Multi-Tenant SaaS

Definition: A SaaS architecture where many customers (tenants) share the same application and database, isolated by software.

What it is

Multi-tenant SaaS is the architecture used by virtually every modern web app: one application instance, one database, many customer 'tenants' isolated by application logic and (often) row-level security. Multi-tenant is cheaper to operate and faster to update than single-tenant, but requires careful isolation engineering.

Why it matters

Multi-tenant is what makes $12/seat pricing economically possible. Single-tenant SaaS typically costs 5-10× more to run per customer.

Layer UI in context

Layer UI is multi-tenant on Supabase Postgres with RLS isolation — each workspace is a logical tenant in shared infrastructure.

Related terms

Row-Level Security (RLS)

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