Underestimating hidden costs
Salaries are lower, but other costs add up if they are not planned for.
- Turnover. Replacing engineers is expensive.
- Onboarding. Training cycles delay productivity.
- Benefits. Local requirements can surprise unprepared teams.
Ignoring compliance complexity
Each country has its own labor code and requirements that can be unforgiving.
- Contract rules. Termination laws vary widely.
- Payroll. Tax structures require local expertise.
- Social benefits. Missing contributions risks fines.
Misaligning compensation
Paying too low risks churn, while overpaying distorts budgets and expectations.
- Market awareness. Local benchmarking is essential.
- Retention incentives. Benefits and growth paths keep engineers engaged.
- Sustainability. Compensation must scale with company growth.
How Howdy.com prevents expansion mistakes
Avoiding mistakes in new markets requires experience and local infrastructure. Howdy.com helps US leaders expand into LatAm smoothly and sustainably.
- Compliance handled. Payroll and benefits managed locally.
- Compensation expertise. Fair, competitive pay packages.
- Retention support. Local HR and career growth reduce turnover.
- Transparent operations. No hidden costs or surprises.