Fractional CTO vs Development Agency
Leadership vs delivery resources
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2 questions, instant match
What's most important to you?
Key Takeaways
- 1Fractional CTOs work 1-3 days per week, providing senior expertise without full-time costs
- 2UK day rates range from £900 to £1600, depending on experience and sector
- 3Typical engagements save 50-70% compared to full-time executive hires
- 4Ideal for startups, scale-ups, and SMEs needing strategic leadership
- 5No employment overhead: no pension, NI, benefits, or notice periods
Complementary, Not Competing
A fractional CTO provides technical leadership and strategy. A dev agency provides development capacity. Many companies use both—the CTO defines what to build and oversees quality while the agency provides hands.
What a Dev Agency Provides
Development agencies offer execution capacity—designers, developers, and project managers to build what you specify. Good agencies execute well, but typically do not provide strategic technology guidance.
What a Fractional CTO Provides
A fractional CTO defines technology strategy, makes architecture decisions, evaluates technical approaches, and ensures quality. They tell you what to build and how—agencies build it.
The Power Combination
Consider both: a fractional CTO to provide strategic oversight and quality control, with agency resources for execution. Your CTO manages the agency relationship and ensures technical excellence.
Cost Comparison
Fractional vs Full-Time Executive
Your Potential Savings
£197k+
Time Allocation
How fractional executives spend their time
UK Fractional Executive Day Rates
Compare day rates across C-suite roles
Fractional vs Interim vs Full-Time
Choose the right engagement model
| Aspect | Fractional | Interim | Full-Time |
|---|---|---|---|
| Time Commitment | 1-3 days/week | 4-5 days/week | 5 days/week |
| Duration | Ongoing/flexible | 3-12 months | Permanent |
| Annual Cost | £50-150k | £150-300k | £200-400k+ |
| Best For | SMEs, startups, scale-ups | Crisis, transitions | Large enterprises |
| Flexibility | ★★★ High | ★★☆ Medium | ★☆☆ Low |
Costs are indicative UK market rates. Actual costs vary by role, experience, and sector.
Calculate Your Day Rate
Calculate Your Potential Income
Based on 2.5 days/week x 2 clients x 48 working weeks. CTO UK average day rate: £1050.
BetaThis calculator provides rough estimates for illustration only. Actual rates and salaries vary based on location, experience, industry, and market conditions.
Related Executive Roles
Complementary leadership for your organisation
Industry Resources & Authority Links
Related Pages
The Fractional Executive Trend
Industry data on the rise of fractional leadership
of executives who moved to fractional work report higher job satisfaction
Source: Harvard Business Review ↗Platform Stats
Founder's background
📊 CTO Market Snapshot
💰 CTO Day Rates
Based on 2026 market data for UK CTO roles.
