand, for complex long-term projects, recruiting a software development agency works better.

Whether you choose a freelancer or an agency, always remember to review their previous work. Before giving them your first task, carefully examine their profiles, portfolios, and past clients’ reviews to ensure that you have found the right one.

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