1. Size of the project

The size of the software project influences the development costs. The higher the number of features and other factors, the higher in number the team needed and so is the cost of offshore software development. And, depending on the size of the project the efforts and overall costs will increase accordingly.

2. Technical considerations of the project

Technical aspects including software architecture, UI/UX designs, tools and methodology selected, third-party integrations, etc. impact the cost of the offshore software development project. Ultimately, it relies on the scope of the software product or ongoing service you are looking to build.

3. Time to market

Bringing your product early to the market or giving it more time will impact the development costs. Also, deadlines influence the software project in several ways. If you have an extraordinary idea but the timeframe to complete the project is shorter, it will affect the R&D, planning, and overall development. In such a case, you will have to hire an extended team of experienced engineers to get things done efficiently and quickly, incurring higher costs.

4. Skills and expertise of the team

The knowledge, experience, and skills of your offshore development team directly impacts the project costs. If your project is complex, you need a qualified team of senior developers and this adds to the overall project costs.

5. Additional costs 

The offshore development organisations may charge extra for maintenance and support, some licences, infrastructural costs, etc. They may even charge in case the partners want some modifications. So, to avoid any ambiguity, such factors should be clarified beforehand.