How Much Does It Cost to Build a Custom LMS? 


The online education industry is growing at an astounding rate which has further resulted in the exponential rise of the LMS industry that’s anticipated to clock $40.95 billion by 2029 from $16.19 billion in 2022.

Triggered by the global COVID-19 outbreak, more educational institutions and businesses are embracing eLearning and turning to a custom LMS to train their target learners.

Every organization is different and has its own eLearning needs. Thus, the ultimate goal of building a custom LMS from scratch is to meet the specific eLearning needs of an organization and bolster learners’ experience.

If you’re an educational institution or corporate entity looking to custom LMS development, the next important thing to determine is the cost to build a custom LMS for your organization.

Here, we will discuss the key advantages of a custom LSM and all key factors that influence the cost of custom LMS development.

A Quick Glimpse at the Market Usage of LMS

Here are the stats that prove the immense growing popularity of LMS among educational institutions and corporate organizations.

  • A whopping 70% of learning and development (L & D) departments used an LMS for their training programs in 2020.

  • 2021 survey highlighted that 98% of large organizations, 96% of midsize organizations and 80% of small organizations use an LMS to deliver their training.

  • According to Statista, 75% of universities in Latin America use an LMS.

Advantages of a Custom LMS for Your Organization

Let’s now take a look at the benefits that you will come across by investing in custom LMS development for your organization.

  • Cost-effectiveness: It helps save costs in the long run.

  • Complete control: You only invest in what you truly need and get control over features and future updates.

  • Fully customized learning experience: You can provide targeted learning.

  • Easy to scale: You can add more functionalities as you evolve.

  • Easy integration: It enables hassle-free integration with existing systems within an organization.

  • Highly secure: Rather than relying on a third-party solution, a custom-built LMS is typically highly secure from malicious actions and unauthorized access.

Moreover, you can use a custom LMS internally as well as offer as a service. Now, let’s look at what factors come into the play to determine the cost of building a custom LMS.

How Much Does It Cost to Build a Custom LMS?

It is challenging to exactly figure out the cost of developing a custom LMS as there are many elements that contribute to the final cost.

  • Design

It takes a considerable amount of time and money to build a tailored user-friendly design. This requires engaging with skilled UI/UX designers to deliver custom learning experiences to target learners.

  • Features and Functionality

As the number of desired features and functionality increases, so does the ultimate cost to build a custom LMS. It’s ideal to build an MVP of your custom LMS with the core features and then scale as your organization evolves.

  • Targeted Platforms

The major platforms are Android, iOS and web. Each platform needs a different tech stack. Be ready to pay more with native application development approach.

  • Development Team

For end-to-end custom LMS from design to deployment and maintenance, you need a full-scale dedicated team of tech specialists that feature:

  1. Business analyst

  2. Designer

  3. Back-end developer

  4. Front-end developer

  5. Project manager

  6. Quality assurance specialist

  7. DevOps engineer

If the project is complex, you need a highly proficient and experienced development team. So, the development’s expertise and experience level influence the cost of your LMS development project.

Moreover, building an in-house development team is more expensive than working with an offshore dedicated development team. With offshore remote developers from IT companies, you won’t have to bear infrastructure and training costs.

The vendor will onboard be vetted and expert-trained developers who are already armed with the needed infrastructure to get started with your project.

  • Other Factors

There are many hidden expenses that come along with custom LMS development such as hosting, custom course creation and maintenance.

Partner With InfoStride for the Development of a Custom LMS

InfoStride provides end-to-end custom product development and consultancy to businesses across different verticals including the education sector. Our mature developers have extensive experience in custom LMS development.

We can support you in the development of an end-to-end custom LMS from technology consultation to support and maintenance.

We take time to understand your organization objectives and target audiences before getting into action. With us, you can hire developers or assemble a dedicated development team with flexible and affordable engagement models to choose from.

To learn more about our approach or talk with our experts, share a few details of your project today to get started!


Creating a custom LMS for your organization in today’s scenario has numerous invaluable advantages. For organizations – be it an educational or corporate entity, a custom-built LMS ensures top-notch security and complete ownership over the features.

We hope that our post helped you get an idea of the cost to build a custom LMS for your organization.

No doubt, custom LMS development from scratch is tricky. But it becomes easier when you engage with the right development team supporting the development process from the beginning.


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