Virtual Captive model is derived as a hybrid of traditional outsourcing and company owned captives by including the benefits and taking away the limitations of both existing models.
Virtual Captives by ScrumStart dwell on the principle of transparency by putting forward the transparent pricing model that cannot be practiced by traditional IT Service providers. It is a common understanding that IT providers want to keep control on their margins and opening their books to the customer is contrary to their business model. This also works easy for everyone as a standard cost of $/hr rate ensures easy financial management of every deal. This model has an inherent issue that has become more pronounced over time. Service Providers tend to improve margins by compromising on the quality of resources. In the changing times where talent is the key to every company, this becomes a major bottleneck to long term benefit of the customer. However, the transparent pricing model of a Virtual captive and captive gives an incentive to hire better quality resources without bothering about cost and margins. This directly impacts the business outcomes and works as great incentive for both the Virtual captive provider and for the customer.
Transparent pricing by ScrumStart Virtual captive takes away the overheads of managing margins and cost and the focus completely shifts to ensuring high quality outcome for the customers.
The best part of ScrumStart virtual captive is the low cost of startup and professional help available for a good and quick ROI for the customer. Having shared management and all professional help, customers need not bear high cost of management overhead. All best practices that ScrumStart Virtual Captive brings to table get’s replicated without much cost and effort. This makes it a better option to company owned captives.
Most of the start-ups want the setup to be owned by them when they start growing. ScrumStart Virtual captive works on the principle of built operate and transfer that is mutually worked between the two parties.
The cost per hour of ScrumStart virtual captive almost matches with company owned captive minus the capex, startup trouble, legal issues, tax worries, complianes issues, best practices issues and other issues like minimum number to operate, etc.