Nearshoring in Software Development: What It Is and Why It Matters
October 1, 2025
In recent years, the way companies develop software has undergone rapid changes. Agile development cycles, distributed teams, and real-time collaboration have become requirements for companies that need to move quickly, adapt continuously, and scale with confidence.
In this new reality, nearshoring has emerged as a strategic move, enabling companies to maintain the speed and quality they need without compromising control or team alignment.
But what exactly is nearshoring, and why is it becoming the preferred choice for so many US and European companies?
What Is Nearshoring?
Nearshoring refers to the practice of outsourcing business operations, especially software development, to a nearby country, typically one in a similar time zone and with cultural and linguistic compatibility.
For a US-based company, that might mean partnering with a team in Latin America rather than Asia or Eastern Europe. For a company in Western Europe, it could involve working with teams in Central or Eastern Europe.
In software development, nearshoring allows teams to collaborate in real time, avoid long handovers across time zones, and build stronger partnerships that feel more like an extension of the in-house team.
It’s about proximity in mindset, communication, and pace.
Why Nearshoring Is Gaining Momentum
Nearshoring isn’t a new concept, but in today’s tech landscape, it’s gaining renewed relevance. Several global changes have created the perfect environment for nearshoring to thrive, especially in the world of custom software development.
Post-pandemic shift toward real-time collaboration
The COVID-19 pandemic accelerated remote work across industries. Since then, we have seen distributed teams become more frequent — but not all remote models work equally well.
Many companies discovered that asynchronous collaboration across 10+ hour time differences came with slower decision-making, misaligned expectations, and extra overhead just to stay in sync.
Nearshoring, by contrast, enables real-time interaction between distributed teams. Developers, designers, product managers, and stakeholders can work in parallel, meaning faster iterations, fewer blockers, and tighter integration between business and tech.
Rising costs and complexity in traditional offshore markets
For years, offshoring to countries like India or the Philippines was seen as a cost-saving strategy. But today, that equation is more complex.
Salaries in many offshore destinations are rising, and talent saturation and churn rates have increased. The communication gap, cultural and operational, often requires layers of management just to make the partnership work.
So, when a company selects a nearshore team, they don’t have to choose between low cost and high performance. They get access to qualified talent, competitive rates, and partners who operate with a shared sense of ownership.
Geopolitical and regulatory pressure
Global trade dynamics have also pushed companies to rethink where and how they outsource. The US–China trade relationship has become more uncertain. Data privacy regulations, such as GDPR, CCPA, and industry-specific compliance standards, have raised the bar on operational transparency and jurisdictional control.
Nearshoring offers a safer path in this scenario, supporting compliance, reducing legal and logistical friction, and helping companies build more resilient, adaptable operations.
The Advantages of Nearshoring for Software Development
Nearshoring is more than cutting costs or checking a geographic box; it’s about unlocking a better way to build software. Especially for companies that require speed, alignment, and high-quality execution, nearshoring offers a set of clear, tangible advantages.
Time zone alignment means faster iterations
When teams operate in overlapping time zones, collaboration flows more naturally. There’s no need to wait 24 hours for a simple answer or to schedule meetings at odd hours just to accommodate a global schedule.
Instead, product managers, engineers, and stakeholders can connect in real time, leading to faster feedback loops, quicker decisions, and smoother iterations. For agile development, this kind of responsiveness can make a significant difference.
Cultural and language proximity = clearer communication
Communication includes language fluency, context, tone, and expectations.
Nearshore teams in Latin America, for example, often share more than just a language with US-based clients. They understand how Western tech companies work. They’re used to direct communication, fast-paced environments, and collaborative problem-solving.
At Elint, for instance, our teams are fully fluent in English and immersed in global product culture, from agile rituals to product thinking.
Access to senior technical talent
Many nearshore destinations offer highly qualified engineers, architects, and specialists, often with strong academic backgrounds and international experience.
In Brazil, the developer community is not only large but also mature. From cloud-native architecture to advanced AI systems, local talent is capable of contributing at a strategic and technical level.
Reduced operational risk
Proximity brings visibility. Working with teams in nearby time zones and similar legal frameworks reduces friction and increases transparency. It also lowers the risk of delays, miscommunication, or legal complications. You can visit the team, align quickly, and trust that work is progressing in sync with your expectations.
Why LATAM?
Over the past few years, Latin America has emerged as a strategic nearshore destination for software development. Companies across the US and Europe are increasingly turning to the region, not just for cost advantages, but for better alignment, collaboration, and delivery.
Here’s why LATAM stands out:
- Time zone proximity to the US.
- Strong cultural and language alignment.
- A deep and growing talent pool in countries like Brazil, Colombia, Argentina, and Mexico.
- Technical maturity and familiarity with global delivery standards.
Elint is based in Brazil and collaborates across the region, working with professionals who combine technical strength, responsiveness, and product sensibility. That combination enables us to support companies looking for a great partnership.
How Elint Works with Nearshore Clients
We collaborate with clients across the US and Europe to build custom software that’s deeply aligned with their structure, goals, and internal teams. Our nearshore model is designed to stay aligned in rhythm, communication, and commitment.
Here’s how we make that happen:
- Teams that integrate, not just execute.
Whether we’re leading a project end-to-end or embedding into an existing squad, we act as a true extension of your team, with shared standards, aligned sprints, and open communication. - Technical expertise grounded in context.
Our work spans web and mobile applications, AI systems, cloud infrastructure, and blockchain, always connected to real business use cases. - Agile delivery, matched to your time zone.
That means no overnight delays, no asynchronous bottlenecks, just faster feedback loops and tighter alignment at every stage. - A partnership mindset.
We’re strategic collaborators who bring clarity, technical depth, and accountability to the table. Because we know that the best software outcomes come from shared ownership.
Proximity Drives Performance
Nearshoring is a reflection of how modern companies are choosing to build, with speed, flexibility, and stronger collaboration.
By working with teams who operate in the same rhythm, speak the same language, and understand the same expectations, companies gain more than efficiency. They build partnerships that lead to better outcomes, better products, and better long-term value.
For those looking to move fast without losing control, Latin America offers the ideal balance, and nearshoring is how you access it.
At Elint, we help companies do exactly that.
Do you want to learn how nearshoring could support your next software initiative?
Let’s connect and explore the possibilities.