How Much Does Custom Database Software Cost?
This is usually the first question people want to ask and the last question they actually ask. So let’s just get it out in the open.
For a custom database system built specifically for your small business, you’re typically looking at $5,000 to $30,000+ for the initial build, depending on complexity. Ongoing maintenance usually runs $150-$500/month. Future development is typically billed hourly.
Those are broad ranges because every business and every developer is different. Let me break down what drives those numbers and whether it’s actually worth it.
What You’re Really Paying For
When you hire someone to build custom software, you’re not paying for code. You’re paying for:
Solution design - Understanding your specific workflow and designing a system that matches how you actually work, not how some software company thinks you should work.
Custom development - Writing code tailored exactly to your needs. No unnecessary features you’ll never use. No missing features you desperately need.
Data migration - Moving your existing data from Excel (or wherever it lives now) into the new system without losing anything.
Testing and refinement - Making sure it actually works the way you need it to before you’re relying on it.
Training and documentation - Getting your team up to speed so they can actually use what was built.
Post-launch support - Fixing issues that come up in real-world use, answering questions, making small adjustments.
What Influences the Cost
Every project is different, but here’s what typically moves the price up or down:
Complexity of Your Data ($)
A simple client database with contact information and notes? Lower end of the range.
A system tracking clients, projects, tasks, time entries, invoices, with role-based permissions and automated workflows? Higher end.
Number of User Types ($$)
If everyone uses the system the same way, that’s simpler. If you need different interfaces for admins, staff, and clients - each seeing different data with different permissions - that adds complexity.
Integrations ($$$)
Connecting to other systems (your accounting software, email platform, etc.) takes time. Each integration needs to be built, tested, and maintained.
Reporting Requirements ($$)
Basic reports are straightforward. Custom dashboards with real-time data visualization and multiple filtering options take more work.
Migration Complexity ($ to $$)
Clean data in organized spreadsheets? Pretty quick to migrate. Messy data spread across multiple files with inconsistent formatting? That takes time to clean up and verify.
What I Include in My Projects
To give you a concrete example, here’s how I structure my pricing:
Initial build ($8,000-$20,000):
- Detailed discovery and requirements
- System design and architecture
- Full development and testing
- Data migration from your existing system
- Training for your team
- Written documentation
- 60 days of free support after launch
Ongoing maintenance ($200/month):
- Hosting and server management
- Security updates and patches
- Bug fixes
- Technical support
- Regular backups
- Performance monitoring
Future development ($150/hour or $1,250 for 10-hour pack):
- New features
- Workflow changes
- Additional integrations
- Significant modifications
The maintenance is month-to-month - no long-term contract required. If you want to cancel, just give me a heads up.
View my full pricing details →
How This Compares to Alternatives
Let’s be realistic about your other options:
Off-the-Shelf Software ($50-300/month per user)
Tools like Airtable, Monday.com, or Salesforce might seem cheaper. And sometimes they are the right choice. However:
- You’re adapting your workflow to their system, not the other way around
- Monthly costs scale with users (10 users = $500-$3,000/month)
- You’re locked into their feature set and roadmap
Custom software costs more upfront, but your monthly cost is fixed - just hosting and maintenance, not per-user licensing.
Hiring a Developer Full-Time ($70K-100K/year)
If you have ongoing development needs, this might make sense. For most small businesses, you need 6-8 weeks of intense work, then minimal maintenance. Hiring full-time for that doesn’t pencil out.
Continuing With Excel (Free…ish)
Excel itself is cheap, but what’s the actual cost of:
- Hours spent manually updating spreadsheets each week?
- Mistakes that slip through because data isn’t validated?
- Slowdowns as the file gets bigger and slower?
- Inability to scale as you grow?
If your team spends even 10-20 hours per week on spreadsheet overhead, that’s $26,000-$52,000 per year at $40/hour.
When It’s Worth It
Custom software makes sense when:
The ROI is clear - You can point to specific time savings or error reductions that justify the cost within 12-18 months.
You’re committed to the business - This isn’t a side project you might abandon next year. You’re building something that will be around for a while.
Your workflow is specific - Off-the-shelf tools would require significant compromises to how you work.
You’re ready to change - Moving to new software requires some adjustment. If your team isn’t ready for that, the best software in the world won’t help.
When It’s Not Worth It
Don’t build custom software if:
Excel is working fine - If your current system isn’t causing problems, don’t fix what isn’t broken.
Your needs are generic - If your workflow is straightforward and matches what existing tools do, use those tools.
You can’t articulate the problem - If you just have a vague sense that “things could be better,” that’s not enough to design a solution around.
The business is unstable - If you’re not sure you’ll be around in two years, investing in custom software is risky.
Budgeting for Custom Software
Year 1:
- Initial build: $8,000-$20,000 (one-time)
- Maintenance: $2,400 (12 months × $200)
- Contingency for tweaks: $1,000-$2,000
Total first year: $11,400-$24,400
Year 2 and beyond:
- Maintenance: $2,400/year
- Occasional new features: $1,000-$3,000/year (optional)
Total ongoing: $2,400-$5,400/year
Compare that to the cost of continuing with your current system - both in direct time costs and opportunity cost of what you could do if the system wasn’t holding you back.
What Happens Next
If you’re seriously considering custom software, here’s the process:
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Free consultation (30 minutes) - We talk about your current workflow and what you need.
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Detailed proposal - I send you a fixed-price quote with scope, timeline, and deliverables clearly defined.
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Decision time - You take whatever time you need to think it over.
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Project kickoff - If you want to move forward, we start with detailed requirements gathering.
Most people have a pretty good sense after the consultation whether this is the right move. If it’s not, I’ll tell you. If off-the-shelf software would work better, I’ll point you in that direction.
Want to Know What It Would Cost for Your Specific Situation?
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