Build vs Buy Sanctions Screening: Decision Framework
Should you build sanctions screening in-house or buy an API? A practical framework for compliance and engineering leaders.
Comparison
| Factor | Build | Buy |
|---|---|---|
| Initial build time | 3 to 6 months | 1 to 2 days |
| Engineering team | 2 to 4 engineers full-time | 1 engineer part-time |
| Data source maintenance | Ongoing: multiple configured sources, daily syncs | Handled by vendor |
| False positive tuning | Months of iteration | Internal benchmark, ongoing improvements |
| Audit evidence | Build yourself | Evidence Capsule built-in |
| Customization | Full control | Configurable thresholds, custom lists (Enterprise) |
| Cost at scale | High fixed cost plus headcount | Pay per use, starts at zero |
| Latency | You own it | Managed and low-latency (no published SLA — measure on your own workload) |
Build if
- You have a dedicated compliance engineering team with ML/NLP expertise
- Your entity resolution needs are highly specialized (for example, Chinese corporate structures)
- You already maintain sanctions data for other purposes
- Regulatory requirements mandate in-house processing with no third-party access
Buy if
- You need to go live in weeks, not quarters
- Your team does not have spare engineering capacity for data pipeline maintenance
- You need reviewable evidence without building a decision-log system
- You want benchmarked accuracy without running your own test suite
- You need coverage of many configured sources without managing all the ingestion jobs yourself
Honest framing: Verifex is a buy option. Most teams should buy screening infrastructure and focus engineering resources on their core product. If you have unique requirements that justify building in-house, Verifex can serve as a secondary benchmark layer during development.
Frequently asked questions
How much does it cost to build sanctions screening in-house?
Conservative estimate: $300K to $600K in engineering time for initial build, plus $150K to $300K annually for data source maintenance, infrastructure, and tuning. This assumes a team of 2 to 3 engineers.
Can I start with a vendor and migrate in-house later?
Yes. Many teams use Verifex as a secondary layer while building internal capability. The Evidence Capsule format makes it easy to compare vendor and in-house results during transition.
What is the minimum viable buy option?
Verifex Free plan: 50 screens per month, no credit card required. You can evaluate accuracy, latency, and evidence quality before committing to a paid plan.
Does buying mean less control?
Not necessarily. Verifex offers configurable thresholds, custom list integration (Enterprise), and full API access. You control when and how screening happens; the vendor handles the data pipeline.
This is educational material about screening operations. Verifex provides screening infrastructure and evidence records, not legal advice, transaction approval, or a replacement for your risk-based compliance program.
Continue reading
Run a screening and inspect the decision record.
The free plan includes OFAC and UN screening. Coverage stays explicit when a required source is unavailable.