Build vs. Buy: Loan Origination Software

In this blog, we’re going to reveal the cast-iron way of building or buying LOS and (hopefully) clear up any confusion you have.

But before that, we’ll take a deep dive into the advantages and dis-advantages of building software or buying software and what are the major points you should consider before deciding.

To get started, either use the contents to flick through or get scrolling 👇

Having effective loan origination software is essential in the highly competitive financial services industry. Processes may be streamlined, customer satisfaction raised, and regulatory compliance strengthened with the correct software. Businesses frequently have to choose between developing a unique solution or purchasing an already-existing one when obtaining this technology. To assist you in making a decision, this article examines the advantages and disadvantages of each alternative.

The Build Option - Loan Origination Software (LOS)

Advantages of Building Custom Software

1. Tailored Solutions: Custom Software is created specifically to address your company's demands. This guarantees that every feature and functionality is precisely in line with your business processes.
2. Scalability: Custom software can be adjusted and upgraded to meet new needs and handle heavier demands as your company expands.
3. Competitive Advantage: Having original software can provide you an advantage over rivals who use off-the-shelf alternatives.

Challenges of Building Custom Software

1. High Development Costs: Developing software from scratch up requires a large investment of funds for resources, such as hiring project managers, developers, and testers.
2. Extended Time to Market: Custom software development takes time. Your time to market may be delayed as it may take several months or even years to complete.
3. Updating and Maintenance: To keep the software operating efficiently and securely, regular updates and ongoing maintenance are required, which raises the overall cost.

The Buy Option - Loan Origination Software (LOS)

Advantages of Buying Off-the-Shelf Software

1. Lower Initial Costs: Compared to designing a custom solution, purchasing pre-existing software is typically less expensive. Numerous suppliers have variable price structures, such as plans that are subscription-based.
2. Faster Implementation: Pre-made software can be swiftly installed, enabling you to begin using the new system right away.
3. Proven Solutions: Commercial software programmes usually come with regular upgrades and support from the vendor, and are thoroughly tested and dependable.

Challenges of Buying Off-the-Shelf Software

1. Limited Customisation: Pre-built software could not be exactly what your company requires, which could result in functional compromises.
2. Problems with Scalability: Certain off-the-shelf solutions might not grow with your company as it expands, necessitating extra investments.
3. Dependency on Vendor: It might be dangerous to rely on a third-party vendor for updates and support, particularly if the seller stops selling the product or closes down.

The Buy & Build Option - FastBoard Loan Origination Software (LOS)

Advantages of FastBoard Loan Origination Software

1. Customization with Speed: FastBoard combines the benefits of custom software with the rapid implementation of off-the-shelf solutions. You can quickly deploy and then customize the software to fit your unique business needs.
2. Cost-Effective: It offers a balance between cost and functionality. You avoid the high development costs associated with building from scratch while still achieving a tailored solution.
3. Scalability and Flexibility: FastBoard is designed to grow with your business. Its scalable architecture ensures it can handle increasing demands as your company expands.
4. Proven Technology: FastBoard leverages pre-tested components, ensuring reliability and reducing the risk of bugs and issues.
5. Vendor Support: Enjoy continuous support and updates from the FastBoard team, ensuring your system remains up-to-date with the latest features and security enhancements.

How FastBoard Demystifies LOS Cost

Now that you are aware of all the important aspects of building or purchasing a LOS, it is time to talk more about how we can help reduce those risks and guarantee that you receive reliable software at the most competitive cost.

Check out the table all the key pointers at a glance and see a detailed breakdown underneath 👇

Cost Effective -

If you need loan origination software, FastBoard is a more affordable option than building the software yourself, working with a development company, or purchasing pre-made software. You can take advantage of a hybrid approach with FastBoard, which blends the cost-effectiveness of off-the-shelf solutions with the customisation of in-house development. Our skilled group of financial and development professionals guarantees that your software is customized to your exact specifications without the exorbi

tant prices and protracted lead times connected with internal initiatives. We provide reasonable pricing and a streamlined development process, which lowers overhead and project management costs in comparison to typical development companies. Furthermore, our solutions are created to be flexible and expandable, doing away with the drawbacks of ready-made, generic software. FastBoard offers a sensible, economical method that minimizes risk and expenditure while maximizing value.

Maintenance & Support -

When it comes to maintenance and support, using FastBoard is superior to using in-house teams, regular development companies, or pre-made solutions in a number of ways. With a focus on your specific software requirements, FastBoard offers committed, knowledgeable assistance that guarantees top performance and security. FastBoard is completely focused on your loan origination software; in contrast to in-house teams, which could find it difficult to manage conflicting goals and resource limitations, we provide proactive monitoring, timely updates, and swift issue resolution. While development organizations frequently manage several clients at once, which could cause delays, FastBoard ensures committed attention and prompt response times. While ready-made solutions might not allow for as much customisation as you would like, FastBoard provides flexible support plans that can change to meet your changing company demands. This guarantees that your software stays up to date and perfectly in line with your objectives.

Security & Privacy -

Compared to in-house development, development agencies, or ready-made solutions, selecting FastBoard offers clear advantages in terms of security and privacy in loan origination software. FastBoard specializes in developing safe, legal software that satisfies the exacting standards of the financial sector. Our committed staff keeps an eye on security procedures and changes them often to safeguard sensitive information from new and emerging threats. In contrast to internal teams or generalist development organizations, FastBoard offers industry-specific knowledge, guaranteeing that your software not only satisfies but surpasses legal requirements. Furthermore, our solutions go far beyond the frequently insufficient and generic security features available in off-the-shelf goods since they are designed with privacy in mind and incorporate strong encryption and access controls from the ground up. This all-inclusive strategy guarantees that your loan origination procedures are very safe and effective, providing you and your customers peace of mind.

Own your code -

Partnering with FastBoard to own your code has clear benefits over developing internally, using traditional development companies, or buying pre-made solutions. You may have complete control over a custom solution that is made just for your company's needs with FastBoard, all without having to deal with the hassle of managing an internal staff or the drawbacks of a generic product. Our knowledgeable staff makes sure your software is safe, up to date, and expandable, providing you a competitive advantage. In contrast to development firms that might not fully comprehend your particular needs or pre-made solutions that aren't customized, FastBoard offers committed assistance, ongoing upgrades, and a collaboration that is centered on your long-term success. With this strategy, you can be sure that you own a solution that grows with your company and offers unparalleled flexibility and a competitive edge.

Customization -

FastBoard customization is superior to in-house, development agency, and off-the-shelf solutions due to its unique blend of speed, flexibility, and cost-efficiency. Unlike in-house development, which requires significant time and resources, FastBoard offers rapid deployment with the ability to tailor features to specific business needs. Compared to development agencies, FastBoard eliminates the risk of extended timelines and high costs while ensuring robust, enterprise-grade quality. Additionally, it surpasses off-the-shelf software by providing scalable, customizable solutions without compromising on implementation speed or initial cost benefits.

Fast Upgrade -

FastBoard "Fast Upgrade" feature outshines in-house, development agency, and off-the-shelf solutions by offering seamless updates that align with the latest norms and policies. Unlike in-house development, which can be slow and resource-intensive, and unlike agency solutions that may require lengthy update cycles, FastBoard ensures timely and consistent upgrades. Additionally, compared to static off-the-shelf software, FastBoard provides dynamic and customizable updates, ensuring your loan origination software remains compliant and ahead of industry standards without disruption.

Readymade Integration -

Readymade integration, such as the FastBoard solution, outperforms in-house development, development agencies, and off-the-shelf products by offering a seamless blend of customization and quick deployment. It eliminates the high costs and long timelines associated with building from scratch or through agencies while providing greater flexibility and tailored functionalities compared to generic off-the-shelf software. Additionally, FastBoard proven technology ensures reliability and scalability, along with continuous vendor support, ensuring your system stays updated and secure.

A/B Testing -

A/B Testing offers a distinct advantage over in-house development, development agencies, and off-the-shelf solutions for Fastboard by enabling a data-driven approach to optimization. Unlike in-house development, which can be time-consuming and resource-intensive, A/B Testing allows for rapid experimentation and iteration, ensuring only the most effective changes are implemented. Compared to development agencies, A/B Testing provides greater control and flexibility, allowing Fastboard to make precise adjustments based on real user behavior without the need for extensive third-party involvement. Additionally, while off-the-shelf solutions may offer quick fixes, they lack the customization and specificity that A/B Testing delivers, ensuring that enhancements are uniquely tailored to the Fastboard audience. By continuously testing and refining, Fastboard can achieve superior performance and user satisfaction, ultimately driving better results and a more competitive edge in the market.

Data Access Control -

Data Access Control stands out as the superior choice compared to in-house, development agency, and off-the-shelf solutions for managing website security and data integrity at FastBoard. Unlike in-house solutions that require significant time and resources to develop and maintain, Data Access Control offers a streamlined, efficient approach that ensures quick implementation and consistent updates. Compared to relying on a development agency, Data Access Control provides greater autonomy and flexibility, allowing FastBoard to adapt security measures swiftly in response to evolving threats without dependency on external schedules or expertise. Moreover, off-the-shelf solutions, while convenient, often lack the customization needed to address the unique requirements of FastBoard. In contrast, Data Access Control can be tailored precisely to the specific needs of the platform, ensuring optimal protection of sensitive information and robust compliance with industry standards. This comprehensive and adaptable approach ensures that FastBoard can maintain the highest standards of security and operational efficiency.

Conclusion

Depending on your unique business objectives, timeframe, and financial constraints, you must decide whether to design or purchase loan origination software. Tailored solutions and scalability are provided by custom software, but the prices and development durations are higher. Conversely, off-the-shelf software can be less customized but offers quicker implementation and cost savings. FastBoard provides both choices, offering ready-made goods and custom solutions to satisfy a range of corporate needs. Select the option that most closely fits your objectives, and FastBoard can assist you in achieving operational excellence in loan origination.