The verdict in three sentences
If your need is standard, a vendor SaaS almost always wins: one-week start, 15,000-250,000 FCFA/month, maintenance included. Custom is justified when the process is specific and critical to your competitive edge, or when the cumulative subscription exceeds the cost of development over 3 years. The right call rests on two axes: need specificity and business criticality.
SaaS vs custom: head to head
The two models don't share strengths. One pools resources, the other hugs your process.
| Criterion | Vendor SaaS | Custom development |
|---|---|---|
| Upfront cost | low (setup) | 2,000,000-12,000,000 FCFA |
| Recurring cost | 15,000-250,000 FCFA/month | hosting + maintenance |
| Time-to-market | 1 week | 2-4 months |
| Customization | limited to options | full |
| Vendor dependence | strong (price hikes, shutdown) | low (you own the code) |
| Evolvability | at the vendor's pace | at your pace |
| Best if | standard need | specific, critical need |
The decision table
Cross two questions: is your need specific, and is it critical to your business?
| Specificity \ Criticality | Low criticality | High criticality |
|---|---|---|
| Standard need | SaaS, no hesitation | Robust SaaS + SLA |
| Moderately specific need | SaaS + deep setup | SaaS + small custom dev |
| Highly specific need | Niche SaaS or no-code | Custom, clearly |
The danger zone is bottom-right: a highly specific, vital process forced into a generic SaaS. You end up working around the tool instead of using it.
3-year TCO: the calculation that decides
The real comparison is total cost of ownership, not entry price.
| Scenario | Year 1 | Year 2 | Year 3 | 3-year TCO |
|---|---|---|---|---|
| SaaS at 80,000 FCFA/month | 960,000 | 960,000 | 960,000 | 2,880,000 FCFA |
| SaaS at 200,000 FCFA/month | 2,400,000 | 2,400,000 | 2,400,000 | 7,200,000 FCFA |
| Custom 4,000,000 + 600,000/yr maint. | 4,600,000 | 600,000 | 600,000 | 5,800,000 FCFA |
Reading: at 80,000 FCFA/month, SaaS stays cheaper than custom over 3 years. At 200,000 FCFA/month, custom becomes competitive by year 2. The switch-over threshold often sits around 150,000-200,000 FCFA/month of subscription for a lasting need.
Mini case study
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Ousmane runs a services SME in Dakar and is torn over his project-management and invoicing tool. A suitable SaaS costs 180,000 FCFA/month, i.e. 6,480,000 FCFA over 3 years. A custom build is quoted at 4,500,000 FCFA plus 600,000 FCFA/year maintenance, i.e. 6,300,000 FCFA over 3 years, and he owns the code. Since his invoicing process is highly specific (milestones, retentions, multi-currency) and critical, he picks custom: similar cost, zero dependence, and the tool fits his trade exactly. Had the need been standard, SaaS would have won.
FAQ
When is SaaS the right choice?
When your need is standard and undifferentiating: simple invoicing, POS, bookings. One-week start, 15,000-250,000 FCFA/month, maintenance and updates included.
When is custom justified?
When the process is specific and critical to your edge, or when the subscription exceeds ~150,000-200,000 FCFA/month for a lasting need. Expect 2,000,000-12,000,000 FCFA and 2-4 months.
How do I find the switch-over threshold?
Compare 3-year TCO: subscription x 36 months against development plus maintenance. Above roughly 150,000-200,000 FCFA/month, custom often becomes more cost-effective.
What's the main SaaS risk?
Dependence: price hikes, a removed feature or a vendor shutting down. Check your data export and avoid locking a vital process into a tool you don't control.
Can I combine both?
Yes, it's common: SaaS for the standard (accounting, payroll) and custom for the differentiating core, linked by integrations. Often the best cost/agility ratio.
Let's talk about your project. We price your 3-year TCO and decide SaaS vs custom with no bias. 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.
