Hire a developer or use a provider: comparing what each one actually buys
Comparisons8 min read
Hire a developer or use a provider: comparing what each one actually buys
A gross salary on one side, a monthly invoice on the other. The two numbers look alike, so people conclude, and they conclude wrong. The nine lines of a full hiring cost, what each option really buys, and the variable nobody puts in the table.
The comparison is nearly always made badly, and always the same way: a gross salary on one side, a monthly invoice on the other. The two numbers look alike, so people conclude. Except they do not measure the same thing.
A provider's invoice contains everything: working time, tooling, management, the holidays of whoever produces, the cover when they are ill. A gross salary contains only part of the cost of an employee, and the missing part is rarely small.
We will not give you an average figure here, because an average figure does not describe you. Employer contributions, seniority, region, company size and benefits change the result so much that a national average fits nobody. What we give below is the list of lines to add up, so you can compute your own.
02
What a hire gives you that a provider never will
Let us start with what argues against us, because it is real and no agency will tell you.
An employee accumulates domain knowledge that is invoiced nowhere. After a year they know why that odd rule exists, which client asked for what, and what went wrong last time. That memory is an asset, and it belongs to the company for as long as the person stays.
An employee is also continuously available and can be redirected in real time. You can interrupt them, change their day, ask for an opinion in passing. No external contractual model reproduces that properly, and pretending otherwise would be lying to you.
03
What a provider gives you that a hire will not
The first point is the most concrete, and the most underestimated: breadth of skills.
A product needs front end, back end, infrastructure, design and sometimes a little data work. One person rarely covers all of that at the same level, so you end up topping up with freelancers, and therefore coordinating. A provider brings those skills as a set, and switches between them as the request of the moment requires.
The second point is the symmetry between starting and stopping. You start when you want and you stop when you want. A hire does not have that property: getting in takes months and getting out is expensive, in money and in energy.
“A hire is a two-year bet. A subscription is a decision retaken every month. Both are defensible, they simply do not commit the same thing.”
04
The real deciding factor: time to the first line of code
If you could only look at one variable, it would be this one. It is decisive and almost never appears in the comparison table.
01
Time to hire
Writing the posting, screening, interviewing, agreeing terms, waiting out a notice period. That is months, not weeks, and you do not spend them building your product. You spend them recruiting, which is a different job.
02
Time to onboard
However good they are, someone arriving has to learn your code, your tools, your business. The first weeks produce little, which is normal, and they are a load on whoever supports them.
03
The risk that it does not work out
A probation period that ends resets the counter. That risk is real and it can be quantified: add the time already invested to the time you will have to invest again.
Against that, a provider starts within the week. This is not a sales argument, it is a difference in kind between buying capacity and employing a person.
It is exactly the logic of senior technical reinforcement: you close a gap now, without prejudging what you will build in house later.
05
The grid to fill in, with your own numbers
Here are the lines to add up on each side. Do it with your real amounts rather than an average found online, because the result will differ a lot from yours.
On the provider side, the list is two lines: the monthly invoice, and the third-party costs that stay yours, hosting and licences. If there is a third line, ask which one before signing.
What each option actually buys
On
Hiring
Provider on subscription
Start
Several months
A few days
Skills covered
Those of one person
Those of a team
Domain knowledge
Accumulates and stays with you
Gets documented, but stays shared
Stopping
Slow and costly
Immediate
Management load
Yours to carry
Carried by the provider
Cost predictability
Variable, several lines
One known monthly amount
06
The hybrid case, which is the most common
The question is almost always framed as a final choice. In practice most companies do both, in a particular order.
They produce with a provider first, because they need to move now and the product is not settled yet. Then, once the workload becomes continuous and predictable, they hire, often starting with someone who takes over what was built. The provider then moves to a support role, or stops.
The reverse happens too, and it goes badly: hiring one person alone on a product that is too broad, then topping up in a hurry with poorly coordinated freelancers. The cost never appears on a budget line, it appears in the delay.
Frequently asked
What we get asked most often
Three questions that come up when the decision is live.
Does a salaried developer cost less than a provider?
Sometimes, and only if you have enough to keep them busy full time all year. The calculation changes as soon as the workload is uneven: an employee is paid twelve months out of twelve, including the months the product does not need to move. Run the nine lines above with your real amounts, because the answer depends entirely on your situation.
Can you start with a provider and bring it in house later?
Yes, and it is the most common trajectory. The only condition is contractual: the code, the designs, the documentation and the access must be yours from the first deliveries, not from the moment you announce you are leaving. Ask before signing, because the answer will also tell you a lot about the provider.
How do I know whether my need justifies a full-time role?
Look at the last six months rather than the next six. If you had had someone full time, what would they have done each week? If you struggle to fill the weeks, your need is real but uneven, and a permanent role will make it more expensive, not less.
07
Asking the question in the right order
Hiring or outsourcing is not a question of price, it is a question of timing. A provider gives you capacity now and the freedom to stop. A hire gives you memory and availability, in exchange for a delay and a commitment.
If you are hesitating, start with the one that is easy to undo. You can always hire in six months with a product that has moved forward, and a far clearer idea of the profile you actually need.
“Choose the reversible option first. It leaves you the right to be wrong, which the other one does not.”