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As a person who came to the US from country which project are offshored to (Russia), I can say, that the best way to offshore, is to find a person in the US who came from the country where you want to offshore to and who has right connections. Without this, being successful in such an endeavor might be tricky.

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Could some of this risk be improved by actually going to Russia and working side by side? I am a non-technical founder but I've been impressed with quality I've gotten from Russia-based developers. It seems to me if I spent time there with them we could move much faster. Thoughts?

If you have those same developers willing to allocate time and their resources - sure, go for it. With most eastern european countries it's important to have them dedicated to things. Your costs will be lower, your production will be higher (ymmv) and if funding is not a problem you should definitely try that out. Remember they are all "mercenaries". You will learn a lot just being in another culture. Most friendships you create there will last you a lifetime. YMMV though, as with anything.

> Could some of this risk be improved by actually going to Russia and working side by side? That definitely would help.

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