For under 500 learners on a single course catalog, Teachable or Thinkific ($99-$499/mo) wins — the take rate is cheaper than any custom build can amortize. Canvas and Moodle are the right answer for institutions from 1,000 students upward where SIS integration (PowerSchool, Banner, Workday Student) and LTI 1.3 tool ecosystems matter more than UX. Custom LMS builds at $180K-$400K start paying off around 5,000-10,000 active learners or when the product model itself is the LMS (cohort courses, regulated training, B2B enablement) — break-even vs Canvas is typically month 24-30 at 10K+ learners. Above 50K learners or when FERPA + state student-privacy compliance drives data-residency needs, custom almost always beats Canvas on TCO and flexibility.