Why People Still Struggle to Estimate Software Costs in 2025 — And How That Opens the Door for Misuse

We live in a time where AI plans your vacation, your car parks itself, and your fridge reorders milk before you realize you’re out. But ask someone, even a founder, “How much does it cost to build an app from scratch?” You’ll get answers ranging from $2,000 to $200,000 — and most are just wild guesses. Let’s dig into why this is still happening — and how some companies take full advantage of it.

Published

Apr 1, 2025

Topic

Tech Advice

Why People Still Struggle to Estimate Software Costs in 2025 — And How That Opens the Door for Misuse
Why People Still Struggle to Estimate Software Costs in 2025 — And How That Opens the Door for Misuse

🧱 The Problem: Software Isn’t Tangible

If you’re building a house, you see walls go up, floors get tiled, and you get a clear idea of progress.

Software? It’s just screens. Clean ones. Quick ones. But behind every button is a messy world of logic, bugs, and iteration.

That disconnect? It’s why most people underestimate it.

🤔 Why Estimates Are Usually Way Off

Here’s what I’ve noticed after seeing dozens of projects from both sides — client and developer:

1. “It looks simple” = “It must be cheap.”

A clean UI hides the complexity behind it. Just because it looks easy doesn’t mean it was.

2. Templates skew perception.

Buy a $49 theme, slap on a logo, and suddenly everyone thinks that’s what custom dev should cost.

3. Tech lingo creates confusion.

Microservices, CI/CD, DevOps, serverless — sounds cool, but most clients don’t know what’s relevant or not.

4. AI + no-code made building look easy.

These tools are powerful — but building real, scalable, secure products still takes time and talent.

😬 How Some Companies Take Advantage

And here’s where things start to get a little shady:

They call it “custom” — but it’s just a template.

$99 UI kit + your logo = “bespoke solution”

Small changes, big invoices.

Need to move a button? That’ll be $300. Even if it takes 5 minutes.

Codebase? What codebase?

They keep it hidden so you stay locked in. You can’t leave, because no one else can pick it up easily.

Vendor lock-in by design.

Every update has to go through them. You’re not a client, you’re a hostage.

✅ What You Should Know Before Starting

You don’t need to write code. But you do need to ask smart questions:

• “Will I own the source code?”

• “Is this built from scratch or are you using templates?”

• “Can any developer pick this up if needed?”

• “What tech stack are you using — and why?”

And remember: If it’s too cheap, it’s probably not real.


📊 2025 Software Development Cost Table


Type of Project

Estimated Cost

Timeline

Simple Mobile App (1 platform)

$15,000 – $30,000

2–3 months

Complex App (iOS + Android)

$40,000 – $100,000+

4–6 months

Web App (custom backend + UI)

$30,000 – $80,000+

3–5 months

E-commerce Site (custom)

$25,000 – $60,000

2–4 months

SaaS Product (scalable MVP)

$60,000 – $150,000+

6–9 months

MVP with No-Code Tools

$5,000 – $15,000

1–2 months

These numbers vary depending on features, team location, tools, and whether you’re using full-time developers or a remote team.

💡 Final Thoughts

I’ve seen teams raise $100k and waste it on the wrong developers.

I’ve also seen smart founders spend $20k, get the core right, and grow fast.

It all comes down to understanding the real cost of building software — and being honest about what you’re getting.

Because great software isn’t about shiny UIs or buzzwords.

It’s about clarity, ownership, and making sure you’re building something real.

Not just wrapping a template and calling it “custom.”

🧱 The Problem: Software Isn’t Tangible

If you’re building a house, you see walls go up, floors get tiled, and you get a clear idea of progress.

Software? It’s just screens. Clean ones. Quick ones. But behind every button is a messy world of logic, bugs, and iteration.

That disconnect? It’s why most people underestimate it.

🤔 Why Estimates Are Usually Way Off

Here’s what I’ve noticed after seeing dozens of projects from both sides — client and developer:

1. “It looks simple” = “It must be cheap.”

A clean UI hides the complexity behind it. Just because it looks easy doesn’t mean it was.

2. Templates skew perception.

Buy a $49 theme, slap on a logo, and suddenly everyone thinks that’s what custom dev should cost.

3. Tech lingo creates confusion.

Microservices, CI/CD, DevOps, serverless — sounds cool, but most clients don’t know what’s relevant or not.

4. AI + no-code made building look easy.

These tools are powerful — but building real, scalable, secure products still takes time and talent.

😬 How Some Companies Take Advantage

And here’s where things start to get a little shady:

They call it “custom” — but it’s just a template.

$99 UI kit + your logo = “bespoke solution”

Small changes, big invoices.

Need to move a button? That’ll be $300. Even if it takes 5 minutes.

Codebase? What codebase?

They keep it hidden so you stay locked in. You can’t leave, because no one else can pick it up easily.

Vendor lock-in by design.

Every update has to go through them. You’re not a client, you’re a hostage.

✅ What You Should Know Before Starting

You don’t need to write code. But you do need to ask smart questions:

• “Will I own the source code?”

• “Is this built from scratch or are you using templates?”

• “Can any developer pick this up if needed?”

• “What tech stack are you using — and why?”

And remember: If it’s too cheap, it’s probably not real.


📊 2025 Software Development Cost Table


Type of Project

Estimated Cost

Timeline

Simple Mobile App (1 platform)

$15,000 – $30,000

2–3 months

Complex App (iOS + Android)

$40,000 – $100,000+

4–6 months

Web App (custom backend + UI)

$30,000 – $80,000+

3–5 months

E-commerce Site (custom)

$25,000 – $60,000

2–4 months

SaaS Product (scalable MVP)

$60,000 – $150,000+

6–9 months

MVP with No-Code Tools

$5,000 – $15,000

1–2 months

These numbers vary depending on features, team location, tools, and whether you’re using full-time developers or a remote team.

💡 Final Thoughts

I’ve seen teams raise $100k and waste it on the wrong developers.

I’ve also seen smart founders spend $20k, get the core right, and grow fast.

It all comes down to understanding the real cost of building software — and being honest about what you’re getting.

Because great software isn’t about shiny UIs or buzzwords.

It’s about clarity, ownership, and making sure you’re building something real.

Not just wrapping a template and calling it “custom.”

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Abdulaziz Aldhubaib

Abdulaziz Aldhubaib

Abdulaziz Aldhubaib

Signature

From Kuwait

©2025 Abdulaziz Aldhubaib

From Kuwait

©2025 Abdulaziz Aldhubaib