Compare custom development with recurring licence costs for standard software – and see after how many months custom development pays off.
Make-or-buy calculator
The Make or Buy calculator provides an immediate, non-binding economic estimate without requiring an email address or registration. It separates investment and recurring effects and uses documented assumptions derived from more than 250 software projects.
Use the calculator right below for an instant first estimate – no sign-up and no fixed-price commitment. We align scope, risks, and assumptions in a conversation before a binding quote.
The calculation follows six visible stages. All figures remain planning values until scope and assumptions have been reviewed.
1. Capture inputs
The calculator records the visible project, volume, complexity and operating parameters selected on this page.
2. Add fixed components
One-off investment and recurring operating components are added separately.
3. Apply multipliers
Volumes, time values and rates are multiplied where the model converts effort or incidents into monetary effects.
4. Create the range
The calculator applies its documented lower and upper uncertainty factors to the base result; ROI views keep investment and savings visible separately.
5. Round and calibrate
Monetary result fields are rounded to the nearest whole euro. Public project-cost components are calibrated with the centrally maintained display factor.
6. Classify the result
The result is shown as non-binding guidance. A binding quote requires scope, data, integrations, risks and acceptance criteria to be reviewed.
Efficiency or discount factor: A central display factor of 0.7 is applied to public project-cost components to keep all calculators aligned with the currently reviewed pricing basis. It is not a customer-specific discount; customer-entered wages, revenues and existing operating costs are not reduced.
Why this is not a binding quote: The calculator cannot verify complete requirements, third-party dependencies, data quality, legal constraints or acceptance criteria.
Costs for Make or Buy depend on scope, risk, and quality expectations. The calculator provides an initial range.
We quote transparently with dedicated contacts from East Frisia.
Concrete project profiles with assumptions and indicative budgets—useful for internal alignment alongside the calculator.
FAQ
The calculator compares the one-off custom development (plus a maintenance share of around 25% over the lifetime) with the recurring licence costs of standard software – depending on user count and how well the standard fits your processes.
The result is the point from which custom development becomes cheaper.
Rule of thumb from our projects: with 25 users and medium standard fit, break-even often lands at 4–6 years; with 100 users or a poor fit (expensive add-ons, workarounds) considerably earlier.
With few users and a good fit, standard software usually remains the more economical choice.
How much of your processes the standard software covers without customisation.
A good fit means standard processes and affordable base licences (about EUR 25/user/month). A poor fit means expensive editions, add-on modules and manual work around the tool – realistically often EUR 80/user/month and more when all side costs are counted honestly.
De-risk your make-or-buy decision
We evaluate requirements, standard candidates and custom development neutrally – with solid numbers.
Strategic questions: is the process a competitive advantage (favours make) or a commodity (favours buy)?
Add vendor dependency, data ownership, integration capability into your system landscape and how often your processes change – custom software adapts to you, with standard software you adapt to it.
Frequently underestimated. Price increases at contract renewal, paid add-on modules for “actually obvious” functions, effort for workarounds around process gaps, interface fees and the migration effort when the vendor discontinues the product or raises cloud prices.
Yes – and it is often the best one: standard software for commodity processes (accounting, e-mail) combined with custom development for the differentiating core processes.
Open-source bases such as Odoo with targeted customisation also combine low licence costs with precisely fitting processes.
| Model | When it fits | Budget & flexibility | Typical risks |
|---|---|---|---|
| Fixed price (fixed scope) | Clearly defined scope, stable requirements, repeatable delivery. | Predictable total cost; little room for change without a change order. | Scope creep leads to change orders or quality trade-offs. |
| Time & Material | Discovery, legacy, evolving requirements, or close collaboration. | Maximum flexibility; budget transparent via hourly or daily rates. | Without prioritisation, effort can grow—backlog and reviews matter. |
| Retainer / maintenance package | Ongoing operations, updates, small features, and support. | Agreed capacity per month; predictable follow-on cost. | Large changes may still need a separate estimate. |
| Hybrid (milestone + T&M) | MVP or phased releases with clear go-lives, then iterate. | Core delivery fixed price; extensions on a time-and-materials basis. | Define contractually what is in scope vs. extra work. |
Calculators on this page provide indicative ranges; we choose the right model with you based on risk, scope, and planning horizon.
The ranges shown are indicative. For a binding quote we discuss scope, priorities and funding options in a free intro call. Many digitalization projects qualify for grants – try our funding calculator.
Browse all cost calculators, explore services and typical solutions. Questions about Make Or Buy? Contact us.
After using the Make Or Buy calculator, validate assumptions in a short intro call.
Browse all cost calculators in the costs overview.
Custom development or standard software – which pays off?
Interactive estimate based on your inputs.
Non-binding project range from the software cost calculator: EUR 10,332 – 372,623 excl. VAT.
Methodology: The estimates are based on historical project data, complexity drivers and standard implementation assumptions. Results are a non-binding indication only; effort and price must be calculated individually.
If you are still deciding
If you are ready to implement
Calculator overall range
EUR 2,800–70,000 excl. VAT, depending on preparation depth
The overall range is derived from the valid parameters of the relevant cost calculator.
Typical duration
2–12 weeks
Main risk drivers
Non-binding indication
This result is only a non-binding indication based on typical assumptions. Effort and price must be calculated individually for your project.
A transparent four-step process for validating the Make-or-Buy Calculator indication with concrete requirements.
1. Confirm scope and target outcome
We clarify the business outcome, user groups, and boundaries relevant to Make-or-Buy Calculator.
2. Review data, interfaces, and risks
We validate integrations, data quality, security, compliance, and operational dependencies.
3. Check the calculator assumptions
We compare the selected parameters with the real system landscape and document deviations.
4. Prepare the precise quote
You receive a scoped proposal with milestones, exclusions, price model, and next decision point.
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