Tuesday, June 25 2024

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Should You Build or License Your Recruitment Technology?

In the fast-paced world of recruitment, agencies are often faced with the pivotal question of whether to build their own technology or opt for licensing solutions. With the advent of low-code platforms, creating a minimal viable platform (MVP) tailored to your specific needs has never been easier or more affordable. However, the decision between building and licensing technology comes with its own set of pros and cons. In this article, we will explore three factors you should consider when making this crucial decision.

The Cost Factor

One of the primary considerations when deciding whether to build or licence recruitment technology is cost. While low-code platforms provide an accessible route to developing an MVP, building technology in-house can become a costly endeavour, especially if your team lacks the required expertise. Typically, you’ll need a team of at least two to three developers and possibly a tester to ensure your platform can be launched within a realistic timeframe. Licensing technology, on the other hand, can be a more cost-effective option. When evaluating costs, also consider the opportunity cost of developing your own platform, which may divert your attention from existing contracts and prospective projects.

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Tailoring to Your Needs

Customisation is a significant advantage of building your own technology. It allows you to tailor the platform to your agency’s specific needs. However, this personalisation comes at a cost in terms of time and ongoing maintenance. In contrast, licensed technology may not offer the same level of customisation but is often quicker to implement and comes with ongoing support. The decision hinges on the balance between your agency’s need for customisation and the time and resources available. 


If your agency foresees significant growth in the near future, scalability is a critical consideration. Building technology in-house can provide you with the flexibility to create a system that can scale with your business. On the other hand, licensing technology can be a more adaptable solution, allowing you to easily upgrade or downgrade your subscription based on your current requirements. This flexibility can be a valuable asset, particularly in a dynamic industry like recruitment.

Ultimately, the decision to build or licence recruitment technology depends on your specific needs, available resources, and long-term goals. To make an informed choice, you may find it helpful to consult with a technology expert or conduct a cost-benefit analysis. Careful consideration of these factors will help you determine the best approach for your agency’s technology strategy. 

AER Temp is a great solution for agencies looking to expand into the temporary recruitment market. View our webinar today or get in touch with our team for a free demo.

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AER Temp
AER Temphttp://www.aertemp.com
AER Temp is a data-driven temporary staffing market management platform, which allows businesses to successfully attract, engage, and retain temporary workers.

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