The Real Numbers
Building a SaaS application from scratch typically costs between $15,000 and $150,000 for an initial version, depending on complexity. Here is what that range actually looks like:
- Simple SaaS MVP (one core feature, basic auth): $15,000 to $35,000
- Mid-complexity SaaS (multiple features, integrations, billing): $35,000 to $80,000
- Complex SaaS (marketplace, multi-tenant, AI features): $80,000 to $250,000+
If a firm quotes you $5,000 to build a SaaS app, they are either building on a no-code platform (which has serious scaling limitations) or they do not understand what you are describing.
What Every SaaS App Needs
Even the simplest SaaS requires more infrastructure than a marketing website. Every SaaS needs:
- Authentication system - user signup, login, password reset, session management
- Database - storing your users, their data, and their state
- Subscription billing - Stripe integration with plans, trials, upgrades, cancellations, and invoice handling
- Multi-tenant architecture - each user sees only their own data, securely isolated
- Admin dashboard - so you can manage users, view metrics, and handle support issues
- Email system - welcome emails, password resets, billing notifications, product updates
- API layer - the backend logic that powers your core features
That infrastructure alone - before you build a single feature your users actually care about - represents 4 to 8 weeks of development for a competent team.
The MVP Question
Most SaaS founders should build an MVP first: the smallest version of the product that a paying customer would actually use. An MVP is not a rough draft - it is a focused product with one core workflow done well.
A good MVP:
- Solves one problem completely
- Has real auth, real billing, real data persistence
- Can be demoed to customers and charged for
- Is built on an architecture that can be extended without rewriting
A bad MVP is a prototype that looks like a product but cannot handle real users, real data, or real payments. Building this first and rewriting later is almost always more expensive than building it right from the start.
What Drives SaaS Costs Up
- Real-time features. Live collaboration, dashboards that update instantly, chat - these require WebSockets or polling logic that adds significant complexity.
- Third-party integrations. Every API integration (Zapier, Salesforce, QuickBooks, Slack) adds development time and ongoing maintenance.
- AI features. GPT integrations, document processing, semantic search - real and powerful but adds cost.
- Mobile apps. If you need iOS and Android in addition to the web app, budget an additional $15,000 to $40,000.
- Complex permissions. Role-based access, team management, enterprise SSO - each adds weeks of work.
Monthly Costs After Launch
SaaS is not just a build cost - it is an ongoing infrastructure cost:
- Hosting (Railway, Vercel, AWS): $20 to $500/month depending on scale
- Database: $0 to $200/month
- Email provider (Resend, SendGrid): $0 to $50/month
- Stripe fees: 2.9% + $0.30 per transaction
- Ongoing development: $2,000 to $8,000/month if you want continuous improvement
How to Evaluate a SaaS Development Quote
Ask these questions before signing anything:
- What tech stack will you use and why?
- Who owns the code and the infrastructure after delivery?
- Is this a fixed price or time-and-materials?
- What is included in the quote - auth, billing, admin dashboard, deployment?
- Can I see examples of other SaaS products you have shipped?
47 Industries Builds SaaS Products
We build SaaS applications on Next.js, TypeScript, and MySQL - production-grade architecture that can scale. Fixed-price proposals, in-house development, no outsourcing. If you have an idea for a SaaS product, we can scope it, price it, and ship it.
