How Much Does It Cost to Maintain Custom Software?

Most founders understand they’ll need to invest in developing their custom software. But once it’s released into the world, the uncertainty begins: What happens after launch? What do you need to pay for?

Here’s the deal: it depends. Every piece of software is unique, but there are some common costs that apply to almost all software projects. Let me break it down for you in simple terms.

1. Infrastructure Costs

Think of this as the “house” where your software lives.
This includes web servers, databases, storage, and all the pieces that keep your software running. These are usually paid monthly or annually to cloud providers like AWS, Google Cloud, or Azure.

2. Infrastructure Maintenance

Your “house” needs upkeep.
You’ll need to make sure security patches are applied, backups are created, and any server updates are handled. Neglecting this can leave your software vulnerable to downtime or attacks.

3. Software Maintenance

Just like apps on your phone need updates, your custom software needs care too.

  • Security patches must be applied to keep your software safe and compliant.
  • Libraries and frameworks it depends on need to stay current.
  • The programming language versions may need to be updated.

4. Third-Party Services

Most modern software relies on external services to handle certain features. For example:

  • APIs (like payment gateways, messaging services, or geolocation tools).
  • Specialized tools like email delivery services or analytics platforms.

These are often subscription-based, so the costs can add up.

5. Development Tools

Building and maintaining software requires tools like GitHub (for code storage and collaboration), CI/CD pipelines (to automate testing and deployment), and task management software. These costs are typically small but still recurring.

6. Continual Improvements and Feature Expansion

Software is never “done.” As your business grows, you’ll need to add features, improve performance, or adjust to user feedback. This is less about “maintenance” and more about keeping your software competitive and useful. It’s an ongoing investment.

Did I Miss Anything?

Those are the basics, but every project is different. Depending on your software, you might also need:

  • Compliance & Legal Maintenance: Staying up to date with regulations (e.g., GDPR, HIPAA).
  • Customer Support Tools: Chatbots, ticketing systems, or helpdesk platforms.
  • AI/ML Costs: If you’re using AI, there could be additional computational costs.

The Bottom Line 

Maintaining custom software isn’t free, but it’s essential to keeping your business running smoothly and your users happy. A good rule of thumb is to budget around 15-20% of your initial development cost per year for maintenance and upgrades.

The real takeaway? Plan for the long term. Your software doesn’t just need to work today—it needs to keep working (and growing) tomorrow.

Have questions about managing your software maintenance costs or planning for the future? At SaaS Agency, we specialize in helping founders like you build, maintain, and grow successful software products. Let’s chat—contact us today!

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