One of the main questions when looking for a software development company is: “What country and then what city do I choose for outsourcing software development of my project?” There are so many factors to consider – cost, quality, geography, time and cultural difference…

Let’s explore why startups and industry giants from all over the world choose Lviv as their outsourcing destination and learn whether it’s really as favorable IT outsourcing destination as it seems to be.

Aspect 1. Diverse & rare talents

Tech talent is the first and the most important thing you expect when outsourcing software development. What does Lviv have to offer?

Lviv is one of the three largest IT centers in Ukraine (alongside Kyiv and Kharkiv). The 2018 report revealed 20 000-21 000 IT specialists  working in the city, which makes 15% of the whole Ukrainian IT talent pool.

And the qualified workforce joins their number every year. 5000 tech experts will have graduated from higher educational institutions by the end of 2019, without technical colleges and IT schools taken into account. These specialists have a strong background thanks to the high-quality technical education provided by Lviv institutions. Moreover, many employees move to Lviv from other Ukrainian cities, since it is rated the most comfortable Ukrainian city to live in.

Lviv is listed as one of the top 10 cities of the future by Financial Times and one of the most attractive IT spots for investment in Europe.

Besides creating mobile, desktop and web applications, local IT companies work with the latest technologies such as AR/VR and IoT. So you can find talented IT professionals matching your specific needs.

The best IT outsourcing destination

Annual Lviv market IT research 2018

Aspect #2. Geography of software outsourcing destination

Ukraine is listed in top 30 destinations for IT outsourcing & offshoring in Gartner surveys.

An important impact factor is its geographical position in Eastern European time zone. In fact, Ukraine has only 1 hour time difference with the majority of European countries. As a result, you get productive cooperation with no holdups and late Skype meetings.

Moreover, Lviv Danylo Halytskyi International Airport offers direct flights from Lviv to most business centers worldwide. You can fly from Lviv to Berlin in 1h40, from Lviv to London – 2h45, from Lviv to Oslo – 4 hours, from Lviv to New York – 12 hours.

Besides, unlike Kharkiv or Kyiv, Lviv is situated far from the political conflict zone so you can avoid any economic or political risks.

Aspect #3. Mentality & knowledge of English

Lviv culture & mentality have a lot in common with Western Europe.

Throughout its history, the city was a part of Austria, Poland and Hungary. Today, Ukrainians are willing to become a part of the EU and take steps towards it. As a result, local IT experts have a flexible attitude to work, high level of education and creative mindset. So, there are high chances that US and European clients will get along well with Ukrainian IT experts. Moreover, Ukrainians are diligent employees and have good work ethics.

80% of software engineers in Ukraine speak English at least on a conversational level and almost half of them – fluently, which eliminates language barriers with your IT outsourcing team.

Aspect #4. Costs

No surprise that outsourcing IT services in Lviv or even opening a new office here would be cheaper than in Poland, Hungary, or other European countries. On average, you can save from 40% up to 60% when outsourcing software development to Ukraine. To compare, in Hungary you can cut 30% of expenses, in Czech Republic – 40%, and in Poland – 50%. Also, Lviv wins against bigger Ukrainian cities in cost economy due to the living costs difference. It is not a big but cozy city, comfortable to work with.

Software outsourcing to Ukraine

A diagram of European cost-effectiveness provided by GARTNER

So, with the same budget you can hire more qualified IT experts in Lviv than you would do in Krakow, Prague or any city in North America. At the same time, you wouldn’t neglect the quality of service, since Ukrainian developers have gained a reputation of reliable and highly-competent specialists. Hundreds of successful projects and the growing investments prove this.

Aspect #5. Community

Lviv citizens take care of their IT sector, constantly improving it. Lviv IT Cluster is the largest IT alliance in Ukraine, uniting the best local IT outsourcing companies, universities and authorities to open employee trainings and change local business environment for better.

Many companies have opened their own IT trainings and classes to improve their qualification and prepare more competent workers (e.g. Pllug community). As a result, Ukrainian developers have always delivered excellent quality work and listed 11th in the list of top software developers worldwide. The new directions such as “AI, Data Science, IoT” have been opened in universities as well.

What is more, Lviv regularly hosts large IT events for entrepreneurs and programmers – such as Lviv IT Arena, GDG DevFest Ukraine and GameDev Conference. Participants exchange their experience, success and failures, to reach growth and success.

Top software outsourcing destinations to choose

All in all, local community does its best to attract even more investors and talented workforce. For instance, they plan to build a technopark for further growing local IT outsourcing market.

Having analyzed the crucial aspects of IT outsourcing services, we presented you a clear image of Lviv on the global IT arena. With this information, it’s easier for you to decide whether to outsource your software development here and if so, how to do it right.