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How Much Does It Cost to Outsourcing Software Development Projects?

Outsourcing software development to 3rd party service providers is a common practice among many businesses across the globe.

It mainly entails delegating your software development projects to external developers for a specific price that’s mutually agreeable to both parties.

In fact, the practice is in many ways similar to students hiring assignment writers.

Struggling students often take Do My Coursework/assignment tutoring assistance to finish their assignment/homework tasks flawlessly and within the deadline.

And similar to enlisting help from an online do my homework help company, outsourcing your projects to a dedicated software development company (or a competent freelance developer) offers many appreciative benefits.

Its Advantages Include –

  • Flexibility
  • Easy access to a huge talent pool of software developers
  • Cost-effectiveness
  • Time convenient
  • Apt managerial control
  • Assurance of high-quality work adhering to its specific project requirements

And, etc.

(Moving On)

For companies who outsource their software development projects to a 3rd party developer or full-bore service provider – the COST of outsourcing is always one of the top factors that determine their decision-making.

However, many scam services look to lure customers in with their unrealistic price quotes, half-truths and false promises. With them polluting the internet with their fraudulent practices, often it can prove difficult to determine legit, reliable companies presenting industry standard cost estimates.

Such conundrums often leave project holders confused (even vexed).

Fortunately, this post will shed light on how much it costs to outsource software development projects.

But before presenting you with a basic idea of the costs of outsourcing software development projects, you must know that the overall cost depends on several factors.

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Here Are Some Factors That Influence the Cost of Outsourcing Software Development Projects.

The Software Project Size – The overall cost estimate will vary depending on whether you want to develop a small software, a mid-size or a large software project.

While external development companies/freelancers will present you with their standard price quotes, the exact amount will vary per your project needs. It is more so if the project takes a long time or requires special add-on features.

The Software Type – Next factor is the type of software you intend to develop by outsourcing the project requirement.

Again, the overall price estimate will vary, whether the condition is creating fresh/new software from the drawing board or adding upgrades and modifications to the existing software version.

The Project Deadline – Let’s not forget the project deadline. All companies have projects that are on a clock.

Hence, another reason companies choose to outsource their software development projects is to get it done flawlessly and within the set deadline.

If the software development project is extensive and yet, you want it done relatively quickly to meet the set deadline, the cost will be more than the offered standard price quote.

A few more factors often influence the overall project outsourcing costs. But these 3 are the main ones, and every business owner must consider them before outsourcing projects to 3rd party service providers.

What’s The (Acceptable) Cost of Outsourcing Your Software Development Projects?

The Cost Analysis for Outsourcing Software Development Projects in Different Countries (in US $)

  • INDIA:The overall cost (per hour) is $15 – $60
  • CHINA:The overall cost (per hour) is $10 – $250
  • SOUTH EAST ASIA:The overall cost (per hour) is $15 – $80
  • MIDDLE EAST:The overall cost (per hour) is $ 10 – $70
  • NORTH AMERICA:The overall cost (per hour) is $80 – $300
  • LATIN AMERICA:The overall cost (per hour) is $20 – $60
  • EASTERN PART OF EUROPE:The overall cost (per hour) is $25 – $150
  • UNITED STATES OF AMERICA:The overall cost (per hour) is $40 – $250
  • CANADA:The overall cost (per hour) is $35 – $200
  • MEXICO:The overall cost (per hour) is $30 – $230
  • OTHER PARTS OF ASIA:The overall cost (per hour) is $15 – $150


Again, these price brackets are the standard estimates that these countries charge for accepted software development projects outsourced to them.

Depending on the project requirements, the deadline to finish the project, special features and add-ons, mobile responsiveness and size and type of project, the actual price incurred will vary from time to time.

Where To Find the Cheapest (Final) Price Quote for Outsourcing Software Development Projects?

First and foremost, there is no such thing as the ‘Cheapest price for outsourcing software development!’

If, by chance, you do stumble upon a 3rd party company or freelance expert claiming to do your project at the cheapest price in the market – THINK REALISTICALLY!

Scam companies often make unrealistic promises to lure customers into taking their below-par software development services.

The cheaper the price quote, the more the chances of the work quality not being up to the expected standards. If anything, you are more likely to pay twice for the sub-par work quality delivered.

Software development is a complex task. If anything, it can also be considered an art that requires precision through apt demonstration of an individual’s or team’s development skills and work experience.

So, it is not rational to think such services can be done for low costs. However, as the above cost analysis of various countries indicates- you and the service provider can come to a mutually acceptable price estimate.

But before you enlist help from a company or expert accepting outsourced software development projects, it’s best to do research beforehand to avoid being played the fool!

How To Avoid Being DUPED By SCAMMERS & Pick Legit Service Providers/Freelancers to Outsource Software Development Projects?

It’s simple. You follow the tips mentioned below!

  • Check their user feedback and online user ratings.
  • Enquire about their industry experience in handling various software development projects with varied deadlines.
  • Ask for project examples to see the overall work quality.
  • Ask for price quotes for your software development project and compare it with other service providers to determine if it’s realistic per industry standards.
  • Ask about the ongoing software development projects they’ve accepted.
  • Check their track record in delivering projects within set deadlines.
  • Seek references of their recently served customers, contact them and ask about their service experience.
  • Schedule a face-to-face meeting with the service provider, ask questions about your project and pay attention to their responses.
  • Also, enquire about their service guarantee and scope for refunds if the work quality doesn’t meet your requirements or is delivered after the deadline.

Lastly, Ways to Outsource Software Development Projects Without Spending Too Much

After knowing how to avoid getting scammed and instead find a service provider worth your time, effort and money- let’s move to the final segment!

Being a business runner yourself – you must aim to keep your project’s costs manageable.

Here’s How You Do It!

  • Define your project goals and how they will benefit the users.
  • Create a cost estimate and deadline expectations.
  • Begin looking for service providers to outsource your software development project by region or country.
  • Shortlist 10-12 service providers, vet them thoroughly and conduct extensive rounds of interviews to find the right pick.
  • Once you find a reliable service provider to outsource your software development project, prepare a full-proof contract defining all your core terms and conditions.
  • Pay attention to the modes of communication presented so you can know what’s happening at every stage of software development.
  • Lastly, negotiate the costs with the service provider and come to a solid estimate that both parties agree on.

To Surmise:

Hopefully, this detailed knowledge base will help you determine how much cost you must invest for outsourcing software development projects.

So, follow the recommended tips above whenever necessary to avoid being lulled by scammers and consequently lose your business revenue.

Never take decisions in haste. Instead, take time to sort your options to ensure the project result is nothing short of immaculate.

Author’s Bio 

Bartholomew Thorne is a do my assignment  writer and mentor for for over a decade. He specialises in programming languages and computer science and even offers private tutelage to students struggling with their course work projects. Besides this, Bartholomew also is an avid foodie and fancies Middle-Eastern dishes and Asian desserts in particular.

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