The two models in brief
GCC as a service gives you a dedicated, long-term team that works only for you, under your standards and KPIs, while a partner provides the legal entity, premises, hiring, compliance and day-to-day operations. You get a capability centre without setting up a company in another country.
Build-operate-transfer (BOT) has a partner build and run the centre for an agreed period, then transfer the people, processes and assets to your own entity. It is a route to full ownership with much of the early risk carried by the partner.
How they compare
| GCC as a service | Build-operate-transfer | |
|---|---|---|
| Who owns the centre | The partner owns the entity; you direct the work and the team. | The partner at first; you after the transfer. |
| Up-front investment | Low: no entity, premises or local administration to set up. | Moderate: you plan and fund the transfer, and take over fixed costs afterwards. |
| Speed to a working team | Fastest, often a few months for a first function. | Similar at the start; the transfer adds a later phase. |
| Long-term control | Through the contract, governance and KPIs. | Full, once transferred. |
| Best when | You want a dedicated capability without becoming an employer in another country, or you are testing the model. | You are confident you want your own centre and want a structured path to get there. |
Five questions that decide it
- Do you want to own a legal entity abroad? If not yet, start with GCC as a service.
- How certain is the scope? If you expect to grow the centre into several functions, plan a BOT path, even if you start as a service.
- Who will run it after year two? BOT only works if you have, or will hire, the leadership to take it over.
- How sensitive is the work? Both models can meet strict security and compliance requirements, but regulated work needs those controls written into the contract from the start.
- What does the exit look like? Agree transfer terms, or the conditions for converting a service into a BOT, before you sign.
A common path: start as a service, keep the option to transfer
Many mid-size companies start with one function under GCC as a service, with a contract that includes an option to convert to build-operate-transfer once the centre has proved itself. That keeps the start fast and low-risk while preserving the route to ownership.
What to put in the contract either way
- A dedicated team, with named leadership and agreed hiring standards.
- KPIs and service levels agreed before go-live, reviewed monthly.
- Documented procedures and knowledge that belong to you.
- Security, data-protection and audit rights suited to your industry.
- Clear transfer or conversion terms: timing, people, assets and cost basis.
For the full set of decisions, from location to KPIs, see our playbook for setting up a global capability centre.