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This is exactly how overseas outsourcing works. The vast majority of the foreign people I work with are under arrangements just like you describe.

This is also similar to how a lot of small software development firms work; they develop web sites and mobile apps for companies on contract.



There were some US companies that did this as well before the dot bomb. One of the selling points would be you get "bench time," which meant paid in-between assignments. I think large companies that make a lot with consulting fees use this model as well, but I'm not sure which ones.




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