Costing custom web development and software for your startup.

MrMonster

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Nov 7, 2010
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Hi all

Me and my business partner are currently in the process of writing our business plan but we're looking to work out how much we will need to raise to have a fully working product. Of course it will be developed over time but a minimum cost for the development for us to launch a basic version of our product.

It's quite complex and we've spoken to a number of software development companies but the prices range so much. Is there a way to get a gauge if someone is charging too much or a general figure of what different types of apps/software/websites cost to create?

I would hate to raise the wrong amount and stumble right away. I would also hate to raise too much when we can bootstrap it for proof of concept.

Thank you
 

fisicx

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There really isn’t a way to compare one cost against another.

What you think is complex might be simple for some but not for others. Some may be building a bespoke solution others using free scripts. Some may create a MVP others a full software suite.

What is it you want building?
 
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MrMonster

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Nov 7, 2010
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There really isn’t a way to compare one cost against another.

What you think is complex might be simple for some but not for others. Some may be building a bespoke solution others using free scripts. Some may create a MVP others a full software suite.

What is it you want building?
Thanks Fisicx, it's a listing, ebay/amazon style platform I'm looking to build.
 
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Paul Norman

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The wide range in cost will reflect two things.

1. How well those quoting have understood your brief. If you are wanting bespoke, invest the time to make sure potential builders have thorough understood and are neither over building nor skimping.

2. In the world of developers there are a wide range of people. There are plent of companies out there whose owners make nothing, and are supported by government benefits, and some who like to pay themselves, and their staff, a generous salary. Charge out rates will vary from £50 to £1000 a day. And it may not impact that much on how good they are, either!

So back to number 1. Make sure you have an utterly clear view of what you want, and make sure the developers idea mirrors that.
 
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antropy

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    It's quite complex and we've spoken to a number of software development companies but the prices range so much. Is there a way to get a gauge if someone is charging too much or a general figure of what different types of apps/software/websites cost to create?
    It depends just as much on who you ask as what you want to build.

    For any given project if you ask an outsourced freelancer for a quote it's going to be one of the cheapest, if you ask a London-based agency for a quote, it's probably going to be the most expensive.

    The difference could vary by more than 100x.

    Of course to some extent you get what you pay for - if you go for a cheap freelancer, they may disappear, they may not finish the project, they may build it all wrong ... or they may do a great job.

    If you go for an agency, they're unlikely to disappear, they're unlikely to write terrible code, but they are likely to charge a lot and not allow you to make any changes or add any new features without charging you a lot more.

    Without being a developer yourself it might be quite difficult to judge if a developer or company are any good. Yes you can look at a portfolio but just because a piece of work looks good to the untrained eye, doesn't mean it is - plenty of spaghetti code websites look great but the code is a mess.

    So perhaps you need to decide if you want to go with a freelancer, small agency, or big agency first. Then you can try to work out a way that you can judge their quality - probably by looking at their portfolio and their reviews if you're not technical enough to be able to look at the code quality of their work.

    You're probably best to look for a company that has built a few projects that are very similar to what you want to build for the best chance of success.

    Good luck!

    Paul.
     
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    fisicx

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    Thanks Fisicx, it's a listing, ebay/amazon style platform I'm looking to build.
    That’s not complex. There are ready made white label solutions you can buy that do just this.

    You can even do it for (almost) nothing on Wordpress. Or you can invest millions to build something with all the bells and whistles.
     
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    MrMonster

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    That’s not complex. There are ready made white label solutions you can buy that do just this.

    You can even do it for (almost) nothing on Wordpress. Or you can invest millions to build something with all the bells and whistles.
    That would be explain why i'm getting varying quotes from £600 to £20,000.

    I will do some research into Wordpress based foundations as i've worked with Wordpress in the past.

    Thank you
     
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    fisicx

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    Wordpress may not be the best platform for your business idea but it will give you an idea on what you do need.

    Here’s your starter for 10:

     
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    MrMonster

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    Nov 7, 2010
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    Thank you all, essentially I want a platform that makes it very simple for a customer to add their inventory onto our store. That means photos, description, price, quantity and any discounts. It needs to be georgraphically located as most items cannot simply be posted and will need to be shown the suppliers within your city to maximise your cost saving.

    I think it may be a stretch for wordpress but at least I know the concept itself is relatively simple.
     
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    fisicx

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    Not an auction then. All you need is a multi-vendor plugin on a woocommerce store. Easy peasy.

    You could be up and running in an hour (if you know what you are doing).
     
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    fantheflames

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    Definitely you can do this on your own with Wordpress.

    If you need to create an app, you'll need to hire a professional.

    There are loads of us on here that can guide you in the right direction.

    But if you're lost, or stuck, you'll need professional help with your website and app.

    I would train yourself first, then hire if needed.

    Good luck!
     
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    Wordpress would be a great option, but I would be more likely to look at a specific platform/package - there are several out there.
     
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    Upsilon

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    Dec 2, 2022
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    It's quite complex and we've spoken to a number of software development companies but the prices range so much. Is there a way to get a gauge if someone is charging too much or a general figure of what different types of apps/software/websites cost to create?
    Based on what's written in the comments, you're aiming for somewhat of a marketplace MVP, right?

    Look, you always have the option of going with something simple like Shopify or WooCommerce that allow you to set things up in the shortest time frames without coding too much. Yet this path has a major downside: it's very likely that you'll grow out of what this solution offers sooner than expected.

    ⟶ In this event, you'll have to not only go back to square one and think about how to build a custom solution, but also engage in a time-consuming data migration process from your "simple" solution. This is double work, and it comes at a price, not to mention that it requires a lot of time and effort. So although taking the custom path right away might seem challenging, it does save you a lot in the long run.

    How much can a custom solution cost you? This really depends on a bunch of factors like the tech stack, where the team is from, what you include in the estimate, etc. The more complex functionality you want, the more it'll cost. The faster you want things done, the more you'll pay. The more experienced you find a team, the higher the price. Do you see where I'm going with this?

    If you need a more detailed read on the topic, I'd suggest checking out the UpsilonIT blog, it has several detailed articles with MVP development cost estimates, including a separate read on how much marketplace development can cost you with calculation examples. Hope this helps! And good luck!
     
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    Worth baringbinmmind that, despite big plans, for most people, their business doesn't develop into the behemoth they plan it to be, so, off the shelf packages, in most cases will do.
     
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    brandvine

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    Before thinking about the software, have you figured out how you are going to get marketplace users onto your site and how you plan to monetize the business?

    Building the site out, and getting vendors signed up is the easy part.

    It can prove extremely expensive to persuade customers to use a new marketplace.

    Personally, I would use the most cost-effective white-label solution you can find and test the concept before investing heavily in custom development.
     
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    techtix

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    MVP development is the best approach but as you said you have taken it as an estimate and the cost is high. The best you can do is to hire freelance through Upwork or Toptal for product development. This way you can get your product developed at in affordable price. And better is to pay a fixed price for product development and not hourly charges.
     
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    A

    AllSpiritual

    Look at Shopify, its £1 a month for 3 months at the moment (I think) and there is this plugin which you could get going with "product-auction" on apps . shopify

    I use Shopify, its scalable and runs well for my purposes. I have found that if you want any modifications or bespoke coding/cosmetic stuff, the app owners are normally happy to help. For a £££

    Anyway, have a look. Might not be your preferred solution but it may give you some insights :)
     
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    Look at Shopify
    ... and if they go down or bust, you lose your business.

    If you don't like them for some reason, you can't move your site.

    Developing plugins for special things you need can really be expensive.

    YOu don't have ultimate control of your data.

    Apart from that, Shopify is great!
     
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    fisicx

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    mimranyameen

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    Jan 9, 2023
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    Many ways around this on Shopify now.

    I would add the location of your software development team. In different regions, the hourly rate may vary in 2 or even 3 times. You can look at goodcore.co.uk rates
    This. Wordpress and other CMS are the same. Things, especially if they’re enabled and used only once, will leave behind little remnants. Deleting a plug-in entirely is a strong first step and typically clears out any database elements and code but some apps don’t always.
     
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