August 14, 2019

What Influences The Cost Of Software Development Services

Estimating software development cost is a challenging task. Often, it is not enough to answer the question - how much does the average software development cost? Thorough assessment influences a number of parameters and can determine every step of the way the developers need to take. Thus, the right software development cost estimation is a crucial part of every project. If you want to assess the software development cost of your project most properly, here’s what you need to pay attention to.

Six Important Factors to Consider Behind Software Development Cost

The parameters you need to pay attention to for software development cost analysis vary widely. Some are obvious and determined. However, there also are fluctuating and hidden variables. Let’s review the most important aspects of a software development cost calculator.

1. Work Hours Spent

Time is the most valuable resource for any project. In software development, the value of this variable can vary from mere minutes to days or months. As is the case in other fields, the work hours the team spends on the project directly affect its cost.

While this seems straightforward at first glance, the correct estimation of time has its own pitfalls. Particularly, it depends on a number of parameters, such as:

2. Complexity and Work Amount

This point is dependent entirely on the information provided by the customer. To estimate the cost of software code development services, you need to find out what the end product is expected to look like.

To determine the scope of the work for the most proper IT software development cost analysis, you need to:

3. Personnel Needed

The more experts you need on the job, the more resources you need to provide them with. However, it can be challenging to determine the exact number of developers needed. One task can become so specific and unusual that it might need a special expert to solve. For a first guess of how much does software development cost, divide the project into general steps and estimate the team you will need for each of them.

There are also specialized platforms and services to help you handle personnel selection properly, like:

Each solution is absolutely free in its core version and offer paid plans optionally with more features and additions.

4. Location

If the developing team is spread across multiple countries, the correct software development cost assessment becomes almost impossible. Employees in different locations require different payments depending on the average fee in the country. In developing countries, the offshore software development cost calculation is even more difficult, with each company having its own set of rules. In such a case, be sure to find an optimal way to efficiently manage and communicate with employees remotely.

The specialized platforms intended just for that will help you, such as:

5. Extra Expenditures

The extras depend both on the specifics of your project and the specifics of your team. While each software development cost estimation example is unique in this regard, there are some usual suspects. For example:

6. Status Quo Fee

While it often seems tempting to cut corners both during the estimation and during the development, it can often cost you more in hidden costs. Cheaper hardware and software tools can result in time lost due to glitches or even worse – data breaches.

Results and Discussion

So, we’ve narrowed down the most common and persistent issues and found the points that you need to pay attention to. Another question that stands next to how to calculate the software development cost is how to adhere to the estimation. It can be answered in the following steps:

1. Have proper tools for management and maintenance;

2. Ensure the use of relevant software development techniques;

3. Hire a team of professionals for each step of development, including the maintenance;

4. Create a comprehensive plan further into the future.

The whole procedure seems quite time-consuming and complex, which is truly so. That’s what qualified, profiled experts are there for - you can simply formulate your major goals, requirements, and tasks, leaving all the rest to us and avoiding cumbersome procedures you aren’t experienced in as of yet.


There are a lot of ways a software development process can go wrong. Some of them can be easily accounted for while the others are unforeseeable. That’s why any custom software development cost analysis is tricky. While any estimation has a chance to fail, by paying attention to the right elements and leaving enough leeway, there is a way to overcome this obstacle. Still, any assessment should be performed by an expert with hands-on experience. So, if you’re not sure – refer to a professional and check your project every step of the way.

Other Articles

Are you ready to enhance your online presence?

Contact us to help you get to know your customers closer.

Like our content?

Subscribe and do not miss a single update!