How Much Does It Cost to Develop a Mobile App for Startups?
Every month, thousands of startup founders sit down with their laptops and brilliant app ideas, only to discover that turning those ideas into reality costs far more than they expected. The startup app development cost can range anywhere from £10,000 for a basic app to well over £100,000 for something more complex—and that's before you factor in ongoing maintenance, updates, and marketing.
Most entrepreneurs make the mistake of thinking app development is a one-time expense. They budget for the initial build but forget about the hidden costs that pile up later. App store fees, server costs, bug fixes, and feature updates can quickly eat into your startup funding if you're not prepared.
The biggest mistake I see startups make is underestimating their mobile app budget by at least 50%. They focus on the development pricing but ignore everything else that comes after launch.
That's why proper cost estimation and budget planning are so important from the start. You need to understand not just what you'll pay upfront, but what your development expenses will look like over the first year and beyond. This guide will walk you through every aspect of mobile app development costs—from the obvious expenses to the sneaky ones that catch startups off guard. By the end, you'll have a realistic picture of what your app will actually cost to build and maintain.
Understanding Different Types of Mobile Apps: Native Apps vs Hybrid Apps and How They Impact Your Budget
Right, let's talk about something that confuses nearly every startup founder I meet—the difference between native and hybrid apps. I get it, the terminology sounds technical, but it's actually quite straightforward once you break it down.
Native apps are built specifically for one platform. Think of your favourite iPhone app—it was created just for iOS using Apple's programming language. Same goes for Android apps; they're made specifically for Google's platform. These apps live directly on your phone and can access all its features like the camera, GPS, and contacts without any fuss.
The Budget Reality Check
Here's where it gets interesting for your wallet. Native apps typically cost more upfront because you need separate versions for iPhone and Android. You're basically paying for two apps instead of one. But—and this is important—they perform better and users love them more.
Hybrid apps, on the other hand, are like the Swiss Army knife of mobile development. One codebase works on both platforms, which sounds brilliant for your budget. And it can be! You'll spend less initially, but there are trade-offs.
Which Option Makes Sense for Your Startup?
The choice depends on what you're building and who you're building it for:
- Native apps are perfect if you need top performance, complex features, or you're targeting users who expect premium experiences
- Hybrid apps work well for simpler applications, content-heavy apps, or when you need to test your idea quickly and cheaply
- Consider your long-term plans—will you need platform-specific features later?
From my experience, most successful startups eventually go native as they grow, but hybrid can be a smart way to start if budget is tight.
The Main Factors That Affect Mobile App Development Costs: From Features to Design Complexity
After years of quoting app projects, I can tell you that most startup founders are genuinely surprised by how many different elements push up development costs. It's not just about writing code—there are dozens of moving parts that all need to work together seamlessly. Let me break down the main cost drivers you need to understand before you start planning your budget.
Design Complexity and User Experience Requirements
The visual design of your app has a massive impact on costs. A simple, clean interface with basic buttons and standard layouts will cost significantly less than a highly customised design with animations, complex graphics, and unique user interactions. Custom illustrations, advanced animations, and intricate user flows all require additional design time and development work to implement properly.
User experience design goes beyond just making things look pretty—it's about creating intuitive navigation, smooth transitions, and ensuring your app feels natural to use. The more complex your user journeys, the more time designers need to map out every screen and interaction.
Technical Architecture and Integration Requirements
Backend development complexity varies enormously depending on what your app needs to do. Apps that require real-time features, complex data processing, or integration with multiple third-party services will naturally cost more. Payment processing, social media integration, mapping services, and cloud storage all add layers of complexity that take time to implement correctly.
- Real-time messaging or notifications
- Payment gateway integration
- Social media login and sharing
- GPS and location services
- Cloud storage and data synchronisation
- Third-party API integrations
Start with a basic version of your app and add complex features later. This approach keeps initial costs manageable whilst allowing you to test your core concept with real users.
Platform choice plays a huge role too. Building for both iOS and Android simultaneously doubles the development work compared to starting with just one platform. The more platforms you want to support, the higher your initial investment will be.
Breaking Down Development Team Costs: Developers, Designers and Project Managers
When you're budgeting for your mobile app, the biggest chunk of your costs will come from the people who actually build it. I've worked with teams of all sizes over the years, and let me tell you—getting the right mix of talent can make or break your project budget.
Your core team needs three main types of people: developers who write the code, designers who make it look good and work smoothly, and project managers who keep everyone on track. Developers are your most expensive team members, typically charging between £300-800 per day depending on their experience and location. You'll need different types too—frontend developers for what users see, backend developers for server-side work, and sometimes specialists for specific platforms like iOS or Android.
What Each Role Actually Costs
Role | Daily Rate (UK) | What They Do |
---|---|---|
Senior Developer | £500-800 | Complex coding, architecture decisions |
Mid-Level Developer | £300-500 | Feature development, bug fixes |
UI/UX Designer | £250-450 | User interface and experience design |
Project Manager | £200-400 | Timeline management, team coordination |
Designers usually cost £250-450 per day and you'll want both UI designers (for the visual elements) and UX designers (for how users interact with your app). Project managers sit around £200-400 per day but trust me—they're worth every penny for keeping your project from spiralling out of control.
How App Features and Functionality Drive Up Your Budget: Simple vs Complex App Requirements
When I'm working with startups on their mobile app budget, the conversation always comes back to one thing—what does your app actually need to do? This isn't just about nice-to-have features; it's about understanding the difference between a simple app and one that'll eat through your startup funding faster than you can say "user authentication".
Simple Apps Keep Development Costs Low
A simple app might include basic user registration, a few static screens, and maybe some content display. Think of a basic calculator or a simple note-taking app. These features are straightforward to build and test, which keeps your development expenses reasonable. You're looking at fundamental functionality that most developers can implement without breaking into a sweat.
Complex Features Push Your Budget Sky High
Now, if you want real-time messaging, payment processing, GPS tracking, or social media integration—well, that's where things get expensive. Each complex feature requires more development time, more testing, and often third-party services that come with ongoing costs.
The biggest mistake I see startups make is trying to build everything at once instead of starting with core features that solve their main problem
My advice? Start with the minimum viable product and add features later. Your startup app development cost will thank you for it, and you'll actually get to market faster with something people can use.
Hidden Costs That Catch Startups Off Guard: App Store Fees, Maintenance and Updates
After spending months building your app, you might think the financial commitment is over—but that's where most startups get a nasty surprise. The real costs are just beginning, and they're the ones that'll keep coming back month after month.
App Store Fees That Keep Coming
Both Apple and Google want their cut, and it's not small. You'll pay a yearly developer fee just to keep your app in their stores—Apple charges around £79 annually whilst Google takes a one-time £20 fee. Then there's the big one: they take 30% of every purchase, subscription, or in-app transaction. That's a massive chunk of your revenue disappearing before you even see it.
Maintenance Costs Nobody Mentions
Your app won't just sit there working perfectly forever—I wish it would! Operating systems update constantly, which means your app needs updating too or it'll break. Security patches, bug fixes, and compatibility updates are ongoing expenses that can cost thousands each year. Plus, if you want to add new features or keep up with competitors, you're looking at regular development costs.
Smart startups budget at least 20% of their initial development cost annually for maintenance. It's not the most exciting expense, but it's absolutely necessary if you want your app to survive.
Money-Saving Strategies for Startup App Development: Smart Ways to Reduce Costs Without Compromising Quality
After years of working with startups, I've learnt that the biggest mistake founders make is thinking they need everything from day one. They want push notifications, social media integration, advanced analytics, payment systems—the works. But here's the thing: your users don't care about half of those features when they first download your app.
Start with what I call the "bare bones" approach. Build your Minimum Viable Product (MVP) with just the core features that solve your users' main problem. You can always add more features later once you've got users and—more importantly—revenue coming in. This approach can cut your initial development costs by 50-70%.
Choose Your Development Team Wisely
You don't need a team of senior developers for every part of your project. Mix junior and senior developers strategically—use juniors for simpler tasks and seniors for complex features. Consider working with a development agency that already has an established team rather than hiring individually; it's often more cost-effective and you get instant access to different skill sets.
Smart Technical Decisions
Cross-platform development tools like React Native or Flutter can save you thousands compared to building separate native apps. Yes, there are trade-offs, but for most startups, these tools provide perfectly adequate performance whilst keeping costs manageable.
Use existing third-party services for common features like user authentication, payment processing, or analytics instead of building them from scratch—it's faster and cheaper.
Conclusion
So there you have it—the complete picture of what you can expect when budgeting for your startup's mobile app. I've walked you through everything from the basic decision between native and hybrid apps, right through to those sneaky hidden costs that catch so many founders off guard. The truth is, there's no single answer to "how much will my app cost?" because every project is different, every team has different rates, and every startup has different priorities.
What I can tell you after years of working with startups is this: the founders who succeed aren't necessarily the ones with the biggest budgets. They're the ones who understand their constraints, make smart choices about features, and aren't afraid to start small and grow gradually. That MVP approach we talked about? It's not just about saving money—it's about learning what your users actually want before you spend a fortune building features they don't need.
The key is being realistic about your budget whilst staying focused on what really matters for your users. Take the time to plan properly, factor in those ongoing costs, and don't be tempted to cut corners on the things that actually matter—like security and user experience. Your app's success depends on getting these fundamentals right from the start.
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