BPO VS Hiring Freelancers – What’s the Difference?

BPO VS Hiring Freelancers – What’s the Difference?

BPO VS hiring freelancers…What’s the difference?

Outsourcing and freelancing are two words that are often used to indicate similar meanings. Yet, if we explore how each function we’re able to quickly see that they couldn’t be more different.

Complete opposites in fact!

At Smiles On Demand, we’re a BPO (Business Process Outsourcing Company), which means we function to enable clients to contract and outsource certain aspects of their operations as third-party providers

Whereas a freelancer usually refers to a self-employed individual who isn’t a part of a formal organizational structure. Usually, having the capacity to work for multiple clients at the same time.

So, which one is best for your business?

1. Reliability


Home-based agents and freelancers usually work on multiple projects at once. They define their own hours and are often chosen for one-off jobs rather than long term contracts.

This means they are responsible for their own internet, equipment, and set-up which doesn’t always assure reliability when serving your customers in your business’s name.


At Smiles, we invest in state-of-the-art communications technologies, which are regularly updated, backed-up, and maintained by our dedicated IT professionals.

technology at BPO

Our investments in sophisticated equipment, infrastructure maintenance, and security solutions ensure clients’ customers are handled with care and their sensitive data is kept safe

The best part? At Smiles, we build in resilience with relievers at a ratio of 1:10; we protect you with fully-trained team members to cover absences and sickness.

2. Oversight & Management

Looking for the right freelancer can consume lots of time and effort. Not only that, but there’s also the need for constant clear communication between the client and the freelancer, so the requirements are understood by both parties.

Each party must know each other’s capabilities, limitations, and expectations. Hiring them for single, one-off projects or short contracts can be a great option for you. 

At Smiles we avoid pitfalls freelancers incur such as juggling multiple clients and projects and instead pride ourselves on our slogan ‘Managed Teams in The Philippines’ – because we’re exactly that. 

management at smiles

We create bespoke proposals and expert teams that fit your business and your budget. From there, we endlessly optimize performance and productivity for your long-term growth and success with regular calibration meetings and 24/7 support

Hiring and overseeing the work of one freelancer is fine, but if you need a team of 5, all of a sudden you have to individually manage 5 relationships.

With Smiles, you have just one relationship and we take care of the management / oversight aspect for the whole team in one go (which is included in the price), and it scales easily.

If the team needs to grow, we hire, train, onboard and oversee the new agent with minimal involvement from the client.

Additionally, we provide Compliance and QA as part of our service (included in the price).

With Freelancers, you would have to hire more freelancers to manage QA / Compliance, adding even more management burden.

Forming an outsourcing partnership with a firm is the best solution for you if you need long-term business scalability, continuity, security, and reliability.

3. Skills and Expenses

Experienced freelancers charge higher hourly rates to cover things like invoicing fees, pension payments, or taxes. If you hire through popular platforms such as Upwork you pay for the work before it’s even done, and have to hope that the freelancer you’ve chosen does a great job. 

At Smiles, you don’t spend a penny until we’ve built a team you can trust. If we don’t find the right candidates, you walk away with no financial impact whatsoever. Our pre-employment screening is at the most senior level. We also no offer no-cost training periods, and you only pay once your team is up-and-running. Win!

skills at smiles

We do this because we believe every business should be able to get the advantage of an offshore workforce without the risk or uncertainty.

We don’t believe that launching an offshore team should be just about saving money. With the right oversight, training, and incentives, you can control costs while actively improving productivity and performance

So there we have it, we hope this helped to ameliorate your understanding of BPO Companies VS freelancers.

Talk to us more about the benefits of engaging with a BPO by entering your details below. Let’s explore how we can help you and your business grow.