Offshore Software Development in India: An Honest Guide for Clients Abroad
Hiring Indian developers from abroad works when three things are agreed in writing: a daily overlap window, who owns the code and accounts, and how handover works. Most problems come from vague scope and missing access, not distance. If you already run software built in India, GullySystem’s free technology audit reviews it and returns a written report ordered by priority.
Plan Around the Time Difference
India runs on IST, five and a half hours ahead of UTC, with no daylight saving. From the UK or the Gulf the gap is easy to work with, while the US west coast has almost no natural overlap.
Agree a fixed overlap of an hour or two for calls, and keep the rest of the day written. A good team sends a short note at the end of its day, so you wake up to progress rather than questions.
Some questions cannot wait a day. Name one person on your side who can answer quickly, or the team will be left to guess.
Own the Code and Accounts From Day One
Ownership is the point clients most often discover too late. The contract should say that the source code and all work product belong to you once invoices are paid.
Paperwork alone is not enough. Create the code repository, cloud account, domain and app store accounts under your company, then add the team as members.
This costs nothing. It lets you change vendors, bring the work in-house, or pass an investor’s due diligence without asking anyone for a favour.
Put Scope and Acceptance in Writing
On a call across time zones and cultures, a quick yes can mean ‘I understood the question’ rather than ‘this is agreed’. That is true of any remote team, and writing things down fixes most of it.
Keep a short written note per feature with a clear test for done. Review working builds often, rather than slides or status reports.
Ask for the same thing you would ask of a local team: a list of open questions, a list of decisions made, and a demo you can click through.
Agree the Handover Before You Sign
A team confident in its work is happy to plan for its own replacement. Treat reluctance on any of these points as a warning.
- Written setup and deployment notes, including environment settings
- A README that lets a new developer run the project locally
- Credentials shared through a password manager, never over chat
- A defined support period after launch, and the price for work after it
- A recorded walkthrough of the code for your future team
Settle Contracts, Invoicing and Data Handling Early
Agree the currency and the invoicing entity early. Under GST, services supplied to a client outside India can count as an export, which an Indian vendor can invoice without IGST after filing a Letter of Undertaking (LUT).
Whether your contract qualifies depends on conditions such as how payment is received, so both sides’ accountants should confirm it. If the software will hold personal data about your customers, agree where it is stored and who can see it, and give the team test data where you can.
GullySystem works from one office in Nagarbhavi, Bengaluru, and has no offices abroad. Clients outside the city work with us over calls, screen-shares, WhatsApp and shared documents, and the software is delivered and supported online. A sensible first step is the free technology audit, which needs only a demo login, a screen-share or screenshots.
Offshore engagement checklist
A checklist covering the overlap window, the named decision-maker, account ownership, the written definition of done, handover documents, support terms, invoicing and data handling. Tick each item before the first invoice is raised.
Frequently asked questions
Will I own the source code if an Indian company builds my software?
You should, and the contract should say so. More important, create the repository and cloud accounts in your company’s name and add the team to them. Then ownership never depends on anyone’s goodwill.
How much overlap do I need with a team in India?
An hour or two of shared working time a day is usually enough if everything else is written. You will want more during early design and in the run-up to a launch. Agree the window at the start.
When is offshore development a poor fit?
When nobody on your side can write down what is wanted or answer questions promptly. It also struggles when the work needs someone in the room with your customers or staff every day. In those cases, hire locally or budget for travel.
Sources
- GST Portal user guide: Furnishing of Letter of Undertaking for Export of Goods or Services — verified 20 Sept 2026
Have a specific situation to work through?
This article covers the general case. Tell us what you’re actually dealing with and we’ll respond directly.