Evertrue: Mobile Technology Development

EverTrue is an iPhone application that enables networking and fundraising among school alumni. Its originator and founder, Brent Grinna has developed this idea based on his experience raising funds for his alma mater, Brown University and he is currently seeking a way to bring this idea to life by creating a prototype for the University’s alumni Association presentation taking place in 8 weeks’ time.

To develop a prototype of the EverTrue app and get it ready before the presentation, Brent needs to consider the following options based on trade-offs between cost, speed and intellectual property rights protection to make a suitable prototype development decision. Amongst these options are:

1) Recruiting Local Programmers: This is the most time efficient option because all Brent has to do is employ a suitable programmer via craigslist. It also ensures that Brent keeps control of his intellectual property. However, it is an expensive option as the wage rate for a quality job per hour is $150 which is above Brent’s current budget.

2) oDesk: This option involves hiring a programmer through an outsourcing company, oDesk. It is as cheap as $30 per hour and also, oDesk takes care of all the administrative which is also time efficient. Brent also gets to keep a 100% stake in Evertrue. However, there was a risk of having intellectual property issues. The programmers recruited via this platform may also leave the job for a higher paying job anytime since they are paid weekly.

3) Dashfire: This option also involves using a third party to develop Evertrue, Dashfire. It is a cheap option for Brent’s idea as he will get to pay as low as $10 per hour. This option however involves giving up a stake of Brent’s business and it is not time efficient as a lot of necessary negotiations to be agreed on before the project can start.

4) Finding a CTO/Co-founder: This option involves getting a partner to share the load of bringing life to this project. This was the cheapest option as Brent wouldn’t need to pay salaries but he may have to give up some stakes in Evertrue and it may also be time consuming in terms of getting a partner if his friend Arjun is not willing to join him.

Some similarities and differences exist between oDesk and Dashfire. oDesk and Dashfire happen to be outsourcing firms where start-up companies can find the expertise they require to fill their capability gaps. Their differences however is in the way they choose to be compensated. While oDesk chose to be paid out rightly for its services, Dashfire chose to be a part of its client’s business as a partner through stock holding. These methods are not uncommon in today’s business as the strategy and outlook of outsourcing firms are going beyond just providing the needed services to sharing in the risks and rewards of their clients. Also, while oDesk uses independent contractors, Dashfire have in-house teams for every