Offshore Software Development in Colombia

Is it cheaper to offshore software development to Colombia?

Yes, with offshoring software development to Colombia, you can save from 30% to 70% on development rates, while scaling your company at the same time. Here’s what makes it possible: the difference in salaries and taxes, and Alcor’s comprehensive, all-in-one software R&D center solution, without buyout fees that companies face after working with offshore development services teams in Colombia.

In the US, a senior software developer earns up to $125,550 a year, while software engineering experts from Colombia make, on average, $63,800. The regional taxation policies also offer lower tax rates.

Lastly, our approach goes beyond finding software developers. We get you a software team that’s yours from day one – cut costs by not paying buyout fees!

What are the benefits of building a development center with Alcor?

With Alcor’s 360-degree model, there’s no need to engage with multiple offshore software development companies in Colombia to establish your tech R&D office offshore or nearshore. In one place, without additional vendors, you receive comprehensive tech recruitment services alongside effective Employer of Record support, eliminating the need to establish a legal entity in the target location. Additionally, we assist in leasing office space, providing employee benefits, procuring laptops and other equipment for your team, and much more. So much more than the providers of offshore outsourcing software development teams in Colombia can offer.

Why is Alcor a better long-term alternative to outsourcing or generic EOR platforms?

Since 2017, we’ve been helping our clients scale in Latin America and Eastern Europe, adding 10 to 100 developers each year.

Our solution is designed only for the tech industry:

• hiring in top tech talent markets,
• benefiting from tax incentives for tech, and
• managing all the necessary contracts for tech (NDAs, IP rights protection agreements, etc.).

Alcor lets clients easily track and manage payroll, benefits, and more via its cloud platform, AlcorOS.

However, unlike other global payment platforms, our clients don’t just get robotic support; they work with a dedicated human Customer Operations manager.

Our solution is 50% more affordable than hiring in the US or tech outsourcing, and we offer custom pricing and volume discounts for even greater savings – no setup or hidden fees.

How fast can Alcor build an offshore development team in Colombia? 

We pride ourselves on expeditious tech recruitment – stellar quality within tight timeframes. Alcor’s average time to close a vacancy when hiring a developer is 2-6 weeks. In just 1 day of our cooperation, you’ll get blind CVs. In the next 5 days, we’ll start sending you CVs of pre-vetted candidates whom you’d want to invite for an interview right away.

Can you headhunt C-level management in Colombia?

That’s an ace up our sleeve. We’ve amassed 8 years of experience in the industry and accumulated the best practices in recruiting C-level and Lead specialists! That’s why, C-level management positions, such as CTO, CIO, CMO, CFO, and others, come to our recruiters as easy as pie. Our clients attest to it: we hired the Head of R&D for Sift, an online fraud detection application development firm, from the second CV. Other successful cases include the Director of Engineering for Dotmatics and the Deployment Lead for Ledger. 

What about payroll, accounting, and office lease?

If you hire an offshore application or web development team with Alcor, there’s no need to establish your legal entity in a target location. With our comprehensive EOR support, we take care of all the nuts and bolts for your offshore software developers. It includes the employment of software engineers, monthly payroll management, tax payments, compliance with all local laws, and even more. With our turnkey solution, you can be assured – we guarantee 100% compliance while handling all the paperwork.

Finally, if you want to pump it up, opt for our tech R&D services with full operational support, office lease, and equipment procurement.

What else does the software development center in Colombia include?

Apart from the full-cycle tech recruitment process of offshore software developers and EOR support, we offer a wider range of additional operational services, including:

• hardware procurement,
• office/coworking leasing,
• insurance provision,
• employer branding,
• HR services,
• remote/office/hybrid strategy support,
• sysadmyn support,
• business/travel visa support,
• stock options & IP agreements – you name it.

At Alcor, it’s like Lego: you choose the services to build your software R&D center from 10 to 100 people in 12 months.

We go the extra mile for clients, so they can get everything they need without engaging third parties.

What do you get with our tech-focused EOR service?

First of all, you don’t have to spend 3.5+ months on setting up your own legal entity and other infrastructure like a bank account, a local team, etc., in a new tech market. We’ll hire talent on your behalf right away.

Secondly, our EOR service covers everything: payroll, compliance, benefits, onboarding, offboarding, and other services. We commit to onboarding talent in 10 business days and provide free offboarding.

Last but not least, you’ll hire talent in top talent markets for tech – across Latin America and Eastern Europe – with 3.5+ million tech specialists and fast-growing tech industries.

But our solution is not just another HR payments platform – with us, you get EOR, plus tech recruitment from scratch with full operational coverage in one place.

How do you handle compliance, risk, and data protection?

Alcor acts as a legal shield, ensuring 100% compliance with labor laws in the countries of our operations and IP protection. We protect clients from risks related to worker misclassification, social security, and tax obligations while providing GDPR and CCPA solutions. We also provide the background check service for our clients upon request. What is more, Alcor has a mature policy set consisting of publicly available Privacy Policy, Cookie Policy, Terms of Use, Security Policy, and Code of Ethics.

Does Alcor provide a full-cycle tech recruitment service?

Yes. With the help of our 40 in-house tech recruiters and researchers, we hire Silicon Valley-caliber talent from scratch. You can get 5 developers in the first month, 30 in 3 months, and 100 in a year. You get the first CVs of pre-vetted candidates in 5 business days. These are your people from day one who become part of your in-house team and culture, with no buyout process and fees if you later insource.

Which geographies and seniorities can you cover?

We hire top-10% engineers across Mexico, Colombia, Argentina, Chile, Poland, Romania, Ukraine, and Bulgaria – with a focus on senior, lead, and C-level talent. To ensure you get the best talent on the market, we prepare a location strategy and consultation from the start.

What is the quality of your candidates?

To present you with the best candidates, we use an internal database of 253k software engineers and external resources. 80% of the CVs we send to clients are approved; 8 CVs are needed to secure an accepted offer; and 15% of vacancies are closed with the first CV.

If a client wants to further improve the quality of the candidate pipeline, we offer an Engineering Manager screening service. As a result, 98.6% of the developers that we hire for clients successfully pass probation.

How long do software developers that Alcor hires stay with clients?

90% of the talent we hire for clients stays with them long-term, while the average tenure of developers is 2.5 years. In case you’re unsatisfied with our hire or vice versa, we offer a 3-month free replacement warranty.

What’s more, you can increase the retention rate among your tech R&D team with the talent retention strategy developed for you by our HR professionals.

Is Alcor’s pricing transparent?

We don’t have setup fees, tricky rate cards, or expensive pricing wrappers. Also, our model doesn’t presuppose regular cost increases with no visible returns. Instead, we have custom pricing for each client, set and revise individual compensations, and give contractual volume discounts.

Who owns the team and assets, and can we insource later?

You own everything from day one – the team and all procured assets (hardware, software, office/coworking arrangements, and related records). You can insource the team at any time for free, with no buyout or lock-in.

Who manages the team day to day?

You do. We act as the official Employer of Record (EOR) for compliance and payroll, while decision-making, roadmap, and performance management remain on your side.

What documentation and visibility do we get?

You get full transparency – employment contracts, SLAs, and supporting documentation are shared with you from the start.

How is IP handled, and who can access our code?

IP remains 100% yours, protected by compliant IP rights agreements from day one. Alcor does not access your source code, product docs, or other sensitive materials.

Who bears compliance and other employment-related risks?

Alcor bears 100% of employment and compliance risk in each country by acting as your legal shield for labor, tax, and regulatory matters.

Who are the clients of Alcor?

Our clients include tech product companies from the US and EU – People.ai, BigCommerce, Grammarly, Sift, Ledger, Pindrop, Chartbeat, BIScience, ChargeAfter, Tubular Labs, and Teladoc – from domains like AI/ML, ecommerce, cybersecurity/fraud prevention, crypto/fintech, media & marketing analytics, and digital health.

Does Alcor have any industry awards, or is it featured in ratings?

Alcor has earned top rankings in the IT & business services, HR outsourcing, and legal outsourcing categories on Clutch, become the #1 HR Services Agency on SuperbCompanies, and won The Legal 500 EMEA Awards. We are also featured on Clutch, TrustPilot, G2, and GoodFirms.

What is the team behind Alcor?

We’re a 100+ in-house team with deep bench strength – 40 tech recruiters and 60 back-office specialists across 8 key locations, with 93% CSAT and a 93% Net Promoter Score. Leadership is hands-on and accessible:

• Founder & CEO – Dmytro Ovcharenko;
• COO – Viktoriia Keliar;
• Director of Technical Recruiting – Kassandra Ruiz;
• Head of Customer Operations – Oksana Petrus;
• Head of Legal – Oleh Danylchenko.

Supporting leaders include Head of People & Culture – Hanna Koval; Senior Legal Adviser (LATAM) – Gilda Orozco; Country Manager, Mexico – Javier Preciado; plus regional recruiting leads in Poland, Romania, and LATAM for on-the-ground execution.

How do you make cross-region collaboration work – overlap windows, English proficiency, and executive availability?

We run teams across the USA, Latin America, and CEE – covering GMT-7, GMT-6, GMT-5, GMT-4, GMT, GMT+1, GMT+2, and more. That footprint lets us engineer reliable overlap windows: typically 5-8 hours within the Americas or Western Europe, and 2-5 hours between US time zones and CEE with modest schedule shifts.

English proficiency runs from intermediate to native, with customer-facing roles staffed at advanced/native levels. For leadership accessibility, we align recurring exec-level touchpoints inside overlap windows and keep async updates flowing so decisions don’t wait on the clock.