5 easy steps to develop a SaaS app!

Updated On: January 24, 2023

Updated By: AppsRhino



SaaS (Software as a Service) apps have replaced traditional software license purchases in recent years. 

McKinsey & Company reports that by 2024, the market for software-as-a-service products will reach close to $200 billion. At the same time, industry analysts predict further growth in the SaaS market.

But why does it seem more popular with users and service providers? 

Cloud-based SaaS applications have the potential to transform business operations. By using them, companies can establish an IT infrastructure that is less expensive, simpler to run, and requires less maintenance. 

SaaS apps automate the time-consuming tasks associated with software maintenance. Furthermore, it contributes to disaster recovery and data protection, as well as flexibility and agility in growing the program to keep up with growth. 

So, are you interested in developing your own SaaS app? Don't know where to start?  

The following article will describe how to create a SaaS app in 5 simple steps! 

Keep reading to learn more!   

What Are SaaS Apps?


What Are SaaS Apps?

SaaS is a cloud-based deployment model in which the provider creates and manages cloud application software. They provide automatic upgrades and make them accessible to clients via the Internet on a subscription basis.

In addition to finance, human resources, procurement, supply chain, commerce, marketing, sales, and service solutions, modern cloud apps can encompass and integrate a wide range of operations.

The service provider will ensure the app's accessibility, security, and privacy as part of the applicable service agreement. With SaaS, it's possible to launch an app rapidly and affordably.

Private users, business users, and IT specialists all use SaaS apps.

Examples of SaaS apps include—Gmail, Hubspot, Netflix, Zoom, LinkedIn, and Shopify.

Types Of SaaS Apps

The benefits of software as a service (SaaS) include accessibility, adaptability, simplicity of setup, and speed of expansion. As a result of its broad spectrum of commercial capabilities, SaaS apps have significantly outperformed the competition. 

Since the pandemic, the use of SaaS apps has proliferated as remote work has become the norm, and several companies have adopted a digital marketing strategy. A growing number of corporations are choosing SaaS apps because of their ability to address the contemporary issues caused by the pandemic.

There are two kinds of SaaS apps—horizontal SaaS apps and vertical SaaS apps. 

In a horizontal model, big businesses can serve a broad range of customers from various industries and run their businesses effectively and efficiently. This model makes it easier for them to expand or bundle up their offerings. Cloud services such as Salesforce, Microsoft, Slack, Hubspot, etc., use horizontal SaaS solutions. 

Vertical SaaS solutions, on the other hand, target a specific industry. By focusing on verticals, the model creates solutions for niche industries' pain points and needs. An example of a SaaS solution is Guidewire, which develops software only for insurance companies.

Popular SaaS apps include many well-known companies and solutions that people use daily.

These are some of the top SaaS companies:

  1. Adobe
  2. Google
  3. Microsoft
  4. Salesforce
  5. Shopify
  6. Netflix
  7. HubSpot
  8. Dropbox
  9. Zoom
  10. AWS

How To Develop A SaaS App In 5 Easy Steps?


How To Develop A SaaS App In 5 Easy Steps?

Due to the unique characteristics of SaaS app development brought about by their cloud-based nature, it's critical to adhere to these five steps to create a successful SaaS solution:

1. Planning

Researching the market, studying the target audience, and considering the main features—are essential for the success of SaaS apps. 

Here are a few things you should consider while planning:

  1. Software Requirements Specification: This defines the features and technical specifications of SaaS apps, project objectives, user groups, the scope of work, etc.
  2. Risk Assessment Plan: Predict what risks you may face when developing your SaaS application in the cloud and ways to minimize them.
  3. Breakdown Of Features: Create a list of all the features you want to include in your SaaS platform and the estimated implementation time.
  4. Cost Estimation: Create a table showing a projected budget for SaaS application development

2. Designing

UI and UX are two key factors to consider when designing SaaS apps. Before building a cloud-based SaaS application, it is imperative to decide on the interface. Hence, it is suitable for your target audience.

Consider what devices your target audience will use when designing your SaaS platform's user interface and user experience. Hiring UI/UX specialists to prepare designs for devices with different resolutions is essential for developing SaaS apps.

3. Architecture

The software architecture must meet the stakeholders' technical requirements for a successful application.

As a result of SaaS architecture's cloud-based nature, databases, storage, and services are housed in the cloud rather than on physical servers.

The following are a few reasons why SaaS apps need a good architecture: 

  1. Flexibility: Apps that run on SaaS can be accessed via the web and mobile devices. SaaS apps can be built using almost any programming language and database.
  2. Scalability: App owners can scale their apps with only a few clicks. Users can also downscale their services, so they only pay for the ones they use.
  3. Security: The security of users' data is essential for cloud-based services. Startups and entrepreneurs will choose your app because of protected data centers and encryption options.

4. Development And Deployment 

Software development is an iterative process, especially for SaaS startups. 

A SaaS developer works on your application's front and back end during this step. Additionally, quality assurance engineers verify that each piece of functionality works appropriately, individually, and as part of a whole.

Developing SaaS apps doesn't happen all at once. In many cases, the developers start with a minimum viable product (MVP) that includes only the most essential features to meet your target audience's basic needs. 

Iterative development ends with deployment. 

Deploying a SaaS application requires making the MVP version available to end users. This step involves preparing all the parts of the updated code to be deployed. 

It also involves merging all the existing code into production with the help of a DevOps specialist.

5. Maintainance 

Assess your app's performance once it is available to users. 

This step involves obtaining user feedback, analyzing it, making decisions about improving it, and determining what new features your users need. 

Meanwhile, SaaS developers can assist you in fixing existing bugs and planning for future features.

Cost Of Development Of SaaS Apps


Cost Of Development Of SaaS Apps

The cost of developing SaaS apps varies according to several factors, including—the product's complexity, features, the technology chosen, integrations with other services, etc. 

It is essential to select the country where dedicated developers are hired carefully. It will determine their product's quality and price. 

For example, SaaS developers from America or Canada cost between $150 and $250 per hour. On the other hand, Asian developers may charge $15 to $75 per hour. 

There is a significant difference in prices in Europe. The average hourly rate for SaaS developers in Europe is between $65 and $100. 

Therefore, it's safe to say that the total cost of developing SaaS apps is approximately $45,000+.  


With Artificial Intelligence (AI) solutions on the rise, they are likely to become an integral part of every cloud application in the enterprise. SaaS has a bright future; there is no doubt about that. 

In the future, SaaS may be able to predict client turnover or suggest cross-selling strategies.

Data volumes, software performance, and backup requirements are constantly changing in businesses, so it's no wonder they turn to SaaS apps. 

Do you want to create your on-demand application? Want a dedicated team of developers to assist you in your project? 

Don't worry! AppsRhino is happy to help you!

With the help of this industry-leading app development company, you can create the mobile or web app of your dreams! Contact us right away.