Replace High-Friction SaaS in 6 Months — Then Expand Internal Leverage.
Most firms don't realize how much they spend — or how much control they lose — until they see the numbers side by side.
Example Scenario: Single Core SaaS Tool
Current SaaS Cost
Phase 1 — Replacement Build
Replace SaaS dependency.
Phase 2 — Managed Evolution
Expand internal capability.
Estimated Break-Even Timeline: 12–18 months depending on friction reduction and operational efficiencies.
Ongoing investment shifts from vendor subscription to controlled system evolution.
Break-Even Timeline
Operational value accumulates as SaaS costs are eliminated and internal systems expand capacity.
SaaS Stack vs Internal System
Build vs Buy: Side-by-Side Comparison
The issue is rarely one subscription. It is the stack that compounds to $2,000–$4,000 per month. The table below compares the total cost of ownership — not just the sticker price — between renting SaaS tools and owning a managed internal system.
| Category | SaaS Subscription Model | Internal Managed System Model |
|---|---|---|
| Monthly Cost | $1,200 | $2,500 (includes build + ongoing management) |
| Annual Cost | $14,400 | $30,000 |
| 5-Year Cost | $72,000 | $150,000 |
| Customization | Limited | Fully Tailored |
| Ownership | Vendor Controlled | Firm Controlled |
| Integration Flexibility | Restricted | Designed Around Workflow |
| Strategic Control | Low | High |
Key Consideration: SaaS is not inherently wrong. The risk arises when subscription tools define your core operational workflow.
Multi-SaaS Stack: The Real Cost
Most firms don't run one SaaS tool — they layer multiple tools over time. The compounding cost and integration friction become the real operational drag.
| SaaS Tool | Monthly Cost | 5-Year Cost |
|---|---|---|
| Estimating Tool | $1,200 | $72,000 |
| Reporting Tool | $800 | $48,000 |
| Workflow Tool | $600 | $36,000 |
| Total SaaS Stack | $2,600 | $156,000 |
This scenario demonstrates how layered SaaS subscriptions can exceed the long-term cost of an internally controlled managed system while providing less strategic control.
Over five years, the cumulative cost of a SaaS subscription stack outpaces a managed internal system while delivering less control.
Calculate Your ROI
See how the numbers change when you own your core systems and eliminate manual overhead.