The Benefits of Hiring Embedded Teams for Your Startup

Startups are built to move fast. But speed often comes at a cost: burnout, scattered processes, and missed opportunities. When you're trying to launch, iterate, and scale simultaneously, building and managing an internal team from scratch can slow you down.

That’s where embedded teams come in.

Instead of hiring one freelancer at a time—or drowning your core team in extra tasks—embedded teams offer the best of both worlds: the ownership and consistency of in-house employees, with the flexibility and cost-efficiency of outsourcing.

In this guide, we’ll break down:

• What embedded teams actually are (and what they’re not)
  
  
• Why startups are increasingly turning to this model
  
  
• How they compare to other hiring options
  
  
• The biggest benefits (with real-world examples)
  
  
• How Lupa helps startups in the U.S. and across Latin America build embedded teams that scale
  
  

What Is an Embedded Team?

An embedded team is a group of remote professionals who become an extension of your internal team. They’re hired to take ownership of specific functions—like product development, design, QA, marketing, or operations—and they work directly inside your systems, processes, and culture.

They’re not an agency, and they’re not a pool of freelancers. They’re dedicated team members, fully integrated into your workflows.

Think of them as your:

• Engineering pod that ships features with your product manager
  
  
• Support team that handles tickets inside your own tools
  
  
• Recruiting team that runs with your hiring playbook
  
  
• Growth squad that joins your standups, updates your CRM, and adapts to your voice
  

They show up every day just like your internal team. The only difference? They’re hired through a flexible model that removes the overhead of full-time employment.

7 Reasons to Hire Embedded Teams as a Startup

1. Faster Execution, Fewer Delays

Hiring internally takes time. From writing job descriptions to screening candidates and onboarding new hires, it can take 2–4 months to fill a single role—especially in engineering or product.

Embedded teams are ready to go in days, not months. They’re pre-vetted, already equipped with relevant experience, and used to working in startup environments. You don’t waste weeks on sourcing or risk hiring the wrong fit.

2. Flexibility Without Long-Term Risk

Full-time employees come with fixed costs—salaries, benefits, compliance obligations. That’s great for stability but risky for startups still finding product-market fit.

Embedded teams are scalable by design. You can:

• Start small (2–3 people) and scale as you grow
  
  
• Pause or pivot quickly if your needs change
  
  
• Try out roles before committing to long-term contracts
  

And because they’re hired through flexible models like staffing or RPO, you’re protected from local tax or compliance surprises.

3. Operational Consistency (Unlike Freelancers)

Freelancers are great for short bursts—designing a landing page, running an ad campaign. But they often lack continuity. They may work across multiple clients and don’t always document processes or collaborate deeply with your team.

Embedded teams are different. They bring:

• Documentation habits that match your internal team
  
  
• Clear ownership over deliverables
  
  
• Long-term alignment with your roadmap
  

They don’t just build quick fixes—they build for the long haul.

4. Full Cultural Integration

The best work happens when people are in sync—not just technically, but culturally.

Because embedded teams join your standups, write in your docs, and communicate in your tools (Slack, Notion, Jira, etc.), they adapt to your culture and rituals.

This builds real camaraderie and trust—two things you rarely get from outsourcing or transactional contractor relationships.

5. Cost-Effective Scaling With LatAm Talent

In Latin America, you can hire top-tier developers for 30–40% of what they could cost in the U.S.—without sacrificing quality.

That’s a savings of up to 70%, with:

• Same time zone (Central & Eastern)
  
  
• Strong English communication
  
  
• Experience working in U.S. startup environments
  

Platforms like Lupa specialize in recruiting from Latin America because the region offers one of the best talent-to-cost ratios for remote teams today.

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6. Focus on Core Business, Not Admin

When you don’t have to manage recruiting, contracts, onboarding, payroll, and compliance for every new hire, you get time back to focus on what really matters.

With embedded teams:

• Founders can spend more time with customers and investors
  
  
• Product leaders can focus on strategy instead of micromanagement
  
  
• Ops teams avoid getting buried in HR admin
  

Let your embedded team handle the execution—so you can zoom out and lead.

7. Built-In Compliance and Payroll Support

Hiring internationally comes with risks: misclassification, tax exposure, legal issues.

Partnering with a provider like Lupa means:

• Every embedded team member has a legal, compliant contract
  
  
• Payroll is handled in local currency, with tax reporting done right
  
  
• You stay protected in countries like Mexico, Colombia, Argentina, Brazil, and more
  

No need to set up local entities or guess your way through compliance.

When Should Startups Use Embedded Teams?

Embedded teams aren’t just for tech giants. They’re ideal for:

• Seed and Series A startups building fast but staying lean
  
  
• Startups entering new markets (e.g., Latin America) who need local expertise
  
  
• Founders without internal recruiting who want to move quickly
  
  
• Companies with limited HR bandwidth that need full-service support
  

Some common use cases:

• Building a product development squad (engineers, PM, QA)
  
  
• Launching a new customer success team
  
  
• Scaling support teams across time zones
  
  
• Testing a growth marketing channel without hiring in-house yet

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Top 5 Embedded Team Agencies for Startups in 2025

If you're a startup looking to scale smarter, embedded teams offer a flexible, efficient way to extend your capabilities without the overhead of traditional hiring. These agencies specialize in building teams that feel like a natural extension of your company, aligned with your processes, goals, and culture.

Here are five of the best agencies for hiring embedded teams in 2025:

1. Lupa Hire

Lupa Hire helps startups in the U.S. and beyond build world-class embedded teams across Latin America. They specialize in placing highly skilled professionals in tech, marketing, and finance roles who seamlessly integrate into your day-to-day operations. Their unique model focuses on speed, cultural fit, and operational excellence, making it easier than ever for startups to tap into the best talent without the hassle of traditional recruiting.

Unlike many agencies that simply place contractors, Lupa Hire’s embedded teams function like a direct extension of your in-house staff. From aligning on company values to syncing workflows and communications, Lupa ensures that every hire feels like part of your team from day one. Their personalized approach makes them an ideal partner for startups looking to grow efficiently without sacrificing quality or team cohesion.

2. HappyFunCorp

HappyFunCorp (HFC) is a Brooklyn-founded product engineering firm with a multi-year history of designing, building, and launching digital products that drive businesses value and delight consumers. As an outcome-obsessed partner, HFC’s flavor of embedded teams is one that matches both skills and values to build teams that deliver development and creative firepower out of the gate. Their collaborative approach ensures that your project vision stays intact while benefiting from the expertise of a seasoned external team.

What sets HappyFunCorp apart is their deep bench of experienced engineers, designers, and product managers who can plug into your organization quickly. Whether you need to scale your engineering team fast or bring a product idea to life, HFC’s embedded team model is built to adapt to your needs while maintaining high standards of quality, communication, and delivery.

3. Softeq

Softeq is a global provider of embedded development services with over 20 years of experience. They offer full-cycle development services for clients across industries like automotive, healthcare, manufacturing, logistics, and supply chain. Their dedicated team of embedded systems engineers can provide firmware development services, product maintenance, product SDK development, software and hardware testing, and integration with third-party technologies.

4. Cella

Cella builds and manages embedded creative teams and has implemented game-changing solutions for some of the world’s most renowned brands. With Cella on your side, you get a proven model, including top-notch talent, stellar management, and the maximum output from your in-house agency. They customize the experience for you, making the process easy so you can focus on your people.

5. N-iX

N-iX is a global provider of embedded development services that’s been on the market for over 20 years. The company designs and develops embedded systems software and supports hardware manufacturing and validation. N-iX offers full-cycle development services for clients across industries like automotive, healthcare, manufacturing, logistics, and supply chain. Their dedicated team of embedded systems engineers can provide firmware development services, product maintenance, product SDK development, software and hardware testing, and integration with third-party technologies.

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How Lupa Helps You Build Embedded Teams That Actually Work

At Lupa, we don’t just help you hire—we help you build embedded teams that become a core part of your business.

We offer three flexible models:

Recruitment

You own the hiring—we find, vet, and connect you with top talent in Latin America. Great if you want full control and have internal HR support.

RPO (Recruitment Process Outsourcing)

We take over your entire recruiting function and operate like your internal hiring team. You get fast, high-quality hires without the cost of building a team from scratch.

Staffing

We provide full-time or part-time embedded talent through Lupa. We handle contracts, payroll, onboarding, and compliance. You focus on building.

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With Lupa, You Get:

• Talent that matches your culture, tools, and processes
  
  
• Hiring in under 21 days
  
  
• Full compliance with local labor laws and tax systems
  
  
• Transparent pricing—no hidden fees or markups
  
  
• A 97% retention rate after 12 months
  
  
• Proven experience with fast-growing U.S. startups
  
  

We work with tech companies, fintech startups, marketplaces, SaaS platforms, and more—building embedded teams across engineering, product, operations, support, and marketing.

Ready to Build Your Embedded Team?

You don’t need to hire 10 full-time people to move fast.

With embedded teams, you get speed, quality, flexibility, and compliance—all while staying lean. Whether you're launching a new feature, entering a new market, or leveling up your support, Lupa makes it easy to build teams that scale with you.

Talk to us about building your embedded team in Latin America.