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SaaS 2024-05-01 VERIFIED

Multi-Tenant Architecture: The Core of a Profitable SaaS

Technical analysis of data isolation models in databases for Software as a Service platforms.

AUTHORED_BY: SYS_ADMIN

SYS_ADMIN | PEKKA_SOFT

The SaaS Scalability Challenge

For a SaaS business model to be financially viable, it must serve thousands of clients (Tenants) sharing infrastructure, while maintaining absolute data security. This is known as Multi-Tenant architecture.

Data Isolation Models

  • Shared Database, Shared Schema: Maximum cost efficiency. Isolation is handled at the application level (e.g., `tenant_id`). Requires strict Row Level Security (RLS).
  • Shared Database, Isolated Schema: Each client has their own schema within the same DB. Offers a good balance between isolation and costs.
  • Isolated Database per Tenant: Maximum security (Ideal for health or finance), but higher infrastructure cost and deployment complexity.

At Pekka Soft we design SaaS architectures evaluating your growth projections and Compliance requirements (ISO 27001).

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