The verdict in three sentences
An HR consultancy with 18 consultants in Dublin loses margin without noticing: projects that overrun, unlogged hours, grant-funded invoices sent late. An off-the-shelf PSA at EUR 35 per user per month covers time tracking, but a custom tool at EUR 18,000 to 35,000 excl. VAT pays off once training grants, Skillnet-funded programmes or multi-funder billing complicate invoicing. Either way, the goal is the same: 75% utilization and an alert as soon as a project exceeds the time sold.
Off-the-shelf PSA, custom or spreadsheet: the comparison
The shared spreadsheet is still the most common tool in consultancies under 20 people. It costs nothing in licences but a lot in consolidation time. Five-year comparison for 18 users, as a 2026 order of magnitude.
| Criterion | Shared spreadsheet | Off-the-shelf PSA | Custom tool |
|---|---|---|---|
| Initial cost | EUR 0 | EUR 2,000 to 4,000 (setup) | EUR 18,000 to 35,000 |
| Recurring cost | EUR 0 | EUR 35 per user per month, so EUR 7,560 a year | EUR 250 to 450 a month for maintenance |
| Total cost over 5 years | EUR 0 in licences, 25 to 40 days a year of consolidation | EUR 39,800 to 41,800 | EUR 33,000 to 62,000 |
| Funder billing and co-funding | Manual | Workarounds | Native, per funder |
| Time spent vs time sold | After the fact | Yes, standard | Yes, with alert thresholds per phase |
| Regulated assessment steps (e.g. career assessments) | No | No | Yes |
| Data ownership | Firm | Vendor | Firm |
If the firm mostly bills standard fixed-fee or time-and-materials projects, the PSA is enough. If more than 30% of revenue flows through funders (Skillnet networks, Enterprise Ireland supports, public bodies), custom avoids several days of re-keying every month.
What each utilization point is worth
For 18 consultants with 210 possible billable days a year (3,780 days), at an average day rate of EUR 800, each utilization point is worth about EUR 30,240 of revenue.
| Utilization | Billed days per year | Revenue excl. VAT | Gap vs 70% |
|---|---|---|---|
| 60% | 2,268 | EUR 1,814,400 | -EUR 302,400 |
| 65% | 2,457 | EUR 1,965,600 | -EUR 151,200 |
| 70% (current) | 2,646 | EUR 2,116,800 | baseline |
| 75% (target) | 2,835 | EUR 2,268,000 | +EUR 151,200 |
| 80% | 3,024 | EUR 2,419,200 | +EUR 302,400 |
Software does not create demand, but it surfaces unbilled days: overruns never renegotiated, workshops added without a change order, consultants under-staffed at month end. That is where the first points are found.
Mini case study
Aoife, managing director of an 18-consultant HR consultancy in Dublin, chooses a EUR 30,000 custom tool delivered in 3 months, with automatic per-funder invoicing. In year one, she cautiously targets +2 utilization points (from 70% to 72%), so about 76 more billed days: EUR 60,800.
Automatic invoicing also frees 3 days a month of her office manager's time, valued at EUR 250 a day, so EUR 9,000 a year. Total gain: EUR 69,800, minus EUR 3,600 of maintenance, so EUR 66,200 net a year or about EUR 5,520 a month. The project pays back in roughly 5.5 months.
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FAQ
How long does a custom tool take to deploy?
Three months on average: 3 weeks of scoping, 7 weeks of development, 2 weeks of acceptance testing with 3 pilot consultants. Migrating live projects takes 2 to 3 days.
Will consultants actually log their time?
Yes, if logging takes under 2 minutes a day, on mobile, with a 5:30 pm reminder. Firms that tie time entry to expense approval reach 95% completion.
Can the tool connect to our accounting software?
Yes, through export or API to the main accounting packages used in Ireland, for EUR 2,000 to 5,000. Invoices and credit notes then flow through without re-keying, with 23% VAT handled automatically.
Is the tool ready for e-invoicing?
It should be: the EU ViDA package is pushing structured e-invoicing across member states, and Irish public bodies already accept Peppol invoices. Budget EUR 1,500 to 3,000 for a Peppol access point connection.
Can an off-the-shelf PSA evolve into custom later?
Yes, by exporting time and project history. Starting with a PSA for 12 months lets you validate the metrics before investing EUR 18,000 or more.
Let's scope your project. Tell us your consultant headcount, the share of funded projects and your current tool: we price the scope, budget and go-live schedule. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
