Monolithic vs. Microservices for Small Businesses

by Sovina Vijaykumar

Small businesses operate on tight budgets, evolving technologies, and ever-increasing demands. Selecting the appropriate software architecture becomes a crucial decision. Small businesses seek cost-effective, easy-to-develop, maintainable, and scalable solutions to meet their growing needs. Two prominent architectural approaches, monolithic and microservices, offer contrasting paths to navigate this terrain. Each has advantages and disadvantages, and choosing between them is crucial for small businesses. In this blog, we’ll explore the intricacies of Monolithic vs. Microservices Architecture, shedding light on which one might be the better fit for small businesses. So, whether you’re a small business owner or a software enthusiast, let’s embark on this journey to make an informed decision.

Monolithic Architecture

Monolithic architecture, a traditional approach, epitomizes unity. It involves constructing the entire application as a single, undivided entity. In this model, all application components, from the user interface to the database and business logic, are tightly interconnected and deployed as one cohesive unit. Simplicity and cohesiveness are its hallmarks, but it comes with trade-offs.

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Advantages of Monolithic Architecture:

  • Simplicity to develop and maintain: With tightly integrated components, developers find monolithic applications straightforward. Debugging and maintenance are more manageable due to the centralized nature of the system.
  • Simpler to deploy and scale: Deploying a monolithic application is less complex than coordinating multiple microservices. Furthermore, expanding vertically (augmenting resources on a single server) is more straightforward with a monolithic architecture.
  • Better performance and reliability: The absence of network communication between components within the application can result in faster execution times and fewer points of failure.

Disadvantages of Monolithic Architecture:

  • Difficult to scale horizontally: Scaling horizontally (adding more servers) can be challenging, as it requires replicating the entire application, not just individual components.
  • Difficult to make changes without affecting the entire application: Even minor updates may require redeployment, causing downtime and disruptions.
  • Single point of failure: If a critical component within the monolith fails, it can bring down the entire application.

Microservices Architecture

Microservices architecture, on the opposite end of the architectural spectrum, champions modularity and independence. In this approach, we decompose the application into self-contained services. Each service handles a specific task and communicates through well-defined APIs. Microservices offer a granular approach to application design but introduce their complexities.

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Advantages of Microservices Architecture:

  • Simpler to scale horizontally: You can independently scale microservices, thereby facilitating efficient resource utilization and consequently enhancing your ability to manage sudden traffic spikes.
  • Easier to make changes without affecting the entire application: Each service can be updated and deployed independently, leading to shorter release cycles and less disruption.
  • More resilient to failures: If one microservice encounters an issue or fails, it typically does not cause a system-wide outage, ensuring reliability.
  • More agile and adaptable: Microservices’ modularity and independence enable teams to work on specific services, fostering innovation and agility.

Disadvantages of Microservices Architecture:

  • More complex to develop and maintain: With numerous services to manage, development and maintenance become more intricate, demanding additional coordination.
  • More challenging to deploy and manage: Coordinating deployments across various environments can pose difficulties.
  • Can lead to increased network traffic and latency: The need for inter-service communication can result in higher network overhead and potential latency issues.

Statistical Data

As of 2022, a survey conducted by the Cloud Native Computing Foundation (CNCF) revealed some intriguing statistics. A staggering 81% of respondents reported using microservices in production. However, it’s noteworthy that only 41% of these respondents expressed satisfaction with their current level of microservices maturity. This data underscores the growing prevalence of microservices while highlighting the challenges organizations face in fully harnessing their benefits.

Benefits of Moving from Monolithic to Microservices Architecture

Let’s delve deeper into the compelling reasons why small businesses might consider transitioning from monolithic to microservices architecture:

  • Increased scalability: Microservices enable independent scaling of services, easing the accommodation of user demand fluctuations. This adaptability can help companies handle traffic spikes and promote growth.
  • Improved agility and innovation: Microservices’ modularity enables teams to work on individual services without affecting the entire system. This agility can accelerate the development process and lead to more frequent innovations.
  • Reduced risk: Microservices are failure-resistant. If one service experiences an issue, it typically doesn’t cause a system-wide outage. This fault isolation can significantly reduce risk.
  • Increased efficiency: Smaller teams can develop and maintain individual microservices, potentially improving efficiency and speeding up development cycles.

Example of a Company that Benefited from Microservices Architecture: Netflix

Netflix is a well-known example of a company that has harnessed the advantages of transitioning to microservices architecture. In 2009, the streaming giant faced frequent outages and scalability challenges due to its monolithic architecture. To address these issues and facilitate future growth, Netflix adopted microservices architecture.

Since embracing microservices, Netflix has witnessed a remarkable transformation in its performance and reliability. Here are some key takeaways from their journey:

  • Faster feature deployment: With microservices, Netflix can roll out new features and updates more swiftly and efficiently. This agility allows them to stay ahead in the highly competitive streaming market.
  • Enhanced scalability: Being a global streaming service, Netflix must manage massive traffic, particularly during peak hours. Microservices’ scalability enables Netflix to meet this demand effectively.
  • Improved fault tolerance: In the past, a single glitch could disrupt Netflix’s entire service. Now, with microservices, if a specific component encounters an issue, it can be isolated, minimizing the impact on the overall platform.


Small businesses must make thoughtful choices. There’s no one-size-fits-all solution; the choice depends on specific needs and requirements.

Small businesses with simple applications may find that a monolithic architecture offers simplicity and ease of development. However, it can face challenges when confronted with rapid growth or the need for frequent updates.

On the other hand, for small businesses with complex applications that need to be highly scalable and agile, microservices architecture can be a game-changer. Netflix’s success story serves as a testament to the advantages of this approach. Nevertheless, it’s crucial to recognize that microservices introduce their challenges, such as increased complexity and network traffic.

In closing, if you’re a small business owner contemplating a transition from a monolithic to a microservices architecture, meticulous planning and execution are key. Microservices can be more complex to develop and manage than monolithic applications, so assembling the right team and tools is paramount.

Remember, the software landscape is dynamic, and what’s right today may evolve into something different tomorrow. Stay agile, adapt, and continue innovating to craft exceptional software solutions for your small business. The path you choose today will shape your business’s future in the ever-evolving world of technology.