Nowadays more and more companies are going for custom software development solutions to stay competitive in the marketplace. No doubt the custom software solutions can upturn productivity and innovation along with that it holds the capacity to launch new business units.
The organization decides the role of the developers. Primarily the developers are involved in three types of custom software development services – Web application development, mobile application development, and desktop application development.
The matter of concern over here is to identify the cost of developing custom software. The variables that decide the value of custom software development solutions depends on the hard work of the development team. The development team work on the following areas,
- Type of stored data
- Multiple or single data sources
- Member data updates have to be shared with one system or synchronized with multiple backend systems
- Use or store any location data
- Level of security
- Any external device is required or not
- Involvement of the marketing department
- The number of the screens in the app
- Will work on in-house or external agency
- The platform like iOS, Android or Windows; for running the app
- Prefer single code base or native mobile apps
All these are the underlying variables that determine the cost of the custom software application. Unquestionably, concerning pricing and conditions, you will find a lot of variability.
Here you will get the platform to make the appropriate choice regarding the cost guide for developing custom software app.
The custom software development companies can be classified into the following categories.
From $500,000 – $100,000,000+ size projects fall into this category and the software developers hourly rate can be $250-$850. The experience level of the developer or consultant effects the hourly rate. The number of developers and consultants can be hundreds to thousands. They deal with governments and Fortune 500 companies and targets to provide more significant outcomes.
Big Business Class
Around the globe, it covers numerous offices and holds the strength of 100 -1,000 developers. The projects ranging from $125,000 – $5,000,000 + size are projected to pay $200 – $300 per hour. They tend to develop strong development teams as they believe in top talent. Among software developers, they are much prevalent. They are meant for minimum projects and relatively high rates.
In this category comes to the enterprises ranging from the small to medium size and mostly hold the employees 10 to 100. At times there can be Fortune 500 Company too. Per hour the payment can lie $125-$175 for the projects ranging from $50,000-$5,000,000. It aims to offer the proper balance between cost and quality.
The few numbers of employees ranging from 2-10 along with the owner of the company run lean businesses at low expenses. If you have the small project, then ‘small class’ company is the best option as they hold the project ranging from $10,000-$500,000 sizes. Hourly their rates can vary from $75-$175.
In this way, you can majorly categorize the custom software development companies.
|Software Development Companies||Number of developers or consultants involved||Range of the Project Size||Rates on per hour bases||Mainly deals with|
|Large Enterprise class||100s- 1000s||$500,000- $100,000,000+||$250-$800||Governments and Fortune 500 companies|
|Business class||100-1000||$125,000- $5,000,000+||$200- $300||Other large businesses|
|Mid- market class||10-100||$50,000-$5,000,000||$120-$175||Small and medium size businesses|
|Small Class||2-10||$10,000-$500,000||$60-$175||Startups, medium-sized regional businesses and local small businesses|
Moreover, there are some other types of software consultancy from which you can make your projects done. It takes account of freelance developers, offshore and near shores development companies.
This type of software consultancy takes in newbie freelancers or a seasoned pilot. If you don’t require the team for your project, then you can hire freelancers. The outworking individual will work on your small project. The project is ranging from $1,000-$50,000 can be given to the inexpert freelancer which will cost you near about $50-$75.
Alternatively, you have the option of the proficient freelancers. Being experienced, they can work on the projects ranging from $5,000 – $100,000 and can charge between $100-$300 on the hourly basis.
- Few shortcomings are associated with the freelancers which can affect the smooth working of the organization.
- The project demands expertise in designing, front-end or backend development. Freelancers do not possess all the skills.
- It is doubtful that they can be indemnified. The unavailability of any alternative will hinder the project work.
- Probabilities of disappearance and impossible to recapture.
- Outworkers can drop projects due to boredom and it will be tough to manage their half-done project.
Offshore software development companies – Hundreds to thousands of developers are found in large organizations. Hourly they charge from $25-$50 for the project size ranging from $10,000 -$1M+.
The proper management of offshore development company is important. Round-the-clock there should be frontend developer, backend developer, project manager, business consultant and quality assurance professional for the medium size project.
It is cost-effective and to get the total project cost up, the offshore companies believe in staffing full-time personnel. Certainly the offshore will prove to be beneficial if they follow the trend of agile methodology.
The agile software development company will provide you with greater client satisfaction, better project control, speedier ROI, the lessened amount of risk and the huge amount of product quality. With the customer, you can discuss the trial product by implementing the incremental approach.
Nearshore software development companies – The rate ranges from $40-$75 per hour. The project size of the nearshore and offshore are the same.
It would be great if you deal with USA based managers for your near shore or offshore offices. In central and South America you will find the natural communication process with nearshore teams. You can meet the quality challenges with nearshore developers holding USA based technical lead developer.
|Type of Software Consultancy||Offshore software developers||Offshore software developers||Near shore developers|
|Project Size||$1,000-$50,000 for newbies Experienced – $5,000 – $100,000||$ 10,000 -$1M+||$10,000 -$1M+|
|Hourly rate||Fresher – $50-$75 Seasoned pro- $100-$300||$25-$50||$40-$75|
As per the requirement of the project you can hire software developers from us as Bacancy is a home of top-notch developers. Our skillful developers have in-depth knowledge and extensive experience in custom software development services. Whether you are an Independent Software Vendors (ISVs), start-ups or enterprise alike we are offering software development services to the businesses of all shapes and sizes.
Moreover, the cost depends on the front-end and back-end expertise. The front end skill includes – React.js, Angular, backbone.js, Meteor.js, EmberJS, Polymar.JS, Ractive.js, bootstrap, vue.js, Mercury, jQuery, Aurelia and Knockout.js
Ruby on Rails, Node.js, Python, and PHP are the back end skills. Both front end and back end developers contribute in deciding the cost to develop custom software development app.
How Much Does it Cost to Build a Custom Software Application?
The question’s answer is as simple as how much does it cost to build a home or buy a car. I bet you can’t answer this super basic question. Because it depends on what kind of car you’re planning to buy or house you’re planning to build.
So, rather than moving from here and there to find out the exact answer from different sources, get in touch with us at [email protected] to get the answer you are looking for.
We are globally renowned Custom Software Development Company. We can help you pull off your next project with lower cost, mitigate risk and modernization development services. Our custom software development services have demonstrated consistent performance, higher value and lower cost ownership. Not to mention, we have successfully managed to maintain 100% client retention rate with our custom developed web and mobile applications.