Guide · Price

How much does a SaaS cost to build?

“How much does a SaaS cost?” is one of the most common questions before getting started. We won't give a range without having seen a project, but here are the cost items that make up the price, and the ones people forget.

In short

The cost of building a SaaS depends less on the number of screens than on the foundation common to every client: accounts and organisations, roles, subscriptions and billing, internal administration, backups and monitoring. On top of this starting cost come recurring costs: hosting, third-party services, maintenance and support. There is no serious standard price; a reliable budget is built after scoping the first version.

By Romain Nivelle, President of The Level Code · Updated on

Why a SaaS costs more than in-house software of the same size

In-house software serves a single organisation. A SaaS (software sold as an online subscription) must serve several without mixing their data, let them sign up, invite colleagues, pay, change plans and leave with their information. This foundation adds nothing visible to the business itself, but it is essential from the very first paying client.

That's why two projects with the same number of business screens can have very different budgets: one is an in-house tool, the other a commercial product. Our page B2B SaaS development details this foundation.

The cost items of a SaaS

Every line in this table has to be designed, built and tested. A quote that doesn't mention some of them hasn't necessarily included them.

ItemWhat it covers
ScopingCustomer journey, the business served, scope of the first version
Business featuresWhat your clients come for: screens, rules, documents
Accounts and organisationsSign-up, invitations, roles, data separation between clients
Subscriptions and billingPlans, payment, invoices, plan changes, unpaid invoices
Internal administrationTools to help a client and diagnose an error without improper access
OperationsHosting, backups, tested restores, monitoring
Export and exitLetting a client retrieve their data
Mobile appIf usage requires it, possibly with an offline mode

Recurring costs, after launch

Development is only the starting cost. A SaaS in production has costs that recur every month, and that grow with the number of clients. They need to be estimated during scoping to set a viable subscription price.

  • Hosting, storage and backups
  • Third-party services: payment, email, SMS, mapping
  • Maintenance: security updates, dependencies, fixes
  • Changes requested by clients
  • User support

What makes the budget vary

The factors that weigh the most are the number of roles and business rules, the complexity of billing, exchanges with other tools, an offline mobile app, and data migration if the SaaS replaces an existing tool. Turning an in-house tool into a SaaS also requires an audit, as with any software takeover: you need to examine data separation, access and subscriptions.

The most reliable way to control the budget is to define a reduced first version, usable by real clients, then evolve the product from their feedback. The guide How much does custom software cost? explains how to compare two quotes on an equivalent basis.

What we know from running our own SaaS

The Level Code publishes and runs its own B2B SaaS, Trackary, equipment fleet management software for construction equipment. We therefore know first-hand the costs of hosting, backups, monitoring and support for a product in production, not just the development costs. See Trackary, our case study.

That's why, from the scoping stage, we insist on recurring costs and the operational foundation: they are what determines whether a SaaS is profitable, far more than the starting budget.

Frequently asked questions

How much does it cost to build a SaaS?

There is no serious standard price: the budget depends on the business served, the roles, billing, integrations and operations. A reliable figure is built after scoping the first version.

What are the monthly costs of a SaaS in production?

Hosting, storage and backups, third-party services (payment, email), maintenance, changes and support. They grow with the number of clients and must be estimated before setting the subscription price.

Why does a SaaS cost more than in-house software?

Because it must serve several companies without mixing their data, handle sign-ups, invitations, subscriptions and billing, and offer administration tools. This foundation doesn't exist in an in-house tool.

Can you start small?

Yes, it's even recommended: a reduced first version, usable by real clients, then changes based on their feedback. The foundation (accounts, data separation, backups) must still be solid from the start.

Do I own the SaaS code?

For the SaaS products we build, yes: the code is pushed to your repository from the first commit, third-party accounts are in your name, and we take no stake in your product.

A project, a question?

Describe what you need in a few lines: you deal directly with the team, in Lille.