How much does it cost to hire a developer agency in the Central-Eastern European region?

Mobile app, web and software development prices in 2019

The rising software development costs int the Western EU and the DACH region are making more and more enterprises to look for an outsourcing capability. Just like the German automotive industry giants such as Mercedes and Audi  discovered the great price / value proportion in Hungary, more and more enterprises are moving their software development department headquarters, or hiring software developer agencies located in Budapest. In our article we are trying provide a proper insight on the software development prices based on various technologies and agency sizes. If you are looking for a skilled team to help you develop your mobile application, web app or software system, feel free to contact us.

A short overview on the net hourly rates

• Hiring a freelancer - 20$ - 30$
• Hiring  a medium sized (15+ employees) agency 30$ - 80$
• Hiring a large agency (100+ employees) agency 80$ - 150$

Project price examples

As we've mentioned in our previous article, there are two more major factors that are causing differentiation in the prices, and those are location and the complexity of your project. In our case, location is not playing an important role, as the development prices are about the same in the whole country. The complexity of the project determines, that how much time is required to build your software, that multiplied by the hourly rate provides you the final project cost. Based on our experience, we can divide the projects in three main category.

• sipmple proejcts, MVP - 10 000$ - 15 000$

When we are building a simple mobile application or a minimum viable product, where we are keeping functionalities as simple as possible, the softwares are usually taking 1.5 to 2 months to develop, that means around 300 developer hours, that by calculating with a 50$ hourly rate would mean a 15 000$ development fee.

• medium complexity projects, 30 000$ - 75 000$

Most of the projects are falling in this range. These softwares usually have a registration process, some kind of data listing, video playback, GPS, a simple backend and a web administration site to manage the data. They are taking around 6 months to build, with 1 000 developer hours, that results an 50 000$ estimated cost.

• complex or corporate transformation project - 75 000$ and above

If a startup is building a complex digital product with a mobile application, a website, and an AI is also running in the background to support decisions it would probably take more than a full stack developer to build. Calculating with 2 developers and 6 months the cost of the project can reach 100 000$. Also, when a traditional company is moving it's services to the digital world, a whole skillset of developers are required to work together, that can easily cost even more.

Conclusion

Now that you've seen some examples we hope that you can have a rough estimation on how much your mobile app or software project cost. The best way to get an exact estimation is still asking a professional team for a proposal. 

If you are looking for a more in-depth guide on pricing, you can take a look at our more in depth article in the topic.

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Tamas Kralik // CEO at Mindtech Apps // Info-Bionics Engineer