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Summary of Cost Comparisons
Detailed cost analyses available upon request
Please note: these costs estimates represent the expenditures necessary to create an entire website, including the online functions and programs equivalent to the base Source offering. The estimates do not include modifications, improvements, or customization costs. Moreover, adding selected Source programs or functions to an existing website will cost less.
Source offers cost-effective, profitable online programming available to medical supply and managed care companies. Unlike most software and web development companies-Source has direct experience in both industries. We understand that these are low margin businesses, and that capital investments must be priced accordingly. Source pricing is customized to a company and its needs, but is generally characterized by low up-front costs and fair, manageable monthly fees.
Developing software and websites internally, or hiring a traditional website development company, will result in extremely high up-front costs. Purchasing a generic template, or cookie-cutter solution, will result in failure. That's why Source is a rational choice: our products are designed to work in your industry, and priced to increase your profits.
| In-House Development |
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Costs year 1: |
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$376,480 |
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Costs per annum years 2-3: |
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$250,200 |
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Initial investment approximately: |
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$150,000 |
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Advantages: custom design to your specifications. |
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Disadvantages: high up-front costs, expensive long term, up to 24 months to launch, requires hiring and managing a minimum 2 FTE and 2 PTE. Heavy costs to client whether system succeeds or fails. |
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| Out-Source with Mainstream Web Developer |
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Costs year 1: |
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$243,666 |
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Costs per annum years 2-3: |
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$162,700 |
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Initial deposit: |
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$121,733 |
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Advantages: Less expensive than in-house. Professional quality work. |
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Disadvantages: high up-front costs, minimum 9-12 months to launch, management burden, improvements/changes (not included in this estimate) extremely expensive. Project management and communication with programmers not familiar with your industry difficult. Significant costs to client whether system succeeds or fails. |
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| Off-the-Shelf Product |
| (Based on one of the least expensive, professional offerings by an industry leader) |
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Costs year 1: |
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$154,859 |
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Costs per annum years 2-3: |
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$139,777 |
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Initial cost approximately: |
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$40,000 |
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Advantages: Less expensive than in-house or out-source. |
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Disadvantages: Site will lose money. Catalog/content only with no functions, no flexibility. Significant hiring burden to manage the system. Large costs to client whether system succeeds or fails. |
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| Source Healthcare Systems |
| This estimate is calculated for a medium sized medical supply company, with annual revenue of approximately $20 million, for Source's basic package. |
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Costs year 1: |
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$75,500 |
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Costs per annum years 2-3: |
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$60,000 |
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Initial cost approximately: |
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$12,000 |
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Advantages: Lower up-front costs. Designed specifically to function in medical supplies and managed care industries. Proven track record. Source shares financial risk with client. Comprehensive training and support. Source personnel help to manage system, reducing hiring and management burdens. |
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Disadvantages: Less control than with in-house project. |
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