Top Custom Software Development Companies

A software development company is a service provider that specializes in building programs, systems, platforms, and other digital interfaces to help businesses improve workflows, boost productivity, and customize existing programs according to their needs. 

“Software development companies are the architects of innovation. They go beyond coding, addressing complex challenges, and crafting custom software solutions.  

These firms empower businesses to streamline operations, boost productivity, and stay competitive in a rapidly evolving landscape. In essence, a software development company is the driving force behind digital transformation, shaping the future of industry and enterprise.” [Kane Jason, Client Success Manager at Ace Infoway] 

The different types of software development firms can be categorized based on these parameters: 

Additionally, custom software development companies can be grouped based on their service types: 

• Staff augmentation or dedicated teams: They hire and manage teams of IT professionals dedicated exclusively to your organization, acting as an extension to its in-house team. This is typically a long-term partnership. 
• Project-based development: These are often short-term, one-time partnerships that last until the successful delivery of the client’s project. 

A software development company creates, improves, and maintains software solutions for a variety of purposes across a wide range of industries, users, and organizations. 

Software development companies conceptualize ideas and then create products that help brands improve workflows and optimize productivity. These products are usually referred to as “solutions” because they solve problems, ranging from the mundane and personal to the complex and professional. Software developers can also improve and personalize existing programs to meet an organization’s needs. 

Besides custom software development, software development agencies typically provide these services:  

• Project management 
• Consulting 
• High-quality documentation 
• Product development 
• Software integration into other systems 
• Data migration 
• Big data and analytics 
• DevOps 
• Mobile app development 
• Website development 
• UI/UX design 
• eCommerce development 
• Specialized services 
• Software testing and product quality assurance (QA)  
• Troubleshooting  
• Deployment 
• Post-launch support 
• Cloud software solutions 
• And more 

A software development company’s workflow usually comprises the following stages [Kane Jason, Client Success Manager at Ace Infoway]:  

1. Understanding clients’ needs in-depth 
2. Crafting highly detailed and accurate blueprints 
3. Writing custom code to build and customize software 
4. Performing stringent testing to ensure product’s reliability  
5. Giving constant customer feedback for further improvement 

Building software typically takes four to nine months. This timeline covers: 

The top software development companies can charge from $30,000 to over $300,000 for their services. 

The total cost of developing software depends on these factors: 

• Level of expertise 
• Third-party charges 
• Project scope and complexity 
• Number of platforms 
• UI/UX design 
• Technology stack 
• Team size 
• Location
• Timeline 

Depending on location, these agencies typically have a $20 to $200/hour rate. Here’s a breakdown by region: 

When it comes to the developer’s level of expertise, the hourly fee can be broken down further as follows:

Based on the size and complexity of the project, software products might end up costing the following: 

The more complex a project is, and the more developers are involved, the higher the expected cost. A small app that usually takes around 700 hours to develop comes at a lower price, while more complex software with server-side applications can have a six-figure price tag. 

Given a rate of $25 per hour, here’s a cost segmentation for a few key aspects of software development and their estimated time: 

As applications are essential in today’s business landscape, software development companies also offer mobile app development services. The cost of developing a custom mobile app varies greatly depending on the desired features.  

The average costs for app development are itemized as:  

“On average, software development budgets represent 4-6% of a company's total budget. Precise budgeting should align with the specific project's needs.” [Kane Jason, Client Success Manager at Ace Infoway] 

The top 50 software development agencies on DesignRush charge an average of $59/hour. Roughly 6.1% of software development companies on the platform have a minimum budget of less than $1,000, while 6% have a $50,000 minimum budget. 

The difference between custom and commercial software is that the former is specifically designed and developed for a particular user, while commercial software is pre-built and available for purchase and use by anyone. 

Here’s a breakdown of their differences and similarities: 

Your organization needs custom software especially when: 

• Technology is leaving your brand behind: With competition monitoring, deep data gathering and analysis, and increased productivity via automation, customized solutions can help you stay ahead of other businesses. 
• Your current software limits your work: If your current product isn’t doing its job properly, then it is time to let go of it, especially if it causes problems and slows you down. 
• There is an increased necessity for manual work: If you already own off-the-shelf solutions that require manual workaround, you’re not maximizing your productivity. Customized solutions can automate manual processes. 
• Reaching customers is getting tougher: If you find it difficult to reach and manage your customers, then it might be time for a technological upgrade. 
• Your business is expanding: As your business grows, your software requirements will change, and off-the-shelf products may become too limiting. Customized solutions will scale with you. 

The main reason to hire a custom software development company is to obtain tailored solutions and leverage the latest technologies, allowing for scalability and seamless systems integration. 

Providing specialized skills, experience, and flexibility, software development companies are key partners to businesses that want to thrive in an ever-changing technology-driven business environment. 

Other reasons to partner with a specialized company are: 

• Proven software development methodology 
• More scalable solutions than off-the-shelf products 
• Advanced management tools 
• Dedicated technical support from experts  
• Dedicated maintenance  
• More robust cyber security measures 
• Automation 
• Integration between different departments within an organization 
• Superior quality 
• Timely completion 

Here's a case study that reinforces these reasons further. TradeSmith partnered with software development company Itransition to create a cutting-edge platform for effective portfolio management and stock market updates. 

Itransition launched the client's flagship investment management product, TradeStops, which gained a user base of 30,000+ traders and investors. Further demonstrating the benefits of hiring a top agency, TradeStops's total value of managed portfolios has exceeded $20 billion. 

The steps to finding the best custom software development company for your business are as follows: 

1. Identify your project objectives, requirements, budget, and KPIs. 
2. Understand the different software development technologies and decide which technology to use for your project.  
3. Research service providers on top agency rankings and professional platforms.  
4. Search for potential companies with experience, expertise, and portfolios in your domain. The more your partner understands your target market and competition, the better it can meet your needs, provide high-quality solutions, and deliver quickly. 
5. Consider their location. 
6. Look through the tech stack they use. 
7. Look for software development companies with expertise in user experience. 
8. Shortlist five agencies based on client reviews and portfolios. 
9. Send them a project brief and require a software development request for proposal (RFP).  
10. Review custom proposals once they are submitted.  
11. Arrange interviews to discuss your project in detail and assess their capabilities and resources. 
12. Know their software development methodology and understand the project plan. 
13. Ask about QA testing and maintenance. 
14. Inquire about after-development or post-launch support. 
15. Learn their cybersecurity measures, practices for protecting products and code, and crisis management plan. 
16. Examine team structure and dynamics, processes, and communication style. 
17. Decide on your final choice based on the information gathered. 

If you need assistance finding the right software development agency, visit our Marketplace and let us know the details of your project. We'll thoroughly search our extensive Agency Directory to find the top candidates that best suit your needs. We'll connect you with two to five shortlisted agencies so you can choose the ideal match for your business — all for free. 

Consider asking these key questions before hiring a custom software development company: 

Its Relevant Background 

1. What are your core areas of expertise?  
2. What similar projects have you completed? 
3. Do you have references from past clients? 
4. What regulatory compliance requirements in my industry have you worked with? 

Company Services and Processes 

1. Which development methodology do you use and why? 
2. What is your approach to project management, strategies, and KPIs? 
3. Which coding languages and technology frameworks do you specialize in? 
4. How do you deliver your custom software development services? Do you work on a project-based or dedicated team model? 
5. What security and data privacy measures do you take? 
6. Do you provide after-launch support and maintenance? Is there a post-launch maintenance fee? 

The Project 

1. How many people are on the software development team assigned to our project, and what are their specializations?  
2. How do you approach the first phases of the project? 
3. How do you determine how long the project timeline will be? 
4. Do you outsource any project tasks to contractors? 
5. How often can we expect updates and progress reports? 
6. How will you update the project in the future? 
7. What is your post-launch policy? What happens if we're less than satisfied with the output? 
8. How do you handle intellectual property (IP)?  
9. Who will own the code after launch? Can you share the project's track record?  
10. What files will I have access to during the project? 
11. What are the services included in our total project cost? 
12. What would the actual deliverables be? 
13. Who will be the designated point of contact throughout the project? 
14. How do you handle project disputes or conflicts? 

• Kanda Software 
  
  • 4.8 stars on DesignRush (15 reviews) 
  • 4.7 stars on Google (7 reviews) 
  • Top clients: OneSky, Rue La La, Imprivata, Lionbridge 

• Itransition 
  
  • 5.0 stars on DesignRush (21 reviews) 
  • Top clients: PayPal, Adidas, PepsiCo, eBay 
• BairesDev 
  • 4.9 stars on DesignRush (25 reviews)  
  • 4.3 stars on Google (27 reviews) 
  • Top clients: Google, IBM, Salesforce, Rolls-Royce 
• Diffco 
  • 5.0 stars on DesignRush (20 reviews)  
  • 5.0 stars on Google (21 reviews) 
  • Top clients: Nokia Care, Food Rocket, NCRIC, International Business Times 
• Codup 
  • 5.0 stars on DesignRush (43 reviews) 
  • 4.5 stars on Google (44 reviews) 
  • Top clients: Unilever, Dyson, Harrods, National Wildlife Federation 

You can also go through the listing above to learn more about the top agencies. Narrow down your search according to location, fees, client reviews, team size, and other parameters.

With an average 4.7 rating on Google and Trustpilot, DesignRush Agency Directory can help you find a reliable custom software development company. We have a team of agency and technology experts, who handpick the listed agencies on our platform.

Read our DesignRush Agency Ranking Methodology to learn more.

To deliver reliable and accurate data in our hiring guide, we’ve consulted two industry experts. They have verified its accuracy and provided further valuable insights, which are designed to guide decision-makers on their journey to hiring a software development company.  

Kane Jason is a dedicated Client Success Manager at Ace Infoway. He combines technical expertise with industry knowledge and excellent communications skills, ensuring that clients stay competitive in their markets. Previously, he led a successful project for one of the largest advertising agencies in Hollywood, enhancing and integrating system components, automating data entry, and addressing technical challenges. 

Ciril Sreedhar is the CEO of Sreyas IT Solutions Pvt Ltd. He’s served 20% of the company’s client base for over a decade, overseeing the projects and operational activities. Skilled in SQL, Oracle Database, Requirements Analysis, PHP, and Strategic Planning, he and his team have successfully forged a seven-year partnership with Drivers Domain UK, developing complex projects such as an online booking system and a risk assessment platform.