How startups need to budget for their next app build

With the increasing popularity of smartphones and portable devices, it is worth considering developing a mobile application.
App developers for business
A mobile app can optimize business processes in several ways. It enhances customer relations and makes your brand more human by encouraging engaging interactions. Additionally, modern organizations are using mobile apps to collect a wealth of data for marketing and sales.

If you are a startup looking to develop an app, here are some tips for managing your budget.

Understand App Development Cost and Time Estimates

The cost of developing an app has many variables, which depend on the nature of your mobile app. It is essential to understand these factors as they can influence the direction and budget of the project.

According to Forbes, two factors will always impact the app development budget. That is the complexity of the design and the hourly rates of the service provider.

You can also expect considerable variations in the hourly rates for hires. It often depends on factors such as whether you are hiring a freelancer or an in-house developer. It will also be influenced by the hire’s experience and expertise in working with similar systems.

Recent surveys suggest the average cost of a simple app could be between $5,000 and $10,000. The actual budget may be higher due to factors such as ongoing maintenance and upgrades.

The time and budget may also vary depending on factors, such as vendor type, location, and app features. The intricacy of the design will also influence the development approach. Getting talent for specialized skills may incur additional expenses.

However, most experts suggest the average time for the project to be between 3 and 6 months. At $150 an hour for top talent, the median budget for app development could be around $171,000. Top app cost calculators estimate suggests figures between $260,000 and 360,000 for multi-feature apps.

Start with a Simple, but Intuitive Design

It is wiser to start with a simple design for the initial version of the app. During the early stage, you include only the necessary elements that make the app functional.

If you are undecided, you can choose to develop with a concise platform like Android. You can create a working version with fewer lines of code than with JAVA.

The design should be intuitive, allowing users to work seamlessly without glitches. A complex design can increase the loading time and ruin the experience for users.

Watch Out for Factors That Create Hidden Costs

When working on a mobile app, overlooking parts of the process may increase the budget later. It is also possible to underestimate the actual costs of different stages of the project.

The development of the prototype version may generate costs that you did not anticipate in the budget. However, it defines the overall architecture of the future versions, so the expenses could be higher than expected.

You’ll also have to watch out for ongoing maintenance and upgrades. The app will require bug fixes and new implementation features, which you should account for in your budget.

Why Research and Planning is Essential for Your Budget

Before the app development process, you can start with the research and discovery phase. The purpose of the initial research is to capture the concept of the product and turn it into a functional app.

The discovery stage can take two to eight weeks, but the design complexity and app features will determine the time frame. If you outsource the process to a company, the estimated cost is usually $10,000 to $15,000. Despite the additional expense, you may want to consider hiring professionals for the discovery stage.

Startups can benefit by investing in the discovery phase of the project. Since most startups are still defining their objectives, the research and discovery process can serve as a valuable risk assessment tool.

Research and discovery will clarify the roadmap for the project. With clear deliverables, there are fewer chances for miscommunications and costly errors.

Monitor the Process for Optimum Results

While you may not have programming skills, as the product owner, the project relies on the clarity of your vision. You have the responsibility to ensure that you create value for the app’s users. Therefore, you can provide insights into customer preferences and critical product updates.

So, if you want optimum results at the end of the project, take time to follow all the crucial phases of the project. Your initial planning and research will be invaluable when monitoring the progress of your app development. The feedback you offer will help to detect issues earlier and boost the confidence of the team.

It is also advisable to stick to the scope of the app when monitoring its development. You may succumb to the temptation to include additional features that may dramatically raise budget expenses. That is why planning is always essential before you can start developing the app.