Technology  |  Web

5 Types of Web Development Companies and their Development Cost


While searching for the best web development company for your project, you have sent many request for proposals and get proposals that range from $5000 to $300,000. You might be thinking why some companies cost high and some less than that.

The main reason behind is there are different types of web development companies and they have various business models that create different cost structures.

Check out below given types of web development companies and know how they charge for their development process.

“Extravagant Class” Custom Web Development Companies

These companies are not classified on the basis of number of employees, sales or finances. But, such companies are identified on the basis of highly paid employees, luxurious building and huge spending. Such companies are always looking for clients, who are willing to spend about $200K on any project.

If we are looking for an average web application development cost, we found it around $500K and more surprisingly, their staff’s salary is in the six figures plus range. Moreover, such companies prefer only custom development.

Hire on-demand dedicated developers of desired skill & experience.

“Moderate Class” Custom Development Companies

Such companies have about 10-20 number of employees and have a moderate and reasonable spending and operation. They provide you proposal ranging from $100 – $200 per hour and are based on the estimated hours at the development rate.

When hiring such web development companies, you will get result on the basis of the company owners or management’s ethical standards. Choosing such companies are best to make a long term developer and supporting partner for your project.

“Small Class” Development Companies

Such types of companies have only 2-3 workers including the business owners / partners in the company and runs on a very low budget. They provide you proposal ranging from $75 – $180 per hour and are based on the estimated hours at the development rate.

Such types of business are not usually organized and cannot take a large development project. Choosing such companies for your small project is best.

Independent Contractor Developers

Independent contractor developers charge rate on the basis of their knowledge and experience and other factors like financial needs, cost of living, and spending habits. Their range starts from $50 – $250 per hour.

The ultimate project’s result is based on the business experience and person’s development and years of experience in this business. Ensure to hire independent contractor, who have at five years of experience in his / her independent contracting business, otherwise your project will end up with bad result.

Hire dedicated team for your next web development project.

Low Cost, Mass Producing Template Level Off-shore Development Companies

Such companies working with an aim of producing template type web sites. Their charges start from $35 – $90 per hour. Such companies don’t have practice high ethical standards and their business is based on mass production with some focus on client’s success. Avoid hiring such companies if you have a custom web application development project in your mind.

These are some web development company’s type and on the basis of types, we have mentioned web development cost of the companies. Now, choose the best companies for your project as per requirements and get the best solution.

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