Software-as-a-Service (SaaS) has transformed the technology utilization by the businesses. Since small businesses to multinational corporations, organisations are now opting to use SaaS solutions due to their scalability, affordability, and the ability to access it anywhere. However, the question that tends to arise when developing a SaaS solution is the following: Do you hire a SaaS development agency or a SaaS company?
These two terms are at first sight similar, yet, in practice, play totally different roles in the SaaS ecosystem. Being aware of the difference can enable companies to make a wise choice and select the appropriate partner to suit them.
In this blog, we will dissect the distinction between a SaaS development agency and a SaaS company, discuss the value that each has to offer and why business people in the UK can effectively use the right model.
What Is a SaaS Development Agency?
A SaaS development agency is a service provider that focuses on the creation of custom SaaS products by clients. Agencies specialize in the end-to-end development services, transforming the idea of a client into a full-scale, scalable SaaS application.
The key services of a SaaS development agency are:
- Product discovery & strategy: Workflows, architecture, and product features.
- UI/UX design: Creation of friendly and attractive interfaces.
- Development of custom SaaS: Custom development of applications.
- Testing and Quality Control: This will ensure security, performance and reliability.
- On-going support: Upgrades, bug fixes and support.
In brief, the agencies are technology partners that support in custom SaaS development on behalf of their clients.
What Is a SaaS Company?
A SaaS company, in contrast to an agency, writes its own software product and sells it to the customers as a subscription. Unlike developing software on a client basis, SaaS firms aim at selling and expanding their own applications.
The important features of a SaaS development company:
- Product ownership: They develop, create and support their own SaaS product.
- Subscription model: The revenue is generated through recurrent payments.
- Customer support and onboarding: Assistance with adopting and utilising the product effectively.
- Continuous innovation: Constant changes and new features to compete.
This contains project management software and customer relationship management (CRM) software. Unlike services, SaaS companies do not create unique solutions to customers, as agencies do, but create a single one which can be shared by as many consumers as possible.
The major distinctions between the development agencies of SaaS and their companies
| Factor | SaaS Development Agency | SaaS Company |
| Ownership | Builds SaaS products on behalf of clients | Builds and owns its own SaaS product. |
| Revenue Model | Project fees | Recurring revenue based on subscriptions |
| Focus | Different solutions depending on the requirements of clients | A product with many users and is standardized. |
| Flexibility | High–solutions are configured to customer requirements | Limited–customers have to adjust product characteristics |
| Engagement | Technology partner | works as a product vendor |
What do businesses prefer?
Decisions between a SaaS development agency and a SaaS company require business requirements:
Select a SaaS Development Agency when:
- You are interested in creating a new SaaS-based product.
- Your company requires a tailored application that addresses special issues.
- You do not have an internal development team, and you require continuous assistance.
- You wish to hold on to the product.
Choose a SaaS Company if:
- You require an off-the-shelf SaaS (CRM, HR system, project tracker).
- You do not want to spend time or budget on developing it custom.
- You are okay with being flexible with a product already existing.
- You have a need to have a quick deployment with limited setup.
The reason why UK Businesses tend to prefer Agencies
The need to have customized SaaS is on the increase among many startups and businesses in the UK. Ready-made products do not necessarily fit into a particular workflow, compliance, or experiences. This is why a SaaS development company in UK can be of greater value. 
Benefits of working with a SaaS development agency in UK such as Noukha Technologies, include:
- Construct products based on their target market.
- Make sure that it is scalable and meets UK/EU standards (e.g., GDPR).
- Secure a committed technological team and no hiring expenses.
- Keep up with constant innovation and encouragement.
The flexibility is particularly useful to startups that want to launch new SaaS business and enterprises that are seeking to modernize internal systems.
The way Noukha Technologies can fill the void:
At Noukha Technologies, we do not consider ourselves a mere SaaS development firm, but we are a strategic partner to UK business.
Our approach includes:
- The validation of ideas and MVPs to start-up firms in the SaaS market.
- Enterprise-specific SaaS product development.
- Scalable, future-ready apps developed on the cloud.
- Software services, discovery to deployment and maintenance.
This is what makes Noukha the appropriate option to those businesses that would wish to possess their product but use agency expertise to accelerate development and minimise risks.
Value of selecting the appropriate model over a long period:
The distinction between a SaaS development agency and SaaS company may not appear to be such a big deal, yet the difference in the long-term effect is enormous. 
The SaaS type of work is the most suitable to work with in terms of fast implementation of standardized tools.
Hiring a SaaS development agency would be best in case you prefer to own the intellectual property, develop new features, and match technology to your brand vision.
In the case of UK enterprises, startups and entrepreneurs, the correct decision will be determined by whether the emphasis is on speed of adoption or ownership and innovation.
Conclusion
Knowing the difference between a SaaS development agency and SaaS company allows businesses to make better decisions and get out of the confusion. Although SaaS firms deliver ready-to-use services, companies such as Noukha Technologies can give business organisations the chance to develop tailor-made SaaS applications that can be differentiated in competitive markets.
In the case of businesses in the UK, making a decision on the correct partner may be the difference between merely applying technology and owning innovation. Noukha Technologies – SaaS development company in UK, with extensive experience in the development of SaaS solutions for enterprises, develops scalable, secure, and future-friendly products that suit their objectives.
FAQs
- How does a SaaS development agency differ with a SaaS company?
A SaaS development firm develops custom SaaS applications on behalf of clients, and a SaaS firm develops and markets its own subscription based SaaS product. The decision that should be made by the UK businesses is whether they require a customized solution or an already made tool. - Why is it necessary to recruit a SaaS development agency in the UK startups?
A SaaS development agency is advantageous to UK startups since it provides an end-to-end SaaS product development, scalability, GDPR compliance, and support, thus assisting new enterprises and their deployments to develop quicker with secure and tailored solutions. - In which situations must enterprises select a SaaS or an agency?
When a company requires off-the-shelf SaaS software such as CRM software, HR software, wants to deploy it quickly, and wants to pay a minimal initial cost without creating a custom product, it should choose a SaaS company. - What are the value added services of SaaS development in UK to businesses?
The UK SaaS development services assist businesses by providing custom cloud apps, enhancing operational efficiency, ensuring adherence to the UK/EU regulations, as well as providing long-term scalability and innovation. - Which is preferable to UK businesses SaaS development agency or SaaS company?
The decision will be based on the requirements of the business: a SaaS development agency in the UK will be suitable to those companies that require the ownership and the opportunity to customize their software, whereas a SaaS company would be appropriate to those companies that need ready-made software on the basis of subscription.
