Welcome to Daxima’s complete guide on hiring a dedicated development team.
We’ve been developing complex apps and software for more than 20 years, so we know a thing or two about hiring top-tier dev talent.
In this guide, we’re going to walk you through everything you need to know about hiring the best possible dev team you can buy.
You’ll learn the benefits of hiring a dedicated team, the team’s typical structure, rough costs, and a step-by-step process for hiring a team, so you get the best possible talent at competitive prices.
Ready to get started? So are we.
Table of Contents
Key Takeaways
- Dedicated development teams offer full focus, flexibility, and cost savings, making them perfect for long-term or complex projects.
- Managing an in-house team is expensive and time-consuming, while dedicated teams bring instant access to top talent and specialized expertise.
- Hiring costs for dedicated teams range from $25–$150 per hour, depending on location and skills, saving thousands compared to in-house teams.
- Outsourcing the creation of a dedicated team avoids recruitment delays, high overheads, and quality issues, streamlining the process.
- At Daxima, our fractional CTO services ensure seamless setup and management for your project’s unique needs.
What is a Dedicated Development Team?
A dedicated development team is a group of professionals—like developers, designers, and testers—who focus entirely on your project but aren’t technically employees of your company.
Instead of spending time hiring, training, and managing an in-house team, you hire a dedicated team and get instant access to top talent, faster results, and more flexibility.
This setup is perfect for businesses that want to hit the ground running while avoiding the overhead of building an internal team.
A dedicated team can reduce software development costs, improve efficiency, and help your company deliver high-quality products. We’ll cover the benefits of having a dedicated development team now.
Benefits of a Dedicated Development Team
The benefits of a dedicated development team come down to efficiency and cost.
Managing an in-house team means dealing with hiring, onboarding, training, and ongoing management.
That’s a ton of work—not to mention the overhead costs for salaries, benefits, and tools.
A dedicated development team skips all that hassle. They’re ready to go, bring specialized skills, and adapt to your needs without extra effort on your end.
In the U.S. and Canada, the average developer salary is over $100,000 per year, plus benefits.
By hiring a dedicated team, you only pay for the work you need, which can save you thousands without sacrificing quality.
For example, a startup we worked with needed to build a custom e-commerce platform but couldn’t afford to hire an entire in-house team.
By using a dedicated development team, they saved over 40% compared to local hiring costs and got the project completed three months faster than expected.
This allowed them to launch ahead of schedule and reinvest the savings into marketing.
Dedicated Development Team Structure
A dedicated development team is like a well-oiled machine, with each member playing a specific role to keep your project running smoothly.
At Daxima, our teams typically include front-end and back-end developers who handle the technical heavy lifting, project managers who ensure everything stays on track, and designers who create intuitive, user-friendly interfaces.
Our QA specialists test every detail to deliver flawless results. In the end, the team will look like this:
- Developers: Front-end developers build the user interface, back-end developers handle server-side logic, and full-stack developers manage both.
- Project Managers: They oversee timelines, coordinate tasks, and ensure seamless communication.
- Designers: UX and UI specialists craft user-friendly designs that look great and work perfectly.
- QA Specialists: They rigorously test your product to catch bugs and guarantee quality.
Need extra support? We can add business analysts or DevOps engineers based on your project.
With over 20 years of experience, we customize our team structure to fit your goals, ensuring seamless collaboration and top-notch delivery.
Dedicated Development Team Vs. Other Models
Fixed Price Model
The fixed price model is all about predictability.
You agree on a set price for a clearly defined scope of work. It’s great for small or straightforward projects where requirements won’t change.
It’s budget-friendly but lacks flexibility—any changes to the scope can mean extra costs and delays.
Compared to a dedicated development team, it’s less adaptable.
Dedicated teams handle evolving needs better, making them ideal for long-term or complex projects.
Time & Material Model
In the time and material model, you pay for the hours worked and materials used.
It’s perfect for projects where scope or requirements might change.
This approach gives you flexibility to make adjustments as you go, but costs can add up if the project drags on.
Dedicated development teams offer similar flexibility but with a committed group of experts who stay focused on your project, ensuring efficiency and consistency.
In-House Team
An in-house team works directly under your management and offers full control over your project.
This is ideal for companies that need close collaboration and real-time problem-solving.
However, it comes with high costs for salaries, benefits, and training.
Dedicated development teams provide similar expertise without the overhead, giving you a more cost-effective solution while still ensuring quality and focus on your project.
Project-Based Teams
Project-based teams are hired for specific, one-off tasks or projects.
Once the project is done, the team moves on. This works well for short-term needs with a defined outcome.
The downside is limited availability for ongoing support or updates.
A dedicated development team offers long-term commitment, making it better for projects requiring flexibility, scalability, or continuous improvements.
When to Hire a Dedicated Team
Hiring a dedicated team is perfect for long-term projects, scaling quickly, or when you need specialized expertise.
It’s especially useful for companies without the time or resources to build an in-house team.
A dedicated team brings focus and flexibility. They adapt to your goals, work exclusively on your project, and come with the skills needed to handle complex tasks.
This ensures faster delivery, better quality, and cost savings compared to other models.
For example, a healthcare startup launching a secure patient management app would benefit from a dedicated team to handle development, testing, and compliance efficiently.
When NOT to Hire a Dedicated Team
A dedicated team isn’t the best choice for small, short-term projects or tasks with a well-defined scope.
For example, if you’re fixing minor bugs or adding a simple feature to an existing product, a dedicated team might be overkill.
These situations are better suited for freelancers or project-based teams that can handle quick, one-off tasks without ongoing commitment.
Hiring a dedicated team requires a longer timeline and is most effective for larger, more complex needs.
For instance, a small e-commerce business needing a single payment gateway update would likely find a freelancer more cost-effective and practical than a full team.
Pros of Dedicated Development Teams
- Full focus on your project, ensuring faster delivery and better quality.
- Access to a team of skilled professionals without the overhead of hiring in-house staff.
- Flexibility to scale the team up or down as project needs change.
- Easier collaboration and alignment with long-term goals.
- Cost-effective for larger or ongoing projects compared to building an in-house team.
Cons of Dedicated Development Teams
- May not be suitable for small or short-term projects.
- Requires a longer commitment and potentially higher upfront costs than freelancers.
- Communication challenges if the team isn’t well integrated with your internal processes.
- Dependence on an external provider, which may reduce direct control over the project.
- Onboarding and knowledge transfer can take time at the beginning of the partnership.
How to Hire a Dedicated Team
Hiring a dedicated team can feel overwhelming, but breaking it into clear steps makes the process smoother.
At Daxima, we’ve been doing this for over 20 years, so we know what works. Follow these steps to build the perfect team for your project:
Define Requirements
Start by outlining exactly what you need.
Define your project’s goals, the skills required, and your timeline.
Be as specific as possible—vague requirements lead to misaligned expectations.
At Daxima, we recommend creating a list of must-have features and technologies.
For example, if you’re building a mobile app, include details like platform compatibility, UX goals, and integration needs. Clear requirements save time and ensure you find the right team.
Conduct Market Research
Research potential providers who specialize in dedicated teams for your type of project.
Look for companies with a proven track record in your industry.
At Daxima, we encourage clients to check case studies and client reviews to verify expertise. Platforms like Clutch or referrals from trusted contacts can help narrow your options.
Pro Tip: Focus on companies that offer flexibility and long-term support, not just a quick solution.
Interview and Hire Candidates
When interviewing candidates or teams, ask about their experience with similar projects and how they handle challenges.
At Daxima, we emphasize transparency during this stage, sharing past successes and potential risks upfront.
Evaluate not only technical skills but also communication and problem-solving abilities.
A good fit goes beyond coding—it’s about seamless collaboration. Once you’re confident, lock in your team and set clear expectations for the partnership.
Launch the Team
Kick things off with a clear onboarding process.
Share your project goals, timelines, and workflows.
At Daxima, we schedule a kickoff meeting to align everyone and clarify roles.
Regular check-ins and progress updates keep everything running smoothly.
With the right launch, your dedicated team will hit the ground running, saving you time and delivering results efficiently.
Cost of Hiring a Dedicated Development Team
Hiring a dedicated development team is more affordable than most people expect.
Depending on the team’s location and expertise, rates can range anywhere from $25 to $150 per hour.
At the lower end, offshore teams provide cost savings but may require more oversight.
Onshore or highly specialized teams might cost more but often deliver higher quality and smoother communication.
The exact cost varies based on factors like project complexity, required skills, and the duration of your project.
At Daxima, we tailor our services to fit your budget and goals, ensuring you get top-tier talent at competitive rates.
Outsourcing the Creation of a Dedicated Team
Outsourcing the creation of a dedicated team is the smartest move for most businesses.
It saves time, reduces costs, and gives you instant access to experienced professionals who are ready to hit the ground running.
Instead of dealing with hiring, training, and assembling the team yourself, you let experts handle the heavy lifting.
This approach also avoids common headaches like recruitment delays, mismatched skills, and high overhead costs.
We hate to sound self-promotional (but we don’t), but our fractional CTO services make this process seamless.
At Daxima, we help you define your needs, find the right talent, and manage the team effectively so you can focus on growing your business.
Hiring a dedicated development team is the way to go if you’re looking to cut costs, speed up project development, and improve efficiency.
And now that you know how to do it, you’re ready to go out and hire your first team.
Or, you can skip all of the hard work and guessing games and give us a call for your free consultation. We can help see if we’re a good fit to help with our fractional CTO services.