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How does it differentiate with on-premise software?

Businesses with in-house business management and accounting software typically have their own internal or external IT resources. With on-premise software, the IT personnel are responsible for maintaining the server(s). The accounting system may consume their time so you have to ask yourself if your staff have the time, skills and abilities to take this on. 

Simple accounting software in the market typically do not cost a lot of money to buy. However, the upfront costs for big business ERP software are typically higher because you pay for all the servers, infrastructure and software licenses upfront. This is called capital expenditure, where the solution can cost you tens of thousands to hundreds of thousands of dollars to purchase and implement. There are also the ongoing costs to consider in maintaining, upgrading and looking after your own IT infrastructure and network. 

 

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