Why Mexico
Mexico is part of the North America block and is the preferred Nearshore destination for IT companies according to Gartner*.
Mexico´s labor pool size and maturity makes the country the best option among Latin America countries for outsourcing business and IT services. When evaluating outsourcing, the common advantages of using Nearshore vs Offshore are: Proximity (direct flights similar as other US Cities), Lower Attrition, Cultural Affinity, Same Timezone and more integrated Teams.
Additionally to previous advantages:
The Global SW Development companies have their Nearshore center in Mexico, for US Delivery (23 of 30)*.
The top ERP company has its Managed Cloud Center for North America in Mexico
Moreover, in 2019 Mexico became the top U.S. trade partner, according to U.S. Mexico’s trade with the United States totaled $614.5 billion in this year.*2
*Source: “Evaluate Offshore/Nearshore Countries for Outsourcing, Shared Services and Captives in Asia/Pacific, 2017”, Gartner.
*2 Source: *Source: “It’s Official: Mexico Is No. 1 U.S. Trade Partner For First Time, Despite Overall U.S. Trade Decline”, Forbes.
Recommended cities for an IT practice in Mexico
We currently have available facilities in Monterrey, Guadalajara, Tijuana and Hermosillo. Each city has their advantages, for example Monterrey & Guadalajara has the most IT companies:
Guadalajara
Start-up’s and Tech hub Capital and also as the Mexican Silicon Valley.
Monterrey
The Business Capital of Mexico and the IT HUB..
Become an expert in building a Mexico practice
Training session
In our Webcasts “Why Mexico as the preferred Nearshore destination” we focus on discovering the benefits of opening a subsidiary based in Mexico and how global players have taken advantage of Nearshoring for BPO, BPaaS, regional compliance, reducing risk through an unique legal framework and maximizing your start-up cost while accessing to a talented private network.
Mexico offers the highest ROI nearshore option for US-based tech companies. Labour costs run 40–60% below equivalent US roles. The talent pool spans software engineering, data, finance, and operations, across Monterrey, Guadalajara, Tijuana, and Hermosillo. Time zone alignment with the US means no productivity lag. USMCA trade agreements reduce legal and tax friction. For PE-backed companies specifically, Mexico is a direct EBITDA lever: lower burn rate, faster hiring cycles, and no offshore communication overhead. The average PE-backed portfolio company running a Mexico operation employs 20 people and operates on an as-a-service model, not a captive entity.
SUBaaS — Subsidiary-as-a-Service, is a turnkey framework to launch and run Mexico operations without building a captive entity from scratch. The client owns the team and the operation from day one. Everscale provides the infrastructure: legal entity, HR and payroll, facilities, compliance, procurement, and accounting — one contract, one invoice. The model is also referred to as GCC-as-a-Service, Virtual Subsidiary, and Virtual Captive. The analogy is cloud computing: just as AWS built the data centre infrastructure so companies don’t have to build their own, Everscale has built the Mexico operating infrastructure so clients plug in and operate from day one. Average time to operational: 45 days.
An EOR is an employment wrapper, it handles payroll and compliance for individual hires but does nothing else. Everscale is full operating infrastructure. Recruitment, HR, payroll, compliance, facilities, procurement, accounting, one partner, one invoice. EOR platforms fail at scale because they were never designed to support a 20-, 50-, or 100-person operation. They create fragmented vendor stacks and no single point of accountability. Everscale clients own their team and their operation. There is no dependency on a staffing firm or an EOR platform. When a client scales down or exits, SUBaaS minimises shutdown cost exposure, no full local entity to unwind.
How long does it take to set up Mexico operations with Everscale?
The average time from signed contract to operational team is 45 days. That is 6 months faster than the equivalent DIY build, which requires local entity registration, compliance setup, facilities sourcing, and building an HR function from zero. Everscale’s infrastructure is already in place across Monterrey, Guadalajara, Tijuana, and Hermosillo. Clients do not wait for entity formation or facility buildout. For companies that want to validate the market first, a Temporary Team can be operational in under two weeks, then converted to a permanent SUBaaS operation once assumptions are confirmed.