Outsourcing to Bulgaria: What You Should Know

Before choosing a location that’ll satisfy all your business requirements, you need to make sure that the place has sufficient potential and  well-trained human resources. Remember, it is individual talents combined into teams that’ll help you transform your business. It is no wonder that Bulgaria has recently become such a popular outsourcing destination among international businesses that value high-quality software services but don’t want to waste money on overpriced solutions. Nonetheless, the country is well-known for its IT experts, who have one of the broadest ranges of knowledge in the most popular programming languages. According to the Ease of Doing Business Rank, Bulgaria’s index is 61 out of 173, meaning that it’s a great place to start your digital transformation. Keep reading and you’ll discover why outsourcing software development to Bulgaria is an excellent choice in 2022.

Key Facts about Outsourcing Software Development to Bulgaria

• The Bulgarian IT sector can boast more than 100,000 experts in 2022.
• It is predicted that by 2024, there will be more than 112,000 IT specialists in the Bulgarian market.
• The number of software development businesses in Bulgaria has grown by 0.2% over the last five years, and now accounts for 2,325.
• Bulgarian software development market size has reached an impressive €832.9m in 2022.
• Bulgarian developers are ranked 20th in the EF English proficiency index.
• According to HackerRank, Bulgarian tech talents are ranked 13th in the list of the best developers worldwide.

Bulgarian IT Sector Overview

Even though the Bulgarian economy isn’t very strong, numerous international IT businesses are opening their offices all across the country, but the majority are located in the three major IT hubs for outsourcing to Bulgaria —Varna, Sofia, and Plovdiv. Companies like IBM, Bosch, Atos, HP, and Software AG are the most prominent examples of trustworthy international players that have benefited from hiring Bulgarian experts.

Bulgaria has a well-developed IT sector since almost 8% of the country’s GDP accounts for the export of IT products. A favorable business climate and comfortable conditions for living and working are the primary factors that attract companies from other parts of the world. This country is also a great place for potential customers, because many companies from Western Europe, the DACH region, and Great Britain are located here.

Bulgarian Software Developer Rates

It’s important to remember that all rates depend on factors like technology, experience level, and city, so the data provided in this article represents the median. Plus, software developer rates grow each year due to the increasing talent shortage. On average, a Bulgarian software developer makes about $3639,93 per month, which is significantly less than in other European destinations. Here is an approximate calculation of how much developers with different experience levels make:

Data: Glassdoor

Bulgarian Software Developer Rates by Technology

Data: Salary Explorer

Benefits of Outsourcing Software Development to Bulgaria

Strong IT Ecosystem

In general, the IT industry in Bulgaria has strong potential for growth. According to the data from the AIBEST Annual Industry Report, 77,000 IT specialists worked in full-time positions in the country in 2020. Experts predict that by 2024, the number of engineers will have risen to 112 thousand. In addition, more than 6,500 technical graduates enter the local talent market each year. About 90% of the most qualified Bulgarian IT specialists live and work in Sofia.

European Time Zone

Bulgaria’s close geographical proximity to most European destinations makes it a perfect place for software development outsourcing. Smooth and uninterrupted communication between customers and teams is one of the fundamental factors that’ll lead to a project’s success, meaning that the country will be a perfect fit for European businesses. By the way, interestingly, many US companies have started considering Bulgaria—despite a significant time difference, great experience and low rates are what make the country so popular. Plus, time-zone management tools make collaboration easier and more efficient.

Low Staff Turnover

It is needless to say that most clients are looking for a team that will manage to start and deliver a project without considerable staff changes. That way, there are higher chances that the final product will meet or exceed the initial criteria and the team will not fall behind the schedule due to the lack of experts. This is where outsourcing to Bulgaria has got your back—low staff attrition rates are what the country is famous for. The IT professionals there are fully engaged in the projects and provide their customers with ongoing support, doing everything it takes to ensure great outcomes.

Low Rates

Bulgaria is a perfect place to outsource an experienced software development team and save money without losing quality. The prices there are much lower than in the US, UK, and even most other European destinations. Most developers there make less than $20 per hour, which is very affordable compared to other European destinations. Still, senior developers or those working with rare technologies will cost you more, but you’ll still spend much less money than in most other countries. If you have a limited budget, then Bulgaria is a perfect fit for you.

Wrap Up

In conclusion, Bulgaria remains one of the most cost-effective options for businesses looking to hire experienced developers. Although the country’s talent pool is not the biggest in Europe, there are plenty of developers working with a broad variety of technologies (even the most rare ones). If you want to learn even more about nearshoring your software development to a place where well-trained experts will support you on your way, you’ll benefit from our nearshore consulting services.