How Much Does Cloud ERP Cost?
Searching for the best ERPs for your manufacturing company is a task that needs to be approached from multiple angles: functionality, scalability, intelligence, support, the list goes on and on. Regardless of which route your team takes in an ERP search, there is always a bottom line factor: Cost. When factoring costs for an ERP implementation, there are two aspects to examine: Recurring and Implementation.
Traditional ERP Recurring Fees
At a base level, all ERP systems require a monthly subscription plan, and most of those monthly charges are driven by a few key components: number of users, the extent of the application (i.e. add-on modules or features), and where the software is hosted.
Number of Users: The majority of the ERP systems require a recurring monthly cost on a per user basis, and on average, most businesses searching for an ERP system will find a sticker price at roughly $200/user/month.
The Extent of the Application: On top of the per user cost, you will expect to purchase additional features of the base software. Sales, Inventory and Purchasing are all basic features of an ERP software, but other modules like Accounting and Production Tracking may cost you an additional ‘per user per month’ rate for each of those modules.
Software Hosting: There are two ways in which you can host your software - through a resident host server or in the cloud. Plenty of ERP companies provide one or both of these options, but both have associated costs. Resident hosting requires users to pay a monthly or yearly maintenance fee to make sure your server remains up to date. On the other end, cloud hosting doesn’t require hosting fees, but you will need to pay another monthly or quarterly fee for software updates.
Traditional ERP Implementation Cost
Gene Hammons, an expert in ERP software implementation, lays out a rough estimate of implementation cost for varying businesses sizes. Gene estimates small to medium companies spend somewhere between $50k - $200k for initial ERP implementation cost. Given a recent study, most small to medium business are willing to spend somewhere between $30k - $250k for cloud hosting alone, so there is no expectation to pay anything less. That price nearly doubles when factoring in local hosting. Extensive and unnecessary third party start-up fees, infrastructure fees and database management fees.
ERP services are necessary for a growing business, but the associated cost should not constrict a company from their potential. An ERP should form to a company’s requirements, not the other way around. Implementation and recurring cost shouldn’t hinder a small to medium size business from their eminent success. At Cetec ERP, our goal is to offer a reliable, scalable, cloud ERP software at the lowest cost.
Cetec ERP Recurring Fees
Our vast, robust product is priced at $40/user/month for every module in our system. Though we are hosted in MySQL cloud database, we do not demand any cost for software updates, third party licensing or hosting. This scalable cloud database allows for small to medium business to take hold of their business with very little recurring cost, and we’re able to provide such cut-rate costs because of license free, modern, enterprise technology behind the scenes, and an unwavering dedication to leanness and a highly efficient internal infrastructure.
Cetec ERP Implementation Cost
An average Cetec ERP implementation for a small to medium business is around $20k net cost. This average net cost is a fraction of what is expected to be spent on alternative ERP implementation. Cetec is able to onboard customers because of how modern technology streamlines the ability to convert data quickly, train users on a more intuitive interface and make cost effective custom configurations to the system quickly to address any minor process concerns.
Cetec challenges traditional ERP recurring and implementation costs by slashing the price to 1/5th of the average ERP cost while providing the most powerful, nimble product on the market. Sign up for a free trial and see for yourself!