calculate custom software development cost

How Much Does Custom Software Development Cost and When to Use It

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Organizations looking to optimize their operations with software often face a difficult choice: to use an out-of-the-box solution or invest in developing custom software. While making a decision here it’s good to be aware of how much does Custom Software Development costs and what it actually means for your business.

What is Custom Software Development?

Custom software development means building tailor-made software that meets specific company needs. By investing in custom software, businesses can get their hands on solutions that are tailored to their requirements and processes, optimizing their operations and positioning them for success.

How much does custom software development cost?

Let’s start with one fundamental fact: it’s tough to estimate custom software development cost because every piece of software is unique and tailor-made. Giving even an approximation of general costs without knowing the project’s specific requirements is next to impossible.

However, you can be sure that a project like this rarely takes under 300 hours of work. This means that custom software development cost might be higher than the out-of-the-box solutions.

Why custom software development costs more than out-of-the-box solutions?

This is mainly because custom software is available to only one company (or a few), whereas off-the-shelf solutions are available to multiple customers. Organizations that decide to implement an out-of-the-box tool pay a small fee for the license that covers the development and maintenance costs of the generic software. However, such tools often come with a set of predefined features that most organizations never end up using.

The bloated feature set, operational complexity, and data obfuscation deriving from the need to fulfill many different objectives for many different clients are what makes off-the-shelf software problematic for organizations looking to increase their efficiency and stay nimble.

When it comes to custom software, it’s usually made to serve the needs of a single organization or a very limited number of clients. That’s why the custom software development costs can’t be distributed. But such solutions allow organizations to save up on the operational expenses because integration is immediate; the tool is designed to solve a particular problem in that specific company.

By choosing custom software, you can be sure you won’t end up with a product that contains many features you don’t need and still have to support, even if they don’t bring any benefits to your company.

Make sure you also choose the right Custom Software Development firm – in this article you can find some critical tips for picking the best technology provider for your project.


Custom software comes with many advantages. It’s individually tailored to solve specific problems; organizations can easily integrate it with their internal processes and start reaping benefits from day one. When compared to off-the-shelf solutions, custom software becomes even more advantageous in the long run.

Are you looking for an experienced team of software developers who know how to deliver custom software? Get in touch with us; we have the expertise you need to ensure your software development project is a success.

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