App Business Costs for Startups and Entrepreneurs

June 8, 2016 | Rob LaPointe

There’s a lot of junk floating around out there on the interwebs. It can often difficult to tell what’s honest word and what’s a load of horse manure. So we decided to tackle one of the issues closest to the heart of our audiences: what does it cost to develop an app?

A quick interlude – this post is targeted at SMBs, entrepreneurs, and Startups looking to build an iOS or Android mobile app. If you have a website already and need to bring it into the 21st century, please check out our post on the costs of what it takes to go mobile.

There are two ways to answer these questions: the easy way and the hard way. The easy way is to tell you that our pricing is pretty low – starting at $2,000 dollars an app. Sure, you can find lower prices, but not for the quality we offer.

See, our CEO developed our company with a unique structure in mind. He identified two issues in app development:

1. Off-shore development is inexpensive but frequently associated with communication roadblocks. This includes everything from cultural misunderstandings to time differences, to straight-up language barriers; and

2. On-shore development takes care of many issues over communication but tends to be expensive. This especially true for large projects requiring more than one developer. The other major problem with onshore development is that the quality isn’t always up to par.

So, seeing the problems associated with app development, our CEO did what every good entrepreneur does: he created a solution.

What was it? SDI. Located in the heart of Silicon Valley, SDI mixes off-shore and on-shore development: our developers are located in India, but are managed by local teams all over the globe. This means we can provide excellent, high-quality coding at fair, manageable prices.

But a starting app price is just that – a starting price. More than that, it doesn’t represent the major cost of business app development beyond money: time.

So let’s discuss in further detail both of these two things: Time and Money. But we’re here to make an argument: an app is one of the most effective tools for business growth out there.

App Cost Calculator

Just like with most of the business, the more money you invest in a project, the more likely it is to be a successful venture. Of course, pouring money into a project is an automatic guarantee of success. So the first financial cost you will face is determining the best developer for your project.

One of the best ways to vet a developer is to have them build a prototype app: a light, bare essentials app to make sure that the company has the necessary skills to see your project through. There are a few things you should look for in a prototype:

The design is what will be the most visible aspect of a prototype. Remember, good design means designed for your target audience – not you! You should definitely pick the brains of the design team – they are experts after all. But also keep in mind, this your area of expertise too. After all, it’s your business!

Error-free coding – Look, we’re all human and mistakes happen. That’s why we offer a six-month guarantee on every app, website, or software we develop (twice the industry standard by the way). It’s not that we don’t have faith in our work – quite the opposite actually. We know that while errors can occur, our team is so good that it happens rarely.

But that being said, this is a prototype. It’s what we’re putting out there to show off how good we are. It should be absolutely error-free – and our prototypes are.

Efficiency is important in all aspects of business. This is your chance to take a look at how your potential dev partner works. Are they meeting the expectations you established? Are they keeping to your schedule, more or less? Make sure you think about these things before getting in bed with a new partner.

There’s always a desire to get what you can for free, but this is really something you should consider as part of your investment. Prototype development obviously requires financial and resource investment on the part of the developers. A dev company is willing to do this for free means they’re desperate for work. And desperation is a big red flag!

There’s another key aspect of a prototype often overlooked: it can be used to drive investment. External investment is one of the best ways to grow your company in a safe, sustainable manner. Having an excellent pitch is one way to help attract interest; especially if you do it right.

But a prototype can really blow away investors. IT demonstrates several things investors look for:

♦ Dedication;

♦ Personal Investment;

♦ Proof-of-Concept; and

♦ Development skills;

Obviously, we are biased: as an app development company, we want your business. But we do stand by the nearly 4,000 apps and websites we’ve built. We have been in the business of growing startups, entrepreneurial ventures and SMBs through tech solutions for nearly 20 years.

We have worked with 10,000 clients from all over the world. From big to small; from Pepsi to local local and organic food delivery – we’ve done it all. Are you ready to get started? Call us at 408.621.8481 or email us to launch your project. Either way, you get a free consultation and quote! Call soon and get 20% off your prototype!

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