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Old 25th June 2007, 10:34 AM
Junior Member
 
Join Date: Jun 2007
Location: Northern California
Posts: 6
Default Profitability of Outsorcing

Hi Yaro,

If I am not mistaken, there is an error in your Blog Mastermind lesson 1, paragraph *It's actually Cheaper To Outsource*.

When you write that two hours a day of work equals a minimum of $2,000 per month, then our pay rate is $250 an hour ($2,000 divided by 8 hours a month of work), you are actually counting only 8 hours a month of work, but if we work 2 hours a day, times 5 days in a week, times 4.5 weeks in a month, this equals 45 hours a month. Then $2,000/month divided 45 hours in a month is around $44 per hour, and not $250.

Now, unless I am off on this, outsourcing our technical issues at $15-30 per hour it is always convenient, but becomes much less obvious than comparing your previous figure of $250 per hour.

Please let me know your thoughts on this.

Thank you,

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