Why Custom Software Beats SaaS for Growing Teams

When your team is small, SaaS tools make perfect sense. They're quick to set up, require no maintenance, and come with a predictable monthly cost. But as your team grows and your workflows become more complex, the calculus starts to change.

The Hidden Costs of SaaS

Most growing teams don't realize how much they're actually spending on software until they add it all up:

1. **Per-seat pricing adds up fast.** A tool that costs $20/user/month becomes $12,000/year for a 50-person team—and that's just one tool.

2. **You pay for features you don't use.** Enterprise SaaS products are built to serve thousands of different companies. Most of those features are irrelevant to your specific workflow.

3. **Integration costs are hidden.** Connecting multiple SaaS tools often requires additional middleware (like Zapier) with its own costs.

4. **Switching costs lock you in.** The longer you use a platform, the harder it becomes to leave, even when prices increase.

When Custom Makes Sense

Custom software isn't always the answer. But it becomes compelling when:

• **Your workflow is unique.** If you've been bending a SaaS tool to fit your process instead of the other way around, that's a sign.

• **You're paying for multiple tools that do overlapping things.** A single custom solution can often replace 3-4 separate subscriptions.

• **You need deep integrations.** When your tools need to share data in ways that generic APIs don't support.

• **You're spending hours on manual workarounds.** Spreadsheet exports, copy-pasting, and manual data entry are symptoms of software that doesn't fit.

The Math Works Out

Consider this: if you're paying $3,000/month across various SaaS subscriptions, that's $36,000/year. In two years, that's $72,000—more than enough to build custom software that you'll own forever, with no recurring costs.

Of course, custom software isn't free. There's an upfront investment, and you'll need to budget for occasional updates. But you're building an asset, not renting access to someone else's.

Conclusion

SaaS will always have its place. But as your business matures, it's worth questioning whether renting generic software is really the best use of your resources—or whether investing in software built specifically for your needs makes more sense.