Skip to main content
Blog

How much does it cost to develop software? 2026 price guide

What does software development cost? Compare adapting existing tools, automation and custom applications. Explore Fiive scope and budget examples

Portrait of Lucas Rosvall

Written by Lucas Rosvall

Tech Lead & Co-Founder

How much does it cost to develop software? 2026 price guide

How much does it cost to develop an app or other software? A budget needs to describe what you will actually receive. We review workflows, user roles, data and integrations before estimating the cost. A scoped first delivery and a complete business system are different commitments. A smaller need may also fit your existing tools.

These are Fiive’s own indicative prices and planning examples, excluding VAT. They are not market averages or a quote. Design, development, testing and handover for the agreed scope are included in the build budget. Hosting, licences and maintenance are agreed separately. A previous PoC is a separate purchase. Fiive’s budget guide (in Swedish) explains the assumptions.

Three illustrative budgets for custom mobile app development with different scopes:

  • Scoped first mobile app version, 100,000–300,000 SEK: one core workflow for one audience on one platform, without complex integrations.
  • Expanded version, 250,000–600,000 SEK: more user workflows and simpler connections to external systems.
  • Complex product, 600,000–2,000,000 SEK or more: multiple platforms, real-time data or demanding security and scalability requirements.

Use the examples to compare scope. Your requirements determine which budget range fits the project.

As a general rule, the price is driven primarily by features, integrations, security requirements and how quickly you need to deliver.

In this article, we go through how costs are calculated, concrete price examples for different project types, and how you can keep costs down without compromising on quality.

How is the cost of software development calculated?

The cost of software development is calculated in several steps that take into account the project's complexity, technical requirements and time required. Here is a systematic guide to estimating the cost of app development and other software projects:

Identify project requirements

The first step is to define exactly what your software should do. Map out all features, user groups and technical specifications.

Choose a tech stack

Software technologies and their impact on cost vary considerably. Native mobile development (separate apps for iOS and Android) costs more than cross-platform solutions such as React Native or Flutter. At the same time, some technology choices require specialist skills that raise the hourly rate.

Calculate labor costs

Estimate the work for the agreed delivery: product work, design, development, testing and handover. AI tools and reuse can reduce some activities. For ongoing development, Fiive agrees on the team and billing model.

Also distinguish between hourly rate and effective price. A senior consultant who solves the problem in 200 hours is cheaper overall than a junior who needs 350 hours for the same task. What it ultimately costs also depends on whether you build in-house or hire a tech agency.

Add extra costs

Check that design, project management, testing and documentation are included in the agreed delivery. Budget operations, support and new features separately to avoid counting the same work twice.

Estimated price ranges for different project types:

These are Fiive’s planning examples for different scopes, excluding VAT. Fiive Price Benchmark 2026 (in Swedish) explains the assumptions. A scoped quote is needed before work starts.

Project typeSimpleMediumComplex
Mobile app / MVP100,000–300,000 SEK250,000–600,000 SEK600,000+ SEK
Internal web appBudget after reviewing workflows, roles, data and integrations
SaaS platform200,000–500,000 SEK500,000–1,500,000 SEK1,500,000+ SEK
Connect existing systemsPriced for the task, existing tools and responsibilities
AI and automationPriced for the task, existing tools and responsibilities

What affects the cost of software?

The cost of software is affected primarily by the project's scope, technical complexity, design and UX requirements, number of platforms, integration needs, security and compliance requirements, and the team's location and skills. Here are the decisive factors in detail:

Factors that affect cost:

  • Project scope - The number of features and user groups that need to be supported.
  • Technical complexity - Advanced features such as AI, real-time data or complex algorithms.
  • Design and user experience - Extensive UI/UX design and custom graphic elements.
  • Choice of platforms - Web, iOS, Android or several platforms at once.
  • Integration requirements - Connections to external systems and APIs.
  • Security and compliance requirements - GDPR, medical standards or financial regulations.
  • Team location - Where the development team is based can make a big difference to your budget. Teams in countries with lower living costs can often offer lower prices, but it is important to also consider cultural differences and communication that can affect the project.
  • Team skills - Experience and expertise affect both timelines and costs. Hiring people with higher skill levels usually means higher initial costs but can also result in more efficient work and better quality in the end product.
  • Unexpected events - Always keep a buffer for unexpected costs. It is not unusual for a project to take longer than planned or for problems to appear that require extra resources.

If you are considering developing a technical solution, we at Fiive offer professional software development based on your needs and budget.

Different solutions and their costs

Start with the task and the tools you already use. A small configuration change, an existing integration or an automation workflow may be enough. The app and SaaS examples below describe custom development with a wider scope.

Here is a closer look at common software solutions and an estimate of their development costs:

Mobile apps and MVPs: A well-defined mobile app or MVP with limited functionality typically costs 100,000–300,000 SEK to develop. With more advanced features such as real-time communication, integrations with external systems or support for multiple platforms, the cost lands in the 250,000–600,000 SEK range. Complex app development with high security or scalability requirements can exceed 2,000,000 SEK.

Internal web apps: Cost depends on what users need to do, the business rules and the data that must work together. We estimate a budget after reviewing the need, with explicit assumptions and boundaries. We recommend a smaller adaptation in your existing tools when that meets the need.

Web apps with different scopes

As an illustration, a tightly scoped first version might cover a form, a list and an approval workflow for one team. A larger delivery might also need different permissions, multiple approval steps, business-system synchronization, migration of existing data and error handling. That is a different commitment, even though both are called internal web apps.

The amounts of 100,000 and 300,000 SEK are illustrative comparisons excluding VAT, not two standard packages or an estimate for your project. Fiive estimates that a small internal web app can start at around 100,000 SEK; that does not make it a budget for your complete solution. Actual requirements determine the price, which may also fall outside this comparison.

Before development starts, the quote specifies inclusions, exclusions and pricing assumptions. If the desired functionality exceeds the budget, we discuss a smaller first delivery with explicit deferrals. Scope changes are reviewed and priced before additional work starts.

SaaS platforms: A scoped first SaaS version with one core workflow has a build budget of 200,000–500,000 SEK. More roles, customer organizations and integrations put the budget at 500,000–1,500,000 SEK. Complex platforms with demanding security and scalability requirements start at 1,500,000 SEK. These are Fiive planning examples, excluding VAT and ongoing operations.

System integration: We assess existing connections and documented APIs first. Price depends on the systems, data mapping, direction and responsibility for errors. A simple connection can be a small assignment; multiple systems and more business logic need their own scope.

AI and automation: An n8n workflow processing email or invoice data can be a small production solution. Production AI has no generic minimum price. When a technical question needs testing, an illustrative separate AI PoC costs around 30,000 SEK excluding VAT. A custom application with an interface, data storage and access control is priced for its scope. See our AI and automation price guide (in Swedish).

Embedded systems: Embedded systems are specialized software, often used in industrial or medical applications, and they can vary quite a lot in price. A simpler system can cost from 100,000 SEK, while more complex systems that require high precision and reliability can cost several million kronor.

Calculate total AI cost as development plus actual model usage, hosting, support and changes over the chosen period. The recurring share depends on usage and responsibilities.

AI-assisted development and reuse

We start with the value for the customer and assess what existing tools can solve. A PoC helps when something important is uncertain. A clearly scoped automation can be implemented directly.

AI tools and established components can reduce work on interfaces, standard features and first code drafts. Fiive accounts for that when scoping and pricing the delivery. Data quality, business logic, access control and testing still need to be assessed for your intended use.

An internal app for one organisation has a different scope from a SaaS product with multiple customer organisations, subscriptions and data isolation. Start with the workflow that creates value. The timeline is agreed after reviewing data and system access.

How can you reduce the cost of software projects?

You reduce the cost of a software project primarily by starting with a Minimum Viable Product (MVP) — focus on the core features needed to get feedback from your first users. You can then lower the cost further with prototypes/PoCs, agile methods and automated testing.

The cost of MVP development is considerably lower than building a full-fledged product from the start.

Another way to keep costs down is to build prototypes or a Proof of Concept (PoC) to test your idea before starting full-scale development. Unlike an MVP, a PoC focuses on validating the technical aspect, which is well suited for highly technical projects. This makes it possible to internally verify that a technical solution is feasible before larger investments are made.

Agile development methods are also important — you prioritize high-value features and adapt the project continuously based on feedback. The cost may initially seem higher, but it often results in a lower total cost through less rework and better focus on users' real needs.

Automated testing and continuous integration and delivery processes (CI/CD) reduce the time it takes to discover and fix errors. That means lower costs over time.

If you have a startup or scaleup, we at Fiive also offer a unique arrangement where we sometimes take part-ownership in companies. This means you can reduce the cost of software development in exchange for a share in the company. As your partner, we then help you develop and scale your product to launch and beyond.

Do prices differ between Gothenburg and Stockholm?

Compare the same delivery, team and responsibilities across suppliers. Fiive quotes for the agreed scope and does not use a generic geographic discount as a guarantee of the final price. Our budget guide (in Swedish) explains indicative prices and assumptions.

Want to know what your project would cost with a Gothenburg-based team? Get in touch and we will give you a cost indication with no obligations.

How much does it cost to maintain and develop software over time?

The build cost is only part of the total investment. Budget hosting, licences, API usage and support for the expected usage and responsibilities. Separate maintenance from new features. For illustration, 100,000 SEK to build plus 3,000 SEK per month in agreed operations and maintenance totals 208,000 SEK over three years, before new features. The monthly amount is an example, not a general price.

The maintenance cost is affected by how well-structured the codebase is from the start and how well documented dependencies and integrations are. Projects that started with a clear architecture and automated testing cost noticeably less to maintain in years three and four.

Should you build now or wait?

Start development right away when the problem is clear and you can scope a first version with measurable value; wait and start with a pre-study when the scope is unclear or the technical uncertainty is high. Either way, the question is about scoping the right first step: extend, modernize, replace parts — or test at a small scale before investing fully.

It is usually right to start development directly when:

  • the problem is clear and recurring
  • you can scope a first version with measurable value
  • you have a responsible owner for prioritization and decisions

Wait or start with a pre-study when:

  • the scope is unclear and grows in every meeting
  • you lack critical information about integrations, data or security requirements
  • there is high technical uncertainty in the proposed solution

A small investment in clarity early on is often what keeps the total cost down later.

If you already have an existing product, a good rule of thumb is to start with the parts that give the greatest effect per invested krona, for example bottlenecks in business-critical flows, integration problems or areas with a high support load.

Frequently asked questions about software development costs

How much does it cost to develop an app?

Price depends on the agreed scope. We review workflows, roles, integrations, data and operational responsibility before estimating the budget. You receive an early budget range with assumptions, followed by a quote with a clear scope before development starts. If the budget is insufficient, we discuss a smaller first delivery and what would be deferred. Existing tools or a smaller adaptation may also meet the need.

What factors affect the price of software development?

The main factors that affect software development cost are the scope of the project, technical complexity, the team’s skills and location, choice of technologies, design and UX requirements, and integration needs. Time constraints and quality level also play a major role in the final price.

What is the cost of developing an MVP?

A scoped MVP (Minimum Viable Product) has an illustrative Fiive planning budget of 100,000–300,000 SEK excluding VAT, covering one core workflow for a clear audience. An expanded version with more workflows and integrations costs 250,000–600,000 SEK. A complex product costs 600,000–2,000,000 SEK or more. These ranges are budget guidance, not a fixed-price quote from Fiive. Operations and further development are separate.

How can I reduce software development costs?

To reduce costs, you can start with an MVP, use agile development methods, choose the right tech stack, implement automated testing and prioritize core features. Cross-platform development can also reduce costs compared to separate native apps. The cost of building an app can be reduced significantly through smart planning and technology choices.

How much does it cost to maintain an app or software?

Budget hosting, licences, API usage, support and changes separately. Cost depends on usage, availability requirements and the responsibilities your team retains. Fiive scopes an agreement for the intended use. A lower build cost does not automatically reduce maintenance needs.

How much does a custom CRM system cost to develop?

A custom CRM system typically costs between 300,000–1,500,000 SEK depending on functionality and complexity. Simple CRM solutions with basic features start at around 300,000 SEK, while advanced systems with AI features, advanced reporting and integrations can cost over a million kronor.

Ready to turn your idea into reality? Contact us for a quote at Fiive and get a tailored solution that fits your needs.

Related articles

From AI PoC to Production: What It Takes to Succeed

Most AI pilots stall before production. What it takes to move an AI PoC into a stable, secure, business-ready system, from MLOps to change management

Read more

Tell us what you want to build.

Tell us briefly what you want to solve: product, automation, integration or something else. We reply within one business day with an assessment and a suggested first step. If we're not a fit, we'll say so.

Offices


  • Masthamnsgatan 3
    413 27 Gothenburg