In 2026, a departmental tool or single-workflow system built by an experienced team costs $80,000 to $200,000 (€70,000 to €175,000, £60,000 to £150,000) and takes 3 to 5 months. A core business platform with several user roles and integrations costs $200,000 to $600,000 (€175,000 to €520,000, £150,000 to £445,000) over 6 to 12 months. An enterprise-wide program or full modernization runs $600,000 to $2,000,000+ (€520,000 to €1,740,000+, £445,000 to £1,480,000+) across 12 to 36 months in phases. The drivers are user roles, integrations, data migration, compliance and the number of systems the new one has to replace, not the size of the company.
Prices are in US dollars. Euro and pound figures in parentheses are approximate, rounded conversions. Quotes are issued in the currency of your contract.
Every enterprise software quote is the answer to a question the buyer did not quite ask. One vendor prices the workflow you described. Another prices the system you will actually need once it touches the ERP, the identity provider and the reporting warehouse. A third prices a demo. This post gives you the cost bands that experienced teams work in, what moves a project from one band to the next, where the money goes, and what it costs to run the system afterwards. It is written for the person who has to put a number in front of a finance director and defend it. The wider decisions, from scoping to vendor selection, are in our buyer's guide to enterprise software development.
What are the cost bands for enterprise software?
| Band | Cost | Duration | What it contains | Typical systems |
|---|---|---|---|---|
| Departmental tool | $80,000 to $200,000 (€70,000 to €175,000, £60,000 to £150,000) | 3 to 5 months | One workflow, one or two user roles, one or two integrations, single sign-on, reporting exports, basic admin | A field inspection app, a claims intake tool, a supplier onboarding portal, a replacement for a spreadsheet process |
| Core business platform | $200,000 to $600,000 (€175,000 to €520,000, £150,000 to £445,000) | 6 to 12 months | Three to six user roles, workflow engine, four to eight integrations, audit trail, role-based permissions, dashboards, data migration from one legacy system | An order management system, a customer portal over an ERP, a case management platform, a scheduling and dispatch system |
| Enterprise program | $600,000 to $2,000,000+ (€520,000 to €1,740,000+, £445,000 to £1,480,000+) | 12 to 36 months, in phases | Multiple applications or a legacy core replaced slice by slice, many integrations, migration from several systems, compliance evidence, change management | A legacy ERP replacement, a multi-country operations platform, a regulated data platform, a product line of connected services |
These figures assume a team that includes discovery, design, testing, deployment and a support period. Quotes well below the bottom of a band usually exclude one of those, and the exclusion arrives later as a change request. How to read a software development quote shows where the gaps hide.
What moves a project between bands?
- User roles. Each role is a set of screens, permissions, notifications and test cases. A platform with a customer, an agent, an approver and an administrator is four products sharing one database. Roles are the single largest driver.
- Integrations. A well-documented API costs $8,000 to $25,000 (€7,000 to €22,000, £6,000 to £18,000) to integrate. A legacy system with no API, a partner with a slow approval process, or an ERP that needs a middleware layer costs far more and sits on the critical path. Integration can be a third of a core platform budget.
- Data migration. Moving records out of a legacy system, cleaning them and proving nothing was lost is 10 to 20 percent of a modernization budget. It is almost never in the first quote. Data migration from legacy systems explains why it costs what it costs.
- Compliance. Healthcare, finance, public sector and anything handling personal data at scale add audit logging, encryption, access reviews, documentation and sometimes external assessment. Expect 15 to 30 percent on top. Building software for regulated industries covers what changes.
- Systems being replaced. A system that replaces one spreadsheet is a tool. A system that replaces three applications, each with its own owner and workarounds, is a program, whatever the feature list says.
- Platforms. Web is the base. A mobile app for field staff adds 40 to 60 percent of the front-end work. Offline mode adds more.
- Performance and scale. Ten thousand transactions a day and ten million a day are different architectures. Reporting over years of history needs its own data layer.
Where does the money go?
| Line | Share of a core platform | Example at $400,000 (€350,000, £295,000) |
|---|---|---|
| Discovery and scoping | 3 to 7 percent | $12,000 to $28,000 (€10,000 to €24,000, £9,000 to £21,000) |
| UX and design | 8 to 12 percent | $32,000 to $48,000 (€28,000 to €42,000, £24,000 to £36,000) |
| Backend and integrations | 30 to 35 percent | $120,000 to $140,000 (€105,000 to €120,000, £90,000 to £105,000) |
| Front-end development | 20 to 25 percent | $80,000 to $100,000 (€70,000 to €85,000, £60,000 to £75,000) |
| Data migration | 8 to 12 percent | $32,000 to $48,000 (€28,000 to €42,000, £24,000 to £36,000) |
| Testing, security and deployment | 10 to 12 percent | $40,000 to $48,000 (€35,000 to €42,000, £30,000 to £36,000) |
| Project management and governance | 8 to 10 percent | $32,000 to $40,000 (€28,000 to €35,000, £24,000 to £30,000) |
A quote with no discovery line, no migration line or testing at zero is a quote for the parts of the system that are easy to demo. Discovery is small and it is the line that keeps the others honest. The discovery phase for enterprise software describes what it produces.
How do rates and location change the number?
The bands above are for a blended team. The hourly rate behind them depends on where the team sits. Onshore teams in the US and UK charge $120 to $220 per hour (€105 to €190 per hour, £90 to £165 per hour). Nearshore teams in Europe, in Greece, Portugal, Poland or Romania, charge $45 to $90 per hour (€40 to €80 per hour, £35 to £65 per hour) with a two or three hour time difference from London and a working-day overlap with New York. Offshore teams in South Asia charge $25 to $50 per hour (€20 to €45 per hour, £20 to £35 per hour) with less overlap and more management cost on your side. The same scope at the three rates can vary by a factor of three, which is why the location decision deserves its own analysis. Nearshore vs offshore vs onshore gives the trade-offs, and the engagement model comparison shows how a dedicated team changes the cost shape from a lump sum to a monthly run rate of $40,000 to $70,000 (€35,000 to €60,000, £30,000 to £50,000) nearshore.
What does it cost to run after go-live?
Three things continue after launch. Infrastructure, meaning cloud hosting, databases, monitoring and backups, runs $1,500 to $10,000 (€1,500 to €8,500, £1,000 to £7,500) per month for a core platform depending on traffic, data volume and redundancy requirements. Support and maintenance, meaning security patches, dependency upgrades, small fixes and the response to incidents, costs 15 to 25 percent of the build cost per year, usually structured as an SLA tier from $2,000 to $5,000 (€1,500 to €4,500, £1,500 to £3,500) per month for business-hours support to $15,000 to $40,000 (€13,000 to €35,000, £11,000 to £30,000) per month for 24/7 with one-hour response. Enterprise software support and SLAs breaks the tiers down. Then there is evolution: the second year of a successful system typically spends 30 to 50 percent of the original build on new capabilities, because the system works and people ask for more. Budget for all three from the start. How to budget a multi-year software program shows how to lay it out.
How does custom compare with buying?
Custom is not always the cheaper answer, and it is rarely the cheaper answer in year one. A SaaS product that fits 80 percent of the process costs a license and some configuration. The question is the other 20 percent and what it costs over five years in workarounds, integration and per-seat fees as you grow. Custom wins when the process is the business, when the integrations are the hard part, or when the seat count makes licensing more expensive than ownership. Build vs buy over five years puts numbers on the comparison.
How do you get an accurate number for your project?
- Write the scope down. Users, roles, the core workflows, the systems it must talk to, the data that must come across, the regulations that apply. Two to four pages. How to write an RFP for custom software gives the structure.
- Pay for discovery. Three to eight weeks, $15,000 to $60,000 (€13,000 to €50,000, £11,000 to £44,000), producing a written scope, an architecture, a migration plan and a priced phase plan. The price after discovery is a commitment. The price before it is an estimate with a wide error bar.
- Ask for the number in phases. A first release that proves the architecture and delivers one workflow, then increments. A single number for a three-year program is fiction in both directions.
- Compare inclusions, not totals. Discovery, design, migration, testing, documentation, training, support period, and whether the code and the cloud accounts are in your name. Who owns the code explains why the last one matters.
- Add contingency. 15 to 25 percent of the program, held by you, not by the vendor. Well-scoped work still sees 10 to 20 percent in change requests, because the business learns things during the build.
The short version
- Departmental tool: $80,000 to $200,000 (€70,000 to €175,000, £60,000 to £150,000), 3 to 5 months.
- Core platform: $200,000 to $600,000 (€175,000 to €520,000, £150,000 to £445,000), 6 to 12 months.
- Enterprise program: $600,000 to $2,000,000+ (€520,000 to €1,740,000+, £445,000 to £1,480,000+), 12 to 36 months in phases.
- Add 15 to 25 percent per year to run and support it.
- Roles, integrations, migration and compliance move the number. Company size does not.
How 7L prices enterprise work
7L International is a custom software development and digital transformation firm with business hubs in New York, London and Athens. We have supported more than one hundred organizations end-to-end, from discovery through design, build, launch and support, and most of our enterprise work is priced from a nearshore team in Athens at rates well below onshore equivalents, with a delivery lead in the client's time zone. We quote in phases after a paid discovery, we put migration and testing on the quote as their own lines, and the code, the repositories and the cloud accounts are in your name from day one. If you have a scope, or even a problem statement, send it to us and we will tell you which band it sits in and why.
Frequently asked questions
Why do enterprise software quotes vary so much for the same project?
Because each vendor is pricing a different reading of the scope. One prices the workflow you described, another includes the integrations, migration and compliance work that the workflow implies, and a third omits discovery and testing to win the bid. Send every vendor the same written scope and compare what each includes line by line, not the totals.
Is it cheaper to build enterprise software in-house?
Rarely for the first release. An in-house team of five costs about the same per year as a nearshore dedicated team, and takes three to six months to hire before anything starts. In-house makes sense once the system exists and needs continuous evolution. Many organizations use an agency for the build and migration, then hire around the running system.
What is the minimum budget for a custom enterprise system?
Around $80,000 (€70,000, £60,000) for a single-workflow tool with one or two integrations, built by a team that includes design and testing. Below that you are buying a prototype, a template with your logo on it, or a build that excludes the parts that make it work in production. If the budget is lower, a configured SaaS product or a no-code tool is usually the honest answer.
How much should I hold back for contingency?
15 to 25 percent of the program budget, held by you rather than priced into the vendor's quote. Even well-scoped enterprise work sees 10 to 20 percent in change requests, because the business discovers requirements during the build. A program with no contingency is a program that will stop halfway and ask for more.
Does the cost include running the system?
No. Build quotes cover delivery to production and usually a short support period. Infrastructure runs $1,500 to $10,000 (€1,500 to €8,500, £1,000 to £7,500) per month for a core platform, and support and maintenance cost 15 to 25 percent of the build per year. Ask for both numbers in the proposal so the total cost of ownership is visible before you sign.