Why Tech Debt Matters

This article originally appeared on the Evertas Professional Services website.

When software developers cut corners, skipping essential steps to get a product out the door, they’re taking on what the industry calls “technical debt.” Think of it as building on shaky foundations. Unlike business debt, which can be strategic, tech debt doesn’t age well. Over time, it compounds, leading to fragility, crashes, and ballooning costs to fix what should have been done right the first time.

It’s important to note two things: first, almost all innovation accrues some degree of tech debt. Developers focus on solving problems and getting products shipped rather than refining the foundation for long-term sustainability. Sometimes, leaders consciously take on the tech debt on their road to establishing product-market fit — the rationale being that once they find that fit, they can go back and shore up the foundation.

Too often, though, that last part is also delayed for business reasons.

Leaders who see the long game understand that once the product is up and running, it’s time to “pay down” this debt before it becomes a bigger problem. That means going back to fix the shortcuts taken during initial development. The less debt you carry, the easier it is to keep things running smoothly, efficiently, and profitably.

Burning down that tech debt, though, requires a coordinated effort. Many companies try to cut corners, which can lead to a snowball effect, caused by exponentially increasing levels of compounded tech debt.

Who Feels the Pressure of Tech Debt?

The companies most affected by tech debt are often high-growth firms. Imagine this: You’ve had tremendous success in the last few years, revenue’s good, customers are mostly happy, but you’ve noticed something – your costs are going up, software rollouts are slowing, and internally, there’s tension between teams. Worse still, you’ve had security issues pop up recently that never used to be a concern. Margins are shrinking, and it’s getting harder and harder to keep up with competitors.

If this sounds familiar, you’re not alone. Thousands of companies hit this wall after rapid growth. And tech debt is often a significant part of the problem. The fast pace of growth likely forced shortcuts in your development process, and now those decisions are coming back to haunt you.

It’s Not Just Engineering’s Problem

Fixing tech debt is not “an engineering issue” or an “IT problem” – it’s a leadership challenge. Executive strategy, product roadmaps, and even company culture all determine whether a business can successfully dig itself out. Tech debt isn’t just a developer’s concern; it’s a company-wide business issue that can affect every level of the organization.

When’s the Best Time to Address Tech Debt?

The optimal time to address tech debt? Every sprint. Healthy teams set aside about 20% of their time for routine maintenance, automation, and, yes, paying down tech debt. Think of it like personal grooming – keeping on top of it makes things much smoother. Ignore it, and you’re in for a painful clean-up later.