What is SaaS and how much does it cost to build one?
Nova “A SaaS is not validated by features: it is validated when someone pays for the first month.”
Quick answer
SaaS (software as a service) is software your customers use from the browser and pay for by subscription instead of buying and installing it. It needs user accounts, plans, recurring billing and cloud infrastructure. At CA, building the first version of a SaaS platform starts at $2,800 USD.
Key facts
| Model | Cloud software paid by subscription |
|---|---|
| Minimum pieces | Accounts, plans, recurring billing and admin panel |
| Separate costs | Servers, payment gateway and third-party services |
| At CA | From $2,800 USD; an estimated 4–10 weeks |
How does SaaS work?
The software lives in the cloud and each customer logs in with their account. You maintain a single version, update it for everyone at once and bill monthly or yearly. Customers install nothing; you get recurring revenue and a product that keeps improving.
How do you validate the idea before investing?
Before building everything, confirm someone would pay:
- Define the specific problem you solve and for whom.
- Build the minimum version that solves it.
- Win your first paying customers, even if few.
- Add features based on what those customers ask for.
Do you have a software idea your customers already ask for?
See details and pricingWhat costs are there besides development?
Servers or cloud services, payment gateway fees, transactional email and ongoing maintenance. These grow with your customer count, so build them into your plan pricing from the start.
Frequently asked questions
Are SaaS and web apps the same?
A SaaS is a web app with a subscription business model and many independent customers on the same platform.
Do I own my SaaS code?
Code ownership and licensing are set out in each project contract.
How long does the first version take?
At CA, an estimated 4 to 10 weeks depending on modules and integrations.