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Software Development/Third Party Components/Controls Purchase Cost.


Dear Ramanan

If Third party Components/Controls Toolkit is used in the system
being developed by the Information Technology Service Provider, Who should bear the purchase cost of this Toolkit ?.

1. Software Development Company
2. Client who requires the System to be developed by Software Development Company.

i.e. 1 or 2.

Do you feel even this may work ?. If a mutual understanding between both parties takes place, the purchase cost of the Toolkit
can be shared between both parties equally  as 50 % each ?.

Awaiting your reply,

Thanks & Regards,
Prashant S Akerkar

Hi Prashant,
This varies from Clients to Clients.
Some Software Development Companies may include the costs for buying third party components already in their project quote. Customer is not even aware of this.

This also varies on the Software to be purchased, whether the final license should be on the Client's name or can be on the Software Development Company's name.
E.g. If you have components which are to be hosted on WebSites its required that the license be on the Client's name.

As per my experience Clients shy away from paying costs for buying third party components, so its better to either include it in the project quote or convince them to buy it for you.


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Ramanan Iyer


I can answer questions related to software development involving microsoft technologies like vb, C#, ASP.Net. I can answer questions related to MS SQL Server. I an help in giving tips for best methods for programming.


I have around 11+ years of experience in the field of software development. I have been involved in development of windows based applications and web portals for European Clients.

Webdirekt India Pvt. Ltd. Enexion India Pvt. LTd.

I have completed my Masters Degree in Computer Applications in the year 1999.

Awards and Honors
Received scholarship in statistics.

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