This is one of the most important question businesses and startups would have to ask themselves before developing an app. The answer isn’t straight forward either, as both approaches have their pros and cons. Here at Applickable, we do all of our app development on-shore right here in Melbourne. We will try to break down the pros and cons of on-shore vs off-shore development to make it easier for you to make an informed decision on which approach suits your business strategy better.
| Factor | On-shore | Off-shore |
|---|---|---|
| Reliability | High With easy access to on-shore developers being geographically closer and within the same timezone, reliability is much easier to manage. | Medium - High With developers being in different locations and potentially different timezones, reliability becomes harder to manage. |
| Data security | High For data sensitive applications, on-shore would definitely be the way to go as the sensitive data will not be leaving the country. | Low There is a high chance that sensitive data will need to leave the country to the developer's home country during the development process. |
| Cost | Medium - High Initial cost can be slightly higher when developing on-shore. | Low Initial cost is typically lower when developing off-shore. |
| R&D Tax Incentive (Grant) | Possible Depending on the nature of the application, you might be eligible for R&D Tax Incentive by the Australian Government if the development is done on-shore. | Not Possible With off-shore development, you will not be eligible for the Australian Government R&D grants. |