Asking "how much does custom software cost?" is a bit like asking "how much does a house cost?". The honest answer is "it depends" — but that doesn't mean the price is arbitrary. An application's budget can be estimated quite accurately, as long as you know what you are building. This guide explains what drives the price, what a proper estimate looks like and how to keep costs under control.
Why custom software has no fixed price
An off-the-shelf product has a list price because it is the same for every customer. Custom software is built around your process: your sales stages, your documents, the systems you already use. Two companies in the same industry can need very different applications.
That is why a project's cost is calculated from effort: how many working days are needed for analysis, design, development, testing and launch. The final price is that effort multiplied by the team's rate.
What drives the cost
1. Number and complexity of features
A form that saves data to a database is quick to build. A module that calculates prices with different rules per customer, generates documents and sends notifications takes considerably longer. What matters is not the number of screens but the logic behind them.
2. Integrations with other systems
Every connection to another program — CRM, ERP, online store, payment provider, courier, WhatsApp — adds work: understanding the data format, handling errors and testing what happens when the other system doesn't respond. Integrations are often the most underestimated part of a project. We cover this in detail on our systems integration page.
3. User roles and permissions
An app used only by a manager is simpler than one where operators, accountants, sales reps and customers each see something different. Every role means extra access rules, screens and tests.
4. Quality of existing data
If data has to be moved from spreadsheets or an old system, and it contains duplicates, inconsistent formats and empty fields, cleaning and migrating it becomes a separate phase of the project.
5. Security and compliance
Personal data, payments and financial documents require access logs, backups, encryption and sometimes GDPR compliance. These aren't optional, but they must be included explicitly in the estimate.
6. Interface languages
For many businesses in Moldova, an interface in Romanian and Russian is a necessity, not a luxury. Building a multilingual app from the start is much cheaper than adding a language later.
What a proper estimate looks like
A serious estimate is not a single number sent after a ten-minute call. It includes:
- the feature list, split into modules and priorities;
- the estimated effort for each module;
- what is not included — just as important as what is;
- delivery phases, each with a budget and timeline;
- post-launch costs: hosting, maintenance, support.
If the process isn't clear yet, the best investment is a process audit before development. It costs little compared to the project and removes the biggest cause of budget overruns: requirements discovered along the way.
Engagement models: fixed price or phased budget
| Model | When it fits | What to watch |
|---|---|---|
| Fixed price | Clear requirements, small or mid-sized project | Every change becomes a separate negotiation |
| Time and materials | Requirements will change, new product | You need regular progress reports |
| Phases with fixed budgets | Most business projects | Each phase must deliver something usable |
At Lorvis we prefer the third model: the project is split into short phases, each with a clear budget and outcome. You see the application working early and can adjust priorities before the next phase.
How to reduce cost without losing quality
- Start with an MVP. Build the part that solves the most expensive problem first. The rest can wait until you see the app in real use.
- Don't rebuild what works. Sometimes the answer is automation or an integration between existing systems, not a new application.
- Involve the people who will use it. One hour with the operator who does the work every day saves weeks of rework.
- Choose mainstream technology. An application built on widely used technology can be maintained by many developers, so you don't depend on a single vendor.
Total cost of ownership, not just the launch price
Development is only part of the cost. Over several years, hosting, maintenance and your team's time matter too. But so does the other side of the scale: hours saved, mistakes avoided, subscriptions you can cancel.
A simple calculation helps you decide: if your team loses 10 hours a week copying data between programs, that's over 500 hours a year. Multiply by the cost of an hour of work and compare it with the application's budget. The investment often pays back faster than expected.
Custom software or an off-the-shelf product?
Not every problem needs a new application. If your process is standard, an existing product can be cheaper. We compare both options in detail in custom software vs off-the-shelf.
Conclusion
The price of custom software depends on what you build, not on who is asking. A proper estimate starts with analysing the process, splits the project into phases and includes post-launch costs. If you want a concrete estimate for your project, briefly describe your situation — we'll reply with a proposal covering phases, budget and timeline.