How 'technical' is the founder? It sounds like he/she doesn't have the background to be able to tell whether the outsourcing company knows what they are doing. It's really difficult to manage a project like this when the founder can't look at the code and tell whether it's crap.

It might be worth it to find a developer who can look at what you have so far and talk to the outsourcing company to find out if 1) what you have is salvageable and 2) whether the team is capable of completing the project. There are a lot of hacks out there that will hold themselves out as accomplished outsourcing firms. You have to be careful who you hire.