•7 min read
When custom software is worth it (and when it isn’t)
A framework for deciding between off-the-shelf solutions and building proprietary technology.
The Build vs. Buy Dilemma
Every founder wants to own their tech stack, but few calculated the Total Cost of Ownership (TCO) correctly.
The 80/20 Rule of SaaS
If an off-the-shelf solution does 80% of what you need, take it. The remaining 20% is rarely worth the $500k/year engineering team required to maintain a custom fork.
Build when:
- The capability is your core differentiator.
- Regulatory requirements prevent standard SaaS usage.
- You have outscaled the limitations of available tools.
Buy when:
- It is a commodity function (Payroll, CRM, Email).
- Speed to market is the primary constraint.