Now that you know you need a new business management solution; you’re researching available ERP systems. If you’ve read the Vision33 ERP Software Selection Guide, you’ve identified the features you need to gain visibility into your operations, streamline and automate processes, and achieve profitable growth. But for some, choosing ERP often comes down to price. Small to midsized businesses operating on a shoestring budget must be confident they’re making the right choice, and understanding the cost of an ERP solution like SAP Business One is the only way to get true value.
While some ERP vendors advertise a low licensing price per user, that face-value number doesn’t show the complete picture. Here are a few factors that may be hiding in an ERP vendor’s SAP Business One cost-per-license quote.
Experience of Your ERP Partner
SAP Business One is sold exclusively through SAP partners. SAP partners ensure successful implementations by tapping into the expertise of implementation consultants who have acquired experience over decades of selling and supporting the solution.
After you get a quote from an ERP vendor, consider their experience. An inexperienced ERP partner might result in a drawn-out, inefficient ERP implementation project, which will drive costs up. Or perhaps their inexperience led them to accept a project they weren’t truly prepared for. A project that isn’t correctly defined before it starts often results in multiple change requests to the project scope that add time and money.
Even if the price tag is higher, the right partner will offer a formal implementation strategy with your SAP Business One purchase, so you’ll know what to expect as the project progresses. The right partner will also have the experience to leverage industry best practices, minimize risk, and ensure project success.
An ERP vendor offers a low-ball price to get their foot in the door – it indicates nothing of their experience or success rate. ERP implementations are complex projects that require an experienced partner with demonstrated SAP Business One success stories.
Consider for a moment when you're in the market for a new car. A dealership offers a warranty that covers the expenses required to maintain the car and ensure peak performance. Your ERP software is similar in that it will also require regular maintenance (e.g., patches, hotfixes, and version upgrades). Software maintenance provides your business with things like disaster recovery and data maintenance, networking security, hardware upgrades, and cloud services. It’s unlikely the an ERP vendor who presents you with the lowest-priced quote for SAP Business One licenses is including these essential maintenance costs.
Who Else Are You Partnering With?
If a partner doesn’t offer comprehensive ERP services, it means you’ll be partnering with other parties for supplemental services, including customer support, third-party software integrations, hosting, and customizations. In addition to having no control or choice regarding the other vendors, the more third parties you partner with, the higher the SAP Business One implementation cost will climb. An ERP partner that sells the solution and provides comprehensive SAP services in-house ensures there’s a single point of contact for all your ERP needs and a lower price point.
So, How Much Does SAP Business One Cost?
SAP Business One was designed to be affordable for small to midsized businesses, but always consider the haste with which an ERP vendor presents a highly competitive price tag. Such prices usually mask hidden costs as described above. The bottom line? If it looks too good to be true, it probably is.
How much does SAP Business One cost? It is more affordable than you think. If your business is considering moving to an SAP enterprise solution, first compare each and their costs with the Vision33 eBook The Right SAP Solution for Your Midsized Company. In the eBook we contrast SAP’s three ERP product offerings for small and mid-sized businesses including SAP Business One, SAP Business byDesign, and SAP S/4 HANA in the public cloud. In addition to license costs, we break down key considerations for deployment options, as well as implementation time frames so that you can make the right choice for your business.