Technology is no longer a luxury. It is the bloodstream of modern economies. In Bangladesh, the IT and software development industry is not just growing — it’s thriving. With government support, a young skilled workforce, and an expanding digital market, this sector stands as one of the most promising investment opportunities today.
1. Introduction
Bangladesh is moving fast toward becoming a digital economy. The government’s “Digital Bangladesh” vision and Smart Bangladesh 2041 roadmap have unlocked a new wave of opportunities in software, web development, and digital transformation services.
Every bank, hospital, school, and company — from Dhaka to rural towns — now depends on software for daily operations. As a result, the demand for IT and software development companies has grown rapidly, both for domestic clients and international outsourcing.
2. Why Invest in IT and Software Development in Bangladesh
Bangladesh offers a competitive advantage few other countries can match.
| Key Factor | Advantage for Investors |
|---|---|
| Low Operating Cost | Developer salaries and setup costs are much lower than in India or the Philippines. |
| Large Talent Pool | Over 650,000 graduates in IT and engineering fields every year. |
| Government Incentives | Tax holidays, export incentives, and technology park facilities. |
| Strong Export Potential | Software exports have crossed USD 600 million and rising fast. |
| Digital Transformation | Every sector—health, education, finance, agriculture—is adopting digital tools. |
Most important, Bangladesh’s young population (median age 27) is highly adaptable and tech-savvy. This ensures a sustainable workforce for decades to come.
3. Scope of IT & Software Business in Bangladesh
Software companies in Bangladesh serve both local and global markets. The opportunities are vast:
- Custom Software Development – ERP, CRM, HRM, and business automation.
- Web & Mobile App Development – Android, iOS, and hybrid platforms.
- Cloud Solutions – SaaS, PaaS, and remote server management.
- E-Commerce & Fintech Solutions – Payment gateways, e-shops, and online platforms.
- Cybersecurity & Data Management – Security audits, firewalls, and digital risk control.
- AI & Machine Learning Applications – Data-driven innovation and analytics tools.
The domestic demand is rising due to the digitization of banks, schools, and industries. Meanwhile, global outsourcing clients are increasingly turning to Bangladeshi developers for affordable, quality work.
4. Project Summary
| Particulars | Details |
|---|---|
| Project Name | IT and Software Development Company |
| Project Location | Dhaka / Chattogram / Rajshahi / Sylhet |
| Nature of Business | Software Design, Development, Implementation, and Support |
| Target Market | Domestic and International Clients |
| Proposed Capacity | 25 Software Engineers initially |
| Project Cost (Approx.) | BDT 50 million (5 crore taka) |
| Implementation Period | 6–8 months |
| Expected ROI | 30–35% annually |
| Employment Generation | 40+ technical and management staff |
5. Estimated Project Cost (in BDT)
| Particulars | Estimated Cost (BDT) |
|---|---|
| Land & Building (rented office space) | 6,000,000 |
| Interior Decoration & Furniture | 2,500,000 |
| Computer Hardware & Networking Equipment | 8,000,000 |
| Software Tools & Licenses | 3,000,000 |
| Office Equipment & Miscellaneous | 1,500,000 |
| Pre-Operational Expenses | 2,000,000 |
| Working Capital (6 months) | 27,000,000 |
| Total Project Cost | 50,000,000 (5 crore) |
Note: The cost may vary depending on location, scale, and technology stack.
6. Revenue Sources
A well-structured software company earns from multiple channels.
| Service | Description | Average Monthly Income (BDT) |
|---|---|---|
| Custom Software Development | ERP, CRM, Billing, POS, HRM etc. | 2,500,000 |
| Website & Mobile App Development | For SMEs, startups, and enterprises | 1,200,000 |
| IT Consultancy & Maintenance | Ongoing support and updates | 800,000 |
| Offshore Outsourcing Projects | USA, UK, Canada, Japan clients | 3,000,000 |
| Cloud Hosting & SaaS Services | Subscription-based model | 500,000 |
| Total Estimated Monthly Revenue | 8,000,000+ |
Therefore, a medium-sized company can earn around BDT 80–100 million annually with proper client acquisition and project management.
7. Profitability Analysis
| Year | Revenue (BDT) | Operating Cost (BDT) | Net Profit (BDT) | Profit Margin |
|---|---|---|---|---|
| 1st Year | 80,000,000 | 60,000,000 | 20,000,000 | 25% |
| 2nd Year | 100,000,000 | 70,000,000 | 30,000,000 | 30% |
| 3rd Year | 130,000,000 | 85,000,000 | 45,000,000 | 35% |
Because the initial setup is capital-heavy, profitability increases sharply after the first year when fixed costs stabilize and recurring clients grow.
8. Implementation Schedule
| Activity | Duration |
|---|---|
| Project Feasibility Study | 1 month |
| Company Registration & Licensing | 1 month |
| Office Setup & Infrastructure | 2 months |
| Recruitment & Training | 2 months |
| Software Tools & Equipment Procurement | 1 month |
| Marketing & Client Acquisition | Continuous |
| Total Implementation Time | 6–8 months |
The schedule ensures a smooth start while maintaining flexibility for scaling operations later.
9. Manpower Requirement
| Designation | No. of Staff | Monthly Salary (BDT) | Total Monthly Cost (BDT) |
|---|---|---|---|
| CEO / Managing Director | 1 | 300,000 | 300,000 |
| Project Manager | 2 | 150,000 | 300,000 |
| Software Developer | 15 | 80,000 | 1,200,000 |
| Web / App Developer | 5 | 70,000 | 350,000 |
| UI/UX Designer | 2 | 60,000 | 120,000 |
| System Analyst | 2 | 80,000 | 160,000 |
| Network Administrator | 1 | 60,000 | 60,000 |
| Accountant & Admin Staff | 2 | 50,000 | 100,000 |
| Marketing Executive | 3 | 60,000 | 180,000 |
| Office Support Staff | 2 | 25,000 | 50,000 |
| Total | 35 Persons | 2,820,000 / month |
Skilled human resources are the backbone of the IT sector. Retaining talent through training and incentives is essential for sustainable growth.
10. Marketing and Client Acquisition Strategy
To stand out in a crowded IT market, companies must blend technical excellence with strategic marketing.
Key Strategies:
- Build a professional website with SEO-optimized content.
- Showcase past projects and client testimonials.
- Create partnerships with international firms for outsourcing.
- Use social media and freelancing platforms to generate leads.
- Offer free demos and limited-time trial services.
- Participate in ICT expos and tech fairs.
Most important, reputation is everything. Delivering consistent quality builds long-term relationships and recurring income.
11. SWOT Analysis
| Strengths | Weaknesses |
|---|---|
| Young skilled workforce | Dependence on foreign clients for export |
| Low cost of operation | Limited access to venture capital |
| Growing local IT demand | Lack of brand awareness initially |
| Opportunities | Threats |
|---|---|
| Expanding global outsourcing market | Rapid technological changes |
| Government support through Hi-Tech Parks | Competition from regional players |
| Rising need for automation in all sectors | Data security concerns |
12. Financial Indicators
| Indicator | Value | Remarks |
|---|---|---|
| ROI | 30–35% | Attractive return compared to traditional sectors |
| Payback Period | 3 years | Reasonable for IT-based ventures |
| Break-even Point | 65% of capacity | Achievable within 18 months |
| Internal Rate of Return (IRR) | 28% | Shows strong long-term viability |
13. Government Incentives and Support
Bangladesh offers several incentives to encourage IT entrepreneurs:
- Tax Holiday: Up to 10 years for IT-enabled services.
- Export Cash Incentive: 10% on software exports.
- Hi-Tech Parks: Rent subsidies, power backup, and high-speed internet.
- Startup Bangladesh Fund: Financial and technical support for new ventures.
- Zero Import Duty: On hardware, servers, and ICT tools.
Therefore, entrepreneurs in this sector can start with minimal tax burden and faster growth opportunities.
14. Risk Factors and Mitigation
| Potential Risk | Mitigation Strategy |
|---|---|
| Technological obsolescence | Continuous training, regular software updates |
| Data breach / cyber-attack | Robust cybersecurity systems and encryption |
| Client non-payment | Advance contracts and milestone-based payments |
| Talent attrition | Offer competitive salary and career development |
| Global economic slowdown | Diversify into local clients and SaaS products |
By planning ahead, a software firm can remain resilient even during market disruptions.
15. Future Expansion Plan
Once established, the company can scale in several directions:
- SaaS Product Launch: Subscription-based income.
- AI & Data Science Division: To capture high-end projects.
- Offshore Development Center: Dedicated team for global clients.
- Training Academy: Upskill local youth and reduce turnover.
- ERP Solutions for Local Industries: Agriculture, garments, and logistics.
These expansions turn a simple startup into a diversified IT powerhouse.
16. Social and Economic Impact
The IT sector not only generates profit but also transforms lives.
- Creates employment for educated youth.
- Encourages women’s participation in tech.
- Reduces dependency on foreign software imports.
- Promotes digital literacy and innovation.
- Increases foreign currency inflow through software exports.
Besides that, every successful IT company helps Bangladesh move closer to the dream of a Smart Nation.
17. Conclusion
The IT and software development sector is one of the brightest prospects for Bangladesh’s economic future. The blend of affordability, talent, and global demand creates the perfect storm for investment success.
A well-planned IT and software development company project can yield excellent returns with minimal physical infrastructure and immense scalability.
If managed wisely, this business can grow from a small office into an international brand within five years.
18. Call to Action
We prepare bankable project profiles for IT and software companies — and for all other sectors — in Bangladesh and abroad.
Our project profiles include:
- Detailed financial analysis
- Feasibility studies
- Cost and profitability tables
- Implementation schedules
- Market and technical assessments
👉 If you’re planning to start an IT or software company, contact us today!
We’ll help you prepare a professional project profile that meets bank and investor requirements.
📧 Email: [email protected]
🌐 Website: www.cbecl.com
📞 Phone: +8801716752370
Let’s build your technology dream into a profitable reality.