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Startup CTO16 min read

From Shopify to Custom SaaS: When (and How) to Make the Jump

Outgrowing Shopify? When to migrate to custom software, what it costs, and how to avoid expensive mistakes. Real migration timelines included.

Matthew Turley
Fractional CTO helping B2B SaaS startups ship better products faster.

Shopify got you to $500K revenue. Now it's holding you back.

You need custom checkout logic. You need complex pricing rules. You need integrations Shopify apps can't handle. You need features that don't exist in the app store.

But migrating from Shopify to custom software is expensive and risky. Get it wrong and you could lose months of revenue and thousands of customers.

After helping dozens of businesses migrate from Shopify (and other platforms) to custom solutions, I can tell you exactly when to make the jump, what it costs, and how to do it without destroying your business.

Quick Answer: Should You Migrate?

Migrate from Shopify if:

  • ✓ You're spending $2,000+/month on apps trying to work around limitations
  • ✓ You need custom pricing logic Shopify can't handle (B2B, wholesale, subscriptions)
  • ✓ You need custom checkout flows or payment processing
  • ✓ You're hitting Shopify's product variant limits (100 variants/product)
  • ✓ You need complex inventory management across multiple systems
  • ✓ You need custom business logic that doesn't exist in apps

Stay on Shopify if:

  • ✗ You're doing under $500K/year (not worth the investment yet)
  • ✗ Standard ecommerce is your business model
  • ✗ You just need better design (hire a Shopify designer)
  • ✗ You're not technical and can't manage custom software
  • ✗ Your complaints are minor inconveniences, not blockers

Keep reading for the complete decision framework, cost breakdown, and migration roadmap.


Why Businesses Outgrow Shopify

Let me be clear: Shopify is amazing for 95% of ecommerce businesses.

But if you're in the 5% with complex needs, Shopify becomes a cage.

The Five Most Common Shopify Limitations

1. Custom Checkout & Payment Processing

The problem:

Shopify controls the checkout. You can't:

  • Customize payment flows beyond their options
  • Integrate custom payment processors
  • Create multi-step verification processes
  • Handle complex B2B approval workflows
  • Build custom subscription logic beyond their tools

Real example:

Client sold industrial equipment. Needed:

  • Multi-step approval (purchase request → manager approval → finance approval)
  • Net-30 payment terms for verified businesses
  • Custom quote system before checkout
  • Integration with ERP for credit checks

Shopify couldn't do it. They were stuck sending manual invoices outside Shopify, which meant no inventory tracking, no automated order processing, and 20+ hours/week of manual work.

Solution: Migrated to custom platform. Built custom approval workflows, integrated with their ERP, automated everything.

Result: Saved 20 hours/week, grew from $800K to $2.1M in 18 months.

2. Product Variant Limitations

The problem:

Shopify limits you to:

  • 100 variants per product
  • 3 option types (size, color, material)

If you sell products with complex configurations (custom furniture, manufacturing, build-to-order), you hit this immediately.

Real example:

Client sold custom closet systems. Needed:

  • Width, height, depth, material, finish, drawer count, shelf count, hardware type
  • That's 7+ options = thousands of possible variants

Shopify can't handle it. They used workarounds (separate products, complex apps) but it was a mess. Customers got confused. Orders had errors.

Solution: Custom product configurator. Customers build their exact closet, price calculates in real-time, order goes to manufacturing.

Result: Error rate dropped 87%, average order value increased 34%.

3. Complex Pricing Rules

The problem:

Shopify's pricing is simple:

  • Set a price
  • Maybe add a discount code
  • Basic B2B wholesale pricing

Can't do:

  • Volume-based pricing per customer segment
  • Contract pricing (Customer A pays $X, Customer B pays $Y for the same product)
  • Dynamic pricing based on inventory levels
  • Tiered pricing based on relationship/history
  • Complex bundle pricing

Real example:

Client sold B2B supplies to contractors. Needed:

  • Each contractor has negotiated pricing
  • Volume discounts that stack
  • Special promotions that override base pricing
  • Integration with accounting system for credit limits

Shopify couldn't handle the complexity. They managed pricing in spreadsheets and manually adjusted orders. Error-prone and time-consuming.

Solution: Custom pricing engine. Each customer logs in, sees their prices, orders flow automatically to fulfillment and accounting.

Result: Eliminated pricing errors, automated order processing, grew from 200 to 600 customers.

4. Inventory Management Across Systems

The problem:

If you need inventory to sync across:

  • Multiple warehouses
  • Manufacturing systems
  • Drop shipping partners
  • Retail locations
  • Custom reservation systems

...Shopify's basic inventory can't handle it.

Real example:

Client had:

  • 3 warehouses
  • 12 retail locations
  • Manufacturing for custom orders
  • Drop-ship products from 8 vendors

Shopify inventory: Complete disaster. Oversold items, manual updates, constant errors.

Solution: Custom inventory management system synced with manufacturing, warehouses, and drop shippers. Real-time availability across all channels.

Result: Overselling dropped to zero, inventory carrying costs decreased 23%.

5. Custom Business Logic That Doesn't Exist

The problem:

Shopify is built for standard ecommerce. If your business model is unique, you're stuck.

Examples I've seen:

  • Rental businesses (rent equipment by day/week/month)
  • Subscription boxes with complex customization
  • Marketplace platforms (multiple vendors)
  • Made-to-order manufacturing with lead times
  • Hybrid retail + services businesses

Real example:

Client rented camera equipment. Needed:

  • Availability calendar
  • Equipment reservation system
  • Damage waivers
  • Insurance options
  • Late fee calculations
  • Integration with rental management software

Shopify: Can't do any of this natively. Apps existed but were clunky, expensive, and limited.

Solution: Custom rental platform. Calendar booking, automated pricing, integrations, customer portals.

Result: Grew from $400K to $1.8M in 24 months.


The Migration Decision Framework

Don't migrate just because Shopify annoys you. Migrate when it's costing you real money.

Step 1: Calculate Your Shopify "Tax"

Add up what Shopify limitations are actually costing you:

Direct costs:

  • Shopify monthly fees: $___
  • App subscriptions trying to work around limitations: $___
  • Development time fighting with Shopify: $___ (hours × hourly rate)
  • Transaction fees you could avoid with custom payment processing: $___

Indirect costs:

  • Lost deals because features don't exist: $___/month
  • Manual processes due to limitations: ___ hours/week × $50/hour
  • Customer service issues from workarounds: $___
  • Operational inefficiency: $___

Example calculation:

Shopify Plus: $2,000/month
Apps (15 apps at average $80/mo): $1,200/month
Developer time (20 hrs/mo at $150/hr): $3,000/month
Manual processes (30 hrs/week at $50/hr): $6,000/month
Lost enterprise deals (can't do custom checkout): $10,000/month

Total Shopify "tax": $22,200/month = $266,400/year

If your Shopify tax is over $100K/year, migration makes financial sense.

Step 2: Can You Work Around It?

Before migrating, try these:

Option 1: Hybrid Approach

  • Keep Shopify for storefront/checkout
  • Build custom tools for specific needs
  • Use Shopify API to connect systems

When it works: Your limitations are isolated to 1-2 areas Cost: $10K-$30K one-time Example: Keep Shopify checkout, build custom admin tools for inventory

Option 2: Shopify Plus + Custom Apps

  • Upgrade to Shopify Plus
  • Build custom Shopify apps for your needs
  • Use their APIs more extensively

When it works: You need more flexibility but love the Shopify ecosystem Cost: $2,000/month + $20K-$50K for custom development Example: B2B pricing through custom Shopify Plus app

Option 3: Headless Shopify

  • Use Shopify as backend
  • Build custom frontend
  • More flexibility in UX/UI

When it works: Your problem is frontend limitations, not backend logic Cost: $30K-$80K one-time Example: Custom product configurator with Shopify backend

When to go fully custom instead:

  • Workarounds still don't solve the core problem
  • You need full control over every aspect
  • Your business model is fundamentally incompatible with Shopify
  • The workarounds cost more than custom would

What a Shopify to Custom Migration Actually Costs

Let's be brutally honest about costs:

Migration Cost Breakdown

Minimum Viable Migration:

  • Discovery & planning: $5,000
  • Basic product catalog migration: $8,000
  • Simple checkout & payments: $12,000
  • Order management: $8,000
  • Customer accounts: $5,000
  • Admin dashboard: $10,000
  • Testing & launch: $5,000 Total: $53,000 (8-12 weeks)

This gets you: Basic Shopify replacement with standard features

Comprehensive Migration:

  • Discovery & planning: $8,000
  • Full product catalog + variants: $15,000
  • Custom checkout + payment logic: $20,000
  • Advanced order management: $15,000
  • Customer portal & accounts: $10,000
  • Custom admin dashboard: $18,000
  • Integrations (shipping, accounting, etc.): $12,000
  • Custom features (your unique needs): $25,000
  • Testing, migration, launch: $12,000 Total: $135,000 (14-20 weeks)

This gets you: Custom platform with your specific requirements

Enterprise Migration:

  • Everything in comprehensive, plus:
  • Multi-warehouse inventory: $20,000
  • B2B/wholesale portals: $25,000
  • Advanced reporting & analytics: $15,000
  • API for integrations: $18,000
  • Mobile apps: $40,000+ Total: $250,000+ (6-9 months)

This gets you: Full custom platform with every feature you need

Ongoing Costs After Migration

Hosting & infrastructure: $200-$1,000/month Maintenance & support: $1,500-$4,000/month Feature development: $3,000-$8,000/month Security updates: Included in maintenance

Compared to Shopify:

  • Shopify Plus: $2,000/month + apps ($1,000-$3,000/month)
  • Custom: $2,000-$6,000/month total

Custom is cheaper long-term if you're on Shopify Plus with many apps.


The Migration Roadmap (Step-by-Step)

Here's exactly how to migrate without breaking your business:

Phase 1: Discovery & Planning (Week 1-2)

Goals:

  • Document everything Shopify does for you
  • Identify what you need custom
  • Create technical roadmap
  • Estimate costs and timeline

Deliverables:

  • Complete feature list
  • Data migration plan
  • Technical architecture
  • Timeline with milestones
  • Budget breakdown

Cost: $5,000-$8,000

Critical: Don't skip this. Most failed migrations skip proper planning.

Phase 2: Build Core Platform (Week 3-10)

Priority 1: Product Catalog

  • Migrate all products, variants, images
  • Build admin interface for managing products
  • Implement search and filtering
  • Create product pages

Priority 2: Checkout & Payments

  • Payment gateway integration (Stripe, etc.)
  • Shopping cart functionality
  • Checkout flow
  • Order confirmation emails

Priority 3: Customer Accounts

  • User authentication
  • Order history
  • Address management
  • Account settings

Cost: $35,000-$70,000

Timeline: 8-12 weeks for basic functionality

Phase 3: Custom Features (Week 11-16)

Build the features Shopify couldn't do:

  • Custom pricing logic
  • Complex product configurations
  • Advanced inventory management
  • Custom checkout flows
  • Business-specific integrations

Cost: $20,000-$50,000

Timeline: 4-8 weeks depending on complexity

Phase 4: Migration & Testing (Week 17-18)

Data migration:

  • Export from Shopify (products, customers, orders)
  • Clean and validate data
  • Import to new platform
  • Verify accuracy

Testing:

  • Test every feature
  • Payment processing (use test mode)
  • Order fulfillment flow
  • Email notifications
  • Mobile responsiveness

Cost: $8,000-$15,000

Timeline: 2-3 weeks

Critical: Test with real team members before going live

Phase 5: Soft Launch (Week 19)

Parallel running:

  • New platform live
  • Keep Shopify active (read-only)
  • Monitor for issues
  • Limited customer segment testing

Week 1: Internal team + VIP customers Week 2: 25% of traffic Week 3: 50% of traffic Week 4: 100% migration

Why: Catch issues before full migration

Cost: Included in testing phase

Phase 6: Full Launch & Optimization (Week 20+)

Full cutover:

  • Point domain to new platform
  • Redirect all Shopify URLs
  • Disable Shopify checkout
  • Full customer migration

Post-launch (first month):

  • Monitor performance
  • Fix any issues
  • Optimize based on data
  • Collect feedback
  • Train team

Ongoing: Continuous improvement


How to Avoid Migration Disasters

I've seen migrations go wrong. Here's how to avoid it:

Disaster 1: Underestimating Timeline

The mistake: "We'll migrate in 6 weeks."

Reality: Migrations take 3-6 months for anything non-trivial.

How to avoid:

  • Double your initial estimate
  • Plan for unexpected issues
  • Don't launch during peak season

Disaster 2: Forgetting Critical Features

The mistake: "We'll migrate products and checkout, that's all we need."

Forgotten:

  • Gift cards
  • Discount codes
  • Shipping rules
  • Tax calculations
  • Abandoned cart emails
  • Customer service tools

How to avoid:

  • List EVERYTHING Shopify does
  • Watch a team member process an order start to finish
  • Document every app and integration

Disaster 3: Data Loss

The mistake: "We'll export and import, how hard can it be?"

Reality:

  • Customer passwords don't export from Shopify (for security)
  • Order history might not import cleanly
  • Product variants can get scrambled
  • Images sometimes break

How to avoid:

  • Plan for customer password resets
  • Test data migration on staging
  • Verify random samples manually
  • Keep Shopify data as backup

Disaster 4: Breaking SEO

The mistake: Not planning URL structure. Old Shopify URLs break.

Result: Google rankings tank, traffic drops 50%.

How to avoid:

  • Map all old URLs to new URLs
  • Set up 301 redirects
  • Test redirects before launch
  • Monitor Google Search Console

Disaster 5: Poor Post-Launch Support

The mistake: Launching then dev disappears.

Reality: First 2 weeks you'll find issues. You need immediate support.

How to avoid:

  • Require 30-day post-launch support in contract
  • Have developer on call first week
  • Plan for quick fixes
  • Budget extra for unforeseen issues

Real Migration Stories

"Best Business Decision We Made"

Laura, Custom Manufacturing:

"We sold custom furniture on Shopify but hit the variant limit hard. We had 3,000+ configurations per product line.

Our workaround: Multiple 'products' for each option combo. Customers were confused. We had fulfillment errors constantly.

Migration timeline:

  • Week 1-2: Planning
  • Week 3-12: Built custom configurator
  • Week 13-14: Data migration
  • Week 15-16: Testing
  • Week 17: Soft launch
  • Week 18: Full launch

Cost: $87,000

Result:

  • Configuration errors dropped from 23% to 0.4%
  • Average order value increased 31%
  • Customer satisfaction up significantly
  • We can actually scale now

ROI: Paid for itself in 8 months from reduced errors and higher AOV."

"Hybrid Approach Worked Better"

Marcus, B2B Distributor:

"We thought we needed to fully migrate. Turns out, hybrid was smarter.

What we did:

  • Kept Shopify Plus for customer-facing storefront
  • Built custom admin tools for pricing and inventory
  • Connected via Shopify API

Cost: $42,000 vs. $120,000 for full migration

Result:

  • Got custom features we needed
  • Kept Shopify's reliability
  • Much faster timeline (10 weeks vs. 20)

Lesson: Don't migrate if you don't have to."

"Migration Nightmare (What Not to Do)"

Anonymous Client:

"We hired the cheapest developer we could find. They promised 8 weeks, $30K.

What happened:

  • Week 8: Not close to done
  • Week 16: Still broken features
  • Week 24: Developer disappeared
  • We lost 6 months and had to start over

What we should have done:

  • Hired experienced developer (costs more, finishes)
  • Required references from similar migrations
  • Had milestone-based payments (not all upfront)
  • Started with discovery phase

Second attempt: Hired properly. Cost $95K. Done in 18 weeks. Worked perfectly.

Lesson: Cheap developer = expensive mistake."


Frequently Asked Questions

"Can we migrate gradually?"

Yes, several approaches:

Option 1: Hybrid (best for most)

  • Keep Shopify for checkout
  • Build custom features around it
  • Gradual transition

Option 2: Feature-by-feature

  • Migrate admin tools first
  • Then product management
  • Then checkout
  • Finally customer-facing

Option 3: Customer segment

  • B2B customers to custom platform
  • B2C stays on Shopify
  • Gradually shift all over

"Will we lose customers during migration?"

If done right: No.

Best practices:

  • Migrate during slow period
  • Send advance notice emails
  • Offer migration support
  • Have customer service ready

Expect: 1-3% of customers will have password/login issues. Plan for support.

"What about our SEO?"

Critical steps:

  1. Map all old URLs to new URLs
  2. Set up 301 redirects (permanent redirects)
  3. Keep same URL structure if possible
  4. Update sitemap
  5. Monitor Google Search Console
  6. Fix any broken links

Done right: Minimal SEO impact (5-10% temporary dip, recovers in 2-4 weeks)

Done wrong: 50%+ traffic loss that takes months to recover

"Can we keep our Shopify theme design?"

Yes, but shouldn't.

Why not:

  • Shopify themes are built for Shopify's limitations
  • Custom platform = opportunity to improve UX
  • Copy design concepts, not literal code

Better approach:

  • Take inspiration from current design
  • Improve based on customer feedback
  • Optimize for conversions
  • Modern, fast, responsive

"What happens to our data if the custom platform fails?"

Protection strategies:

  1. Keep Shopify data as backup (don't delete for 6 months)
  2. Regular backups of new platform (automated)
  3. Data export functionality (you own your data)
  4. Documented database structure

You can always export and move again (though expensive).

"Is custom software harder to maintain than Shopify?"

Yes and no.

Harder:

  • You're responsible for updates
  • Security is on you
  • Need developer support

Easier:

  • No forced updates breaking things
  • Full control over changes
  • Fix issues immediately (not wait for Shopify)

Cost: $2,000-$6,000/month for proper maintenance vs. $2,000-$4,000/month for Shopify Plus + apps

Similar cost, more control.


The Truth About Migration

Here's what 20 years of experience has taught me:

Most businesses don't need to migrate. Shopify is great for 95% of ecommerce.

But if you're in the 5% who've outgrown it, migration is one of the best investments you'll make.

The right time to migrate is when:

  1. Shopify limitations are costing you $100K+/year in lost revenue or efficiency
  2. You can afford $50K-$150K investment
  3. You're willing to dedicate 3-6 months to the project
  4. You have a clear vision of what custom features you need

The wrong time to migrate:

  • You're frustrated with minor issues
  • You think custom will magically solve all problems
  • You can't afford proper development
  • You don't have time to plan it properly

If you do migrate:

  • Hire experienced developers (check references from similar migrations)
  • Plan thoroughly (don't skip discovery)
  • Budget 50% more than initial estimate (things always cost more)
  • Launch gradually (soft launch is critical)
  • Support your customers through transition

The migration isn't the end—it's the beginning. You're trading Shopify's limitations for the responsibility of managing custom software.

Make sure you're ready for that.


Ready to Explore Migration?

If you're seriously considering migrating from Shopify to custom software, I offer free migration assessments:

What you get:

  • 30-minute consultation about your situation
  • Honest assessment (stay on Shopify vs. migrate vs. hybrid)
  • Rough cost and timeline estimates
  • Recommendations for your specific needs

What happens next: Your choice.

  • Use the information to plan
  • Hire another developer
  • Work with me
  • Stay on Shopify (sometimes that's the right answer)

No sales pressure. Just honest technical guidance.

Request a free migration assessment →

And if you want to learn more about custom SaaS development:

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