The company decided to develop the aircraft as a private venture and intended for it to serve in a wide variety of military and civil capacities.

In a military capacity, the 105 can be operated as a jet trainer, conduct aerial reconnaissance and ground attack, and in a limited interceptor capability.

[3][4] Among the diverse roles planned for the aircraft, Saab proposed a four-to-five seat business jet cabin configuration which was intended for corporate customers.

[7] Early on, the Swedish Air Force had formed a commitment with Saab that, contingent upon satisfactory performance of the prototype during flight testing, an order for at least 100 aircraft would be placed.

[11] An improved version, designated as the Saab 105Ö, was procured by Austria as a lightweight multi-role aircraft, with the intention to deploy them in trainer, reconnaissance, interception and ground attack roles.

To meet the requirements specified by the Austrian Air Force, the 105Ö features several key differences, which includes some avionics changes, the adoption of a strengthened wing for carrying greater quantities of munitions and equipment upon the underwing hardpoints, and a more powerful version of the Turbomeca Aubisque powerplant, providing superior performance when operated from air bases at high altitude.

[4] As built, the Saab 105 was typically powered by a pair of Turbomeca Aubisque low-bypass turbofan engines, licence-manufactured by Volvo Flygmotor as the RM9.

In August 2010, 22 of Austria's Saab 105 aircraft remained operational, attaining a combined total flight time of roughly 1,500 flying hours per year.

One goal of this modernisation was increased compatibility with the Saab JAS 39 Gripen, the primary combat aircraft of the Swedish Air Force.

Major General Micael Bydén observed that multinational training opportunities were being examined and that prospective replacement aircraft included the Alenia Aermacchi M-346, BAE Systems Hawk and Pilatus PC-21.

The advanced trainer requirements specify the presence of an embedded training capability, including simulated radar and weapons use, as well as tactical displays in both cockpit positions resembling fourth and fifth-generation jet fighter aircraft.