How much does it cost to hire a team of developers?

Posted by
Nate McGuire in Development category

Once you have an idea for a software project, you’ll want to know how much it’s going to cost you to hire software developers and software engineers. There are several factors to weigh and reasons why you may need a team of developers instead of just one freelance developer. 

Here we’ll dive deeper into the question: how much does it cost to hire a team of dedicated developers and ensure you are prepared to do so and can properly budget for this expense, if you don’t have an in house development team for large scale projects.

Reasons to Hire Software Developers & A Outsourcing Team

One of the biggest reasons to hire software developers for developing software is that it will save you money overall when compared to hiring developers in house. The fully loaded cost of a developer is typically 30-40% higher than the pure salary cost, when considering benefits and costs for recruiting and hiring a full time person.  When you work with an existing engineering team, they have the expertise and staff already to start your project right away. This is why you should consider outsourcing this task instead of having to hire in house web developers or full time software developer, and cover all related costs of having your own team or staff.

The bigger reason, thought, is that it’ll save you time and frustration since software developers and a software engineer bring expertise for hiring engineers, which you may not have.  If you aren’t an expert in software engineering it can be difficult to know if the person you are hiring is good or not, especially if you are at a business without any other software engineers.

Why is the Cost of Hiring A Software Developer from an Outsourcing Agency Worth it?

The reality is that hiring a software developer from an outsourcing agency is worth it. Great teams will bring years of experience and will ensure a transparent development process no matter their location or time zone.

These agencies also offer quality control services as part of your package and can help minimize downtime. You should plan on paying for the team’s total functioning hours including software development cost

Hiring A Software Development Company vs. Freelance Software Developer Costs

Hiring a freelance software developer might be the way to go for smaller projects or web apps. Keep in mind freelance developers may have less experience and not have access to all the tools and knowledge of a full dev team. Depending on where you hire them from, it can cost you anywhere from $15-65 per hour.

Hiring a software development company will be a more significant investment but you’re going to be working with individuals from a larger global talent pool and you’ll have a dedicated team of developers working for you. Hiring developers will save you time and is a cost-effective approach overall.

How Much Does it Cost to Hire A Team of Software Developers?

As far as hiring a software development company and a dedicated team for your project needs, you can expect to pay anywhere from $10,000-20,000/month per engineer or designer (in the mid to senior level range of expertise). 

Of course, experienced developers and senior developers will usually cost you more.

There may also be other costs such as on site knowledge transfer requirements involved, and the investment cost will also depend on the type of software developer and technical team you require. 

Tips for Hiring Software Developers

Start by considering your needs and project scope and size when thinking about hiring an entire team of software developers. Then you can decide if you want to work in-house or choose to outsource the work, depending on your project scope and budget. 

You should consider all factors and remember that these are estimates only. Your final software development costs will depend on who you hire and what work the technical talent and dedicated dev team performs. 


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