Size matters. At least, when we are talking about IT vendors. Does your potential software development partner have enough people and technical expertise to handle your project? Can they be flexible enough to meet your needs? Will they be able to help you scale up your engineering team? In this article, we are going to discuss the benefits and drawbacks of each size category of custom software development companies and see how they compare. In addition, we are going to provide you with a list of IT vendors of different sizes you can potentially partner with.
To create this list of top IT vendors, we conducted research across rating platforms and reviewed the websites of the top-ranked companies. It helped us collect the client reviews, see what types of projects they work on, and what their value offer is.
The list comprises 15 companies grouped into three categories:
- Large software companies with over 1,000 specialists;
- Mid-size tech companies with 250 to 999 experts;
- Small tech companies with 50 to 249 employees.
All the selected vendors have at least 20% of their services dedicated to custom software development, and they all have reviews on Clutch.
Large software development companies
Typically, big companies employ over 1,000 experts. They have diversified experience across many industries paired with operational maturity. These types of companies have vast talent pools consisting of experts that have both technical expertise and industry domain knowledge, which makes it easier for you to find people who match your project requirements perfectly. Naturally, larger companies with recognizable names are more expensive. But let us take a closer look at their advantages and disadvantages.
What large software companies excel at:
- Enough resources to scale up almost immediately. Unlike small tech companies, such vendors have enough human capital, to expand their teams rapidly.
- Renowned employer brand. Many developers are interested in working for a company with a famous name.
- In-depth knowledge of procedures adopted by enterprises. Working primarily with mid-market and enterprise-level clients, such vendors are well-aware of the particular aspects of working with big firms.
- Ability to handle massive projects. With the big pool of experts on board, these vendors can work with projects that involve a large number of experts required.
- A versatile portfolio and expertise. Large companies usually are represented within many markets and across numerous industries.
- Cost of their services. As established brands, large software companies put a hefty price tag on their services. A higher price comes with a higher quality of services, skilled engineers, operational stability, and extensive domain knowledge so it is a worthwhile investment.
- Less attention to small-size clients. If for some reason, they choose to work with small projects, the last one is likely to receive less attention from the vendor. Such companies mostly work with mid-size and large enterprises, and so they focus their attention on these clients.
The larger the company gets, the more likely it is to work with similarly large clients. Such partnerships are lucrative for both parties because of their well-developed business processes, professionalism, and industry experience. These are five large software development companies with over 1,000 experts.
N-iX is one of the top IT vendors in Europe. They specialize in custom software development, mostly working with mid-market and enterprise-level clients. The company has offices across Europe. This IT outsourcing provider has a successful record of driving software development projects for world-known companies like Lebara, Fluke, Origin Enterprises, Currencycloud, and more than 50 other long-term partnerships. The company has a vast talent pool of over 2,000 experts who work with such technologies as Big Data, AI and Machine Learning, cloud solutions, embedded software, and more. Apart from technological expertise, they have strong domain knowledge in such industries as automotive, manufacturing, fintech, and healthcare, to name a few.
N-iX has gained global recognition and numerous industry awards, including such as IAOP Global Outsourcing 100, CRN’s Solution Provider 500, Strategic Sourcing nomination by GSA UK, and EMEA Inspiring Workplaces lists.
With over 1,500 experts employed, this offshore tech vendor assists companies in both custom software development and IoT. Clutch provides feedback from their clients in the US, the UK, and India working in IT, financial, and business services, as well as real estate and healthcare.
This company offers software development services to mid-size and small businesses within multiple industries including automotive, banking and finance, energy, healthcare others.
With over 25 years on the market, (est. in 1991), the company employs over 2,000 professionals and is represented in 11 countries across Europe and North America.
A large software development company that serves mid-size clients (almost half of their customers). This vendor has over 30 offices in 12 countries, providing end-to-end solutions in Big Data, AI, Machine Learning, IoT, DevOps, and experience design. The company serves industries like healthcare, finance, media, and other industries.
With over 2,500 experts employed, this Czech company has development centers in Belarus, the Czech Republic, Slovakia, Bulgaria, and Kazakhstan. This vendor provides nearshore outsourcing services to companies in manufacturing, transportation, energy, telecommunications, etc., providing both development solutions and products for their clients.
Read more on the topic: Top 20 IT outsourcing companies: the list of global leader
Mid-size tech companies
Clutch defines such IT vendors as the ones that employ between 250 and 999 professionals. Pairing the benefits of small and large software companies, they have enough resources and tech expertise to work with well-funded start-ups and large companies. They can successfully handle both product discovery for new projects and long-term cooperation.
- Experience working with clients of all sizes. Serving many companies, from start-ups to enterprises, mid-size tech companies have both understanding of the processes and the competence to handle them.
- Established brand reputation. Qualified specialists are more likely to join a company with a positive employer image and choose more exciting and lucrative projects.
- Ability to scale upon the needs of the clients. Medium-sized software companies have enough experienced developers to extend the team and find additional expertise on demand.
- Well-organized processes. Compared to large software companies, such vendors are more agile in their procedures.
- Limited talent pool. It might be hard for them to instantly assemble a large team (10+).
- Possible lack of stability. Mid-size vendors still lack the financial fortitude of large corporations. If a couple of projects go off the rails, it might cause a destructive chain of events for such companies.
- Talent leaks. Many developers consider medium-sized vendors as a career lift. Most people want to work for large companies because they offer better salaries and have more exciting projects to choose from, which is why mid-size companies often have a problem of high turnover.
Mid-size companies offer a combination of mature business practices and flexibility. They already have some reputation, and they can scale up better than small vendors, but they still retain the problems that can often be seen in smaller companies such as lack of stability and possible talent leaks. Here are 5 service providers with 250 to 999 experts.
Among the top outsourcing companies in Poland, there is a mid-size tech company that has a 20-year history of working with such acclaimed clients as GHS, Verint, NCP, and Pure Storage, and half of their clients are of a mid-market size. The company serves clients in media and publishing, finance, healthcare, retail, and high-tech. This vendor has offices in Poland, Ukraine, and Hungary.
This is a medium-sized software company from Romania that employs over 500 people who specialize in software and web development. Among the top clients of this vendor are NHS, BMI Research, Sdob, and others. The company has been working in multiple industries with a focus on enterprise-level content management applications and e-commerce.
Nearly half of their clients are companies within the enterprise level. Founded back in 2000, this company has worked with Idera, Sencha, and many others. Among the services provided are software engineering, business consulting, as well as IT outstaffing. The top domains this company works in are finance, technology, healthcare, and e-commerce. Their representatives are located in the USA.
Established in 2009 in Qingdao (China), this vendor focuses on delivering solutions to clients in communication and information technology, offering assistance on software solutions and innovative products. Most of their clients are small businesses.
Cyber Infrastructure, Inc.
This Indian tech vendor falls under the category of medium-sized software companies serving their clients in travel and hospitality, retail, automotive, advertising and marketing, and gaming. With over 14 years of experience, Cyber Infrastructure helps companies of a similar size. The company’s portfolio presents broad expertise in multiple areas, as well as numerous certifications.
Small software development companies
This section features small tech companies that employ less than 250 people. Such IT vendors offer lower prices for their services. So if your budget is tight, they are a perfect fit. Of course, the lower the price, the more risks you take in terms of quality of execution. Here are some of the pros and cons of working with small tech companies.
- Lower cost of services. Usually, small tech companies have less experience, so their services are less expensive compared to more reputable companies.
- Enthusiasm. Small software companies need to get clients' attention, so such companies usually go the extra mile to please their clients.
- Flexibility. Due to the limited number of employees, it is easier for small software development companies to change the processes and adjust them to your needs.
- No resources to scale up quickly. In small software companies, human capital is limited, so any increase in the size of a team can be a real challenge.
- Limited experience in business processes. Small tech companies rarely work with large business entities, so their understanding of the procedures can be limited.
- Low recognition of the employer brand. Small software development companies may have a hard time attracting new specialists. People are less likely to join small, little-known companies with no big and lucrative projects behind their belts.
- Financial risks. If one of the projects fails, such IT vendors can quickly go out of business due to the lack of resources to keep them running.
Overall, small software companies have all the strengths and weaknesses you would expect - they are flexible, enthusiastic, and cost-efficient, but they lack experience and are often unstable to rely on completely. Working with smaller companies could be hit or miss, so you must be extra diligent when choosing your potential partner in this category. Check out these five vendors with less than 250 experts.
The Software House
This small software development company from Poland was established in 2012. Having 120 professionals on board, the vendor has been working on over 150 projects for small companies, mainly in financial services, manufacturing, education, etc.
This vendor offers mobile app and custom software development services to clients mostly in the financial sector. Founded back in 2002, this small software company works with clients all over the world in both mid-market and enterprise sectors, with a focus on fintech.
The young company (est. in 2015), Upnetix, provides IT outsourcing in Bulgaria. This vendor specializes in delivering full-cycle software solutions. With over 120 professionals aboard, they have completed 80+ projects for 55 brands all over the world in eHealth, telecommunications, transportation, and other domains.
Established in 2009, this is one of the small software development companies that provide superb tech services to both mid-market and enterprise companies. Since its founding, it has delivered dozens of successful projects to clients in various industries, including entertainment, sports, telecommunication, and more. This IT vendor is ranked particularly high among small-size tech companies.
With over 80 specialists on board, this Czech-based company creates custom solutions for clients in fintech, business analysis, retail, and others. Their website features references from customers in Europe, Canada, and the United States. This is one of the small tech companies that provide services to similar-size clients.
When choosing a software development company, pay attention to both their size, the size of the clients they help, as well as the number of developers they employ. Small software companies are great when your own company is small and you don’t need to hire a large team. Mid-size tech companies offer more flexibility with recruitment and development while still having enough expertise to handle complex projects. Large software companies can offer a wider pool of developers but they might have a respective price tag attached to their services.
Why Choose N-iX as your software development partner?
- N-iX offers 20 years of industry expertise and a talent pool of over 2,000 software developers delivering tech solutions in industries like manufacturing, logistics and supply chain, retail, fintech, and more;
- The N-iX tech expertise spans major technology domains like Cloud, Data Analysis, Big Data, Internet of Things, Business Intelligence, Embedded software development, and more;
- The company established long-term collaborations and partnerships with global market leaders like Fluke, Gogo, Lebara, Currencycloud, and Fortune 500 companies;
- The team adheres to international regulations and security standards, namely, GDPR, ISO 27001:2013, ISO 9001:2015, PCI DSS, and more;
- N-iX is an internationally recognized software development partner that takes leading positions in global rankings like CRN’s Solution Provider 500, IAOP Global Outsourcing 100, and Strategic Sourcing nomination by GSA UK, to name a few.