How to Estimate the Cost of Hiring Odoo Developers

In today’s fast-paced digital world, businesses are constantly seeking solutions that streamline operations, enhance productivity, and improve customer satisfaction. Among enterprise solutions, Odoo has emerged as one of the most flexible and cost-effective ERP (Enterprise Resource Planning) platforms available.

However, while the platform itself is open-source and budget-friendly, the real challenge lies in hiring skilled developers to implement and customise Odoo according to your business needs. Estimating the cost of hiring Odoo developers can be tricky because it depends on several factors, from the project’s complexity and the location of developers to the specific skills and experience required.

In this detailed guide, we’ll break down everything you need to know about the cost of hiring Odoo developers, including influencing factors, pricing models, average rates, and tips to optimise your budget.

Understanding Odoo and Its Business Value

Before discussing costs, it’s essential to understand what makes Odoo such a powerful choice for modern enterprises.

Odoo is an open-source ERP system that offers a comprehensive suite of applications covering key business operations, including accounting, CRM, HR, inventory, eCommerce, manufacturing, and project management. Its modular architecture allows companies to choose and customise specific modules according to their needs.

Whether you are a small startup or a large enterprise, Odoo can be tailored to fit your scale and requirements. But to unlock its full potential, you need developers who can customise, integrate, and maintain your Odoo environment efficiently.

Key Roles of Odoo Developers

An Odoo developer does far more than just code. Their role typically involves:

• Custom Module Development: Building or modifying Odoo modules to match your business workflows.

• Third-Party Integrations: Connecting Odoo with other platforms such as Shopify, Salesforce, or payment gateways.

• Backend Development: Customising backend logic using Python and PostgreSQL.

• Frontend Customisation: Enhancing the UI/UX using HTML, CSS, and JavaScript for a seamless user experience.

• Odoo Migration: Upgrading from older versions of Odoo to the latest release while preserving data integrity.

• Support & Maintenance: Regular system monitoring, bug fixes, and performance optimisation.

Depending on your business requirements, you may need a single Odoo developer or an entire team of specialists, and this directly affects the hiring cost.

Factors That Influence the Cost of Hiring Odoo Developers

Let’s look at the major factors that determine how much you’ll need to spend.

1. Developer Experience and Skill Level

Experience is one of the most critical determinants of cost.

• Junior Developers (0–2 years): Usually handle small customisation tasks or module configurations. Their rates are the lowest, but they may require supervision.

• Mid-Level Developers (2–5 years): Skilled in both backend and frontend development. Ideal for moderate customisation and integration tasks.

• Senior Developers (5+ years): Experts in architecture design, advanced customisation, and complex integrations. They cost more but deliver higher-quality results with minimal errors.

Typical Hourly Rates:

• Junior: $20–$35/hour

• Mid-Level: $35–$60/hour

• Senior: $60–$100/hour or more

2. Hiring Model: Freelancer vs Agency vs In-House

Your choice of hiring model also plays a major role in cost estimation.

Freelancers

• Pros: Cost-effective, flexible, easy to find.

• Cons: Limited accountability, inconsistent communication, and risk of project delays.

• Best For: Small businesses or short-term projects.

Average cost: $25–$60/hour

Odoo Development Agencies

• Pros: Provide a complete team (developers, testers, project managers), ensure quality and timely delivery.

• Cons: Slightly higher rates compared to freelancers.

• Best For: Medium to large projects requiring scalability and long-term support.

Average cost: $50–$120/hour

In-House Developers

• Pros: Full control, continuous support, faster communication.

• Cons: Requires salary, benefits, workspace, and training.

• Best For: Companies with ongoing ERP customisation or multiple Odoo projects.

Estimated monthly cost: $4000–$8000 per developer (depending on region and experience)

3. Developer Location

Location significantly impacts cost due to regional variations in labour rates.

If cost optimisation is a priority, India and Eastern Europe are top destinations for hiring skilled Odoo developers at reasonable prices.

4. Project Complexity

The more complex your project, the higher the cost. For example:

• Basic Setup and Configuration: Installing and setting up default Odoo modules — around $1000–$2500.

• Custom Module Development: Creating new features or modifying existing ones — $2000–$8000+.

• Full ERP Implementation: End-to-end setup, integration, training, and support — $15,000–$100,000+, depending on the business size.

• Migration and Integration Projects: Linking Odoo with third-party systems or migrating from an older version — $5000–$20,000.

Each feature and integration adds development hours, directly influencing the overall cost.

5. Project Duration and Scope

A small business might only need 100–200 development hours, while a large enterprise ERP can require over 1000+ hours. Hence, before hiring, define your project’s scope, timeline, and expected deliverables clearly to estimate the budget accurately.

6. Ongoing Maintenance & Support

Even after deployment, you’ll need continuous support to ensure your Odoo system runs smoothly.

• Basic maintenance packages may start at $300–$800/month.

• Comprehensive support plans can go up to $2000/month or more, depending on the SLA and coverage.

Investing in maintenance prevents downtime and ensures consistent performance, ultimately saving you money in the long run.

Odoo Developer Hiring Models and Cost Examples

Let’s break down a few practical cost scenarios to understand the financial aspects better.

Scenario 1: Small Business (Basic ERP Setup)

• Need: Configure standard modules like CRM, Sales, and Accounting.

• Developer Type: Mid-level freelancer.

• Duration: 100–150 hours.

• Estimated Cost: $3000–$7000 total.

Scenario 2: Medium Enterprise (Custom Modules + Integration)

• Need: Custom module development + integration with Shopify or payment systems.

• Developer Type: Agency team (2 developers + 1 PM).

• Duration: 300–500 hours.

• Estimated Cost: $15,000–$30,000 total.

Scenario 3: Large Enterprise (Full ERP Implementation)

• Need: Multi-department ERP with advanced analytics, migration, and 24/7 support.

• Developer Type: Senior Odoo developers or a dedicated in-house team.

• Duration: 1000+ hours.

• Estimated Cost: $70,000–$150,000+ total.

These numbers vary based on your chosen region and complexity, but offer a good baseline for estimation.

How to Estimate Odoo Developer Cost for Your Business

Here’s a simple step-by-step approach to building an accurate budget:

1. Define Requirements Clearly – List all modules, features, and integrations you need.

2. Estimate Work Hours – Consult with Odoo experts to determine total development hours.

3. Choose a Hiring Model – Decide between freelance, agency, or in-house options based on project duration.

4. Compare Regional Rates – Outsourcing to cost-efficient locations like India can significantly reduce costs.

5. Add Maintenance Budget – Don’t forget ongoing support and updates.

6. Include Contingency Costs – Add a 10–15% buffer for unexpected changes or additional requirements.

Example formula:

Total Cost = (Hourly Rate × Total Hours) + Maintenance + Contingency

Ways to Optimise Odoo Development Costs

While quality should never be compromised, there are smart ways to control costs:

• Use Odoo Community Edition if you don’t need advanced enterprise features.

• Hire from trusted offshore agencies to reduce labour expenses.

• Adopt an agile development approach — prioritise must-have features first, then scale.

• Leverage pre-built Odoo modules instead of developing everything from scratch.

• Request detailed quotes from multiple developers before signing contracts.

• Invest in clear documentation to minimise miscommunication and rework.

Benefits of Hiring Professional Odoo Developers

Working with certified and experienced Odoo developers ensures you get:

• Seamless Customisation aligned with your business needs.

• High Code Quality and maintainable architecture.

• Reduced Downtime due to proactive support and monitoring.

• Improved Scalability — Odoo can grow with your business.

• Enhanced Security through best development practices.

Although it might seem costly upfront, a professional development approach delivers strong ROI through improved performance and long-term savings.

When to Choose an Odoo Development Partner

If your project involves multiple departments, complex workflows, or enterprise-level integration, hiring individual freelancers may not be enough. This is where partnering with an Odoo development company like AV Technosys makes sense.

AV Technosys specializes in:

• Custom Odoo ERP implementation and module development

• Odoo migration and API integrations

• Odoo support, hosting, and maintenance

• Tailored solutions for manufacturing, retail, logistics, healthcare, and eCommerce

By working with a professional Odoo team, you ensure your ERP solution is scalable, future-ready, and optimised for your business processes.

Conclusion

Estimating the cost of hiring Odoo developers requires a careful balance between quality, expertise, and budget. Factors like developer location, experience level, hiring model, and project complexity all influence the final price.

For startups, hiring a freelancer or offshore developer can keep costs low. For growing enterprises, partnering with an Odoo development agency offers better scalability, reliability, and long-term ROI.

Ultimately, the key to success lies in defining your goals clearly, setting realistic expectations, and choosing the right team that aligns with your vision.

If you’re ready to implement or scale your Odoo system, AV Technosys can help you get started with transparent pricing, expert developers, and end-to-end project management.

FAQs: Estimating the Cost of Hiring Odoo Developers

1. How much does it cost to hire an Odoo developer?

The cost to hire an Odoo developer typically ranges between $25 to $100 per hour, depending on the developer’s experience, location, and project complexity. Freelancers from regions like India and Eastern Europe offer cost-effective solutions, while agencies or senior developers in the US and Western Europe may charge higher rates.

2. What affects the cost of Odoo development the most?

The main factors influencing Odoo development costs include developer experience, project size, customisation level, integration requirements, and ongoing maintenance. The more complex and tailored your ERP setup, the higher the overall cost will be.

3. Should I hire a freelancer or an Odoo development company?

If your project is small or short-term, hiring a freelancer can be cost-effective. However, for large-scale or long-term Odoo implementations, it’s better to work with a professional Odoo development company that offers a team of experts, including project managers, developers, and testers, ensuring timely delivery and quality assurance.

4. How long does it take to implement Odoo ERP?

The implementation time varies widely based on project complexity.

• Basic setup: 2–4 weeks

• Medium-level customisation: 2–3 months

• Full ERP with integrations: 4–6 months or more
  Timelines can be shortened with experienced developers and clear project documentation.

5. How can I reduce the cost of Odoo development?

You can reduce Odoo development costs by:

• Outsourcing to regions with competitive developer rates (like India).

• Using pre-built Odoo modules instead of developing new ones from scratch.

• Starting with essential features first and scaling later.

• Choosing the Odoo Community Edition if you don’t need advanced enterprise features.

• Hiring experienced developers who can deliver efficiently without rework.