How to Build a Custom Web Application (And Why It Costs What It Costs)
Complete guide to the custom software development process. Stages, real costs, timelines, and how to choose the right team. No BS, just data.
"Why does an app cost $10,000 if it's just a little screen?"
If you've ever thought this, this article is for you.
I'm going to show you exactly what's behind custom web application development: the stages, technical decisions, real costs, and why some agencies charge $2,000 and others $50,000 for "the same thing".
Spoiler: it's not the same thing.
What is a Custom Web Application?
A custom web application is software developed specifically to solve YOUR company's problems.
It's not:- A modified WordPress template
- A plugin that "sort of" does what you need
- A generic solution adapted
- Code written specifically for your case
- Architecture designed for YOUR needs
- Scalability according to YOUR growth
The 6 Stages of Development (Real Version)
Stage 1: Discovery (1-2 weeks)
What happens: We understand your business, problems, and objectives.- Stakeholder meetings
- Current process mapping
- Scope definition
- User identification
Stage 2: UX/UI Design (2-4 weeks)
What happens: We design how it will look and function.- Wireframes (skeletons)
- Interactive prototypes
- Final visual design
- User testing
Stage 3: Technical Architecture (1-2 weeks)
What happens: We define how it will be built.- Technology selection
- Database design
- API definition
- Infrastructure plan
Stage 4: Development (6-16 weeks)
What happens: Code is written.- Frontend (what the user sees)
- Backend (business logic)
- Database
- Integrations (payments, emails, external APIs)
Stage 5: Testing and QA (2-4 weeks)
What happens: We test that everything works.- Automated tests
- Manual testing
- Bug fixes
- Performance testing
Stage 6: Deploy and Launch (1 week)
What happens: We put the app live.- Server configuration
- Data migration (if applicable)
- Initial monitoring
- User training
How Much Does It Really Cost?
Factors That Affect Price:
| Factor | Cost Impact |
| Functionality complexity | High |
| Number of integrations | Medium-High |
| Custom vs basic design | Medium |
| Number of user roles | Medium |
| Security requirements | Medium |
| Need to scale | Medium |
Price Ranges (Argentina/LATAM):
| Application Type | Price Range |
| Simple MVP (3-4 features) | $3,000 - $8,000 USD |
| Medium enterprise app | $8,000 - $25,000 USD |
| Complex multi-module system | $25,000 - $80,000 USD |
| Complete SaaS platform | $50,000 - $200,000+ USD |
Why the Price Difference?
App at $3,000:- Small team or freelancer
- Basic stack
- Minimal documentation
- Limited support
- Complete team (designer, frontend, backend, QA)
- Scalable architecture
- Complete documentation
- Support and maintenance included
Architecture: The Decisions That Matter
Monolith vs Microservices
Monolith: All code together- ✅ Faster to develop
- ✅ Easier to maintain at first
- ❌ Hard to scale
- ✅ Scales independently
- ✅ Teams can work in parallel
- ❌ More complex to implement
- ❌ Higher initial cost
Database
SQL (PostgreSQL, MySQL):- Structured data
- Complex relationships
- ACID transactions
- Flexible data
- High read speed
- Horizontal scalability
Frontend
React/Next.js: Industry standard, great ecosystem Vue.js: Gentler learning curve Angular: Large enterprise applicationsRed Flags: When to Distrust a Provider
🚩 "We'll do it in 2 weeks for $1,000" Impossible to do something quality in that time/price.
🚩 "We use our proprietary platform" You'll be tied to them forever.
🚩 "Documentation isn't necessary" When they leave, nobody will understand the code.
🚩 "Final price, we'll see later" Always ends up costing 3x more.
🚩 "We don't need to meet, send me a brief" They don't care about understanding your business.
What to Ask Before Hiring
- What technologies do you use and why?
- Can I see similar projects you've done?
- Who will be my point of contact?
- What happens if I need changes later?
- Is the code mine at the end?
- How do you handle post-launch bugs?
- Do you have a QA process?
Your Application: Template or Custom?
Use a Template/SaaS If:
- Your need is generic (blog, simple e-commerce)
- You don't have budget for development
- You need something NOW
- You won't scale significantly
Develop Custom If:
- Your business process is unique
- You need specific integrations
- You'll scale and need control
- Data security is critical
- A template doesn't cover even 70% of what you need
Your Next Step
Developing a custom application is a significant investment. But when done right, it transforms businesses.
The key is:
- Understanding well what you need
- Choosing the right team
- Planning to scale