Software Business

How Much Money Do Software Businesses Make? (2024)

Pat Walls

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Updated: June 23rd, 2024

TL;DR:

Based on our data, software businesses can make between $350-$4,200,000 per month.
The average revenue for a successful software business is $209K per month.
The highest grossing software business in our records makes over $50,400,000 per year.
Software business owners salaries can vary wildly depending on industry, niche, and size of the business

So you're thinking about starting a software business?

And now you're wondering how much software business owners actually make...

Well, let’s dive in!

Here are example of real software businesses and how much money they make - as reported by the founders themselves:

1. Diesel Laptops ($50.4M/year)

Tyler Robertson, founder and CEO of Diesel Laptops, came up with the idea for his business while working at commercial truck dealerships. After seeing the complexity and cost of truck diagnostics, he found a software program in Canada that could make diagnostics easier, and started selling kits on eBay. This side business eventually became Diesel Laptops, a company that offers bundled kits, technical support, and repair information to the diesel industry.

How much money it makes: $50.4M/year

2. HMS ($2.7M/year)

Chris Vandersluis founded HMS Software back in 1984 after securing a contract to create a project management tool and timesheet for Philips Electronics. Through iterations and feedback from both project management and finance teams, Vandersluis and his team developed a unique timesheet system that could serve both purposes, ultimately leading to the creation of TimeControl. HMS Software has grown organically and made between $2 million and $3 million in revenue last year, with a profitable margin of approximately 30%.

How much money it makes: $2.7M/year

3. Barn2 Plugins ($1.44M/year)

Katie and her husband Andy founded Barn2 Plugins in 2009 as a web design shop. They saw the opportunity to transition into a product business and identified gaps in the market by leveraging their insider knowledge of the industry and researching pain points online. They started with their first product, WooCommerce Password Protected Categories, and focused on low-cost, low-risk solutions that could be quickly developed and launched. Through content marketing and targeted advertising, they have been able to attract and retain customers, generating over $100,000 in monthly revenue with their 16 products.

How much money it makes: $1.44M/year

4. Blend ($1.2M/year)

During his work on various API projects, Vaibhav Prakash envisioned an app simplifying e-commerce product photography. Teaming up with Vishwanath Kollapudi and Jamsheed Kamardeen, they launched Blend in 2021, which now ranks among the top three design apps in Southeast Asia, driving over 30% monthly growth.

How much money it makes: $1.2M/year

5. MarsX ($1.2M/year)

The founder of MarsX Inc, a low-code development platform, came up with the idea after experiencing the repetitive and time-consuming nature of building startups. Frustrated with traditional development methods, the founder wanted to create a tool that would simplify the process and allow for the reuse of code. Now, with hundreds of projects on the platform and a dedicated team, MarsX is looking to scale and target a specific market.

How much money it makes: $1.2M/year

6. Modelnet ($1.2M/year)

Dmitry Alentyev came up with the idea for Scrile when he was working part-time as a Java developer and tasked with finding feasible projects in the international market. After the 9/11 terrorist attack affected the international market, Alentyev decided to start his own company and offer custom development orders to clients. Over time, they began to create their first business product, WebVideo, which evolved into the ModelNet platform.

How much money it makes: $1.2M/year

7. Sinry Advice ($1.2M/year)

Sina originally pursued a degree in International Business Management in Malaysia before returning to Iran to work in the import-export business, where he learned about eCommerce and dropshipping. In 2019, a friend introduced him to a unique product opportunity, prompting the launch of an eCommerce store.

Sina's first sale involved a digital product with no manufacturing costs, marking a significant success. This achievement inspired him to create My EA Academy and launch a third business in October 2021, which now earns six figures.

How much money it makes: $1.2M/year

8. Salonist Software ($1M/year)

Neeraj Gupta, the Managing Director of Shrivra and founder of Salonist, came up with the idea for his business after a salon owner approached his IT services company for help with selling services and booking appointments online. Recognizing the challenges faced by the beauty and wellness industry, Neeraj decided to create a comprehensive software solution that would streamline scheduling processes and improve the customer experience. Since its launch in 2017, Salonist has attracted over 10,000 customers worldwide and continues to grow.

How much money it makes: $1M/year

9. Modern Launch ($600K/year)

Cody Benedetto and Ryan Serkes, founders of Modern Launch, started their custom software development company after experiencing success with their own business ventures. Within just three months of launching, they generated over $100k in revenue and have been profitable since their third week in business. Their services include mobile application development, website development, and custom software development.

How much money it makes: $600K/year

10. Six Atomic ($480K/year)

Taime Koe, the CEO of Six Atomic, came up with the idea for his business after recognizing the flaws in the apparel industry's supply chain. He saw the potential for on-demand production, which would allow for personalization and sustainability while reducing inventory risk. Through years of research and development, Six Atomic created automation technology that can create customized patterns and designs for each customer, ultimately leading to a more efficient and profitable supply chain.

How much money it makes: $480K/year