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You are here: Home / Why should you choose ERPetology? / Cost of Ownership Comparison

Cost of Ownership Comparison

This chart shows how much a company can save using ERPetology’s solution compared to four leading ERP providers. All examples assume a manufacturing company with one admin user, 10 manufacturing production employees, 4 sales employees who will need to access quotation and sales orders, and two accountants, and include a supplier portal that will allow suppliers to submit quotes and a customer portal where customers can see work status, pay invoices and review open and closed quotes, sales orders and invoices. *(add a footnote: These estimates are simplified, and actual costs could vary greatly based on specific business requirements and the pricing model of the chosen ERP version.)
  • Total Five Year Cost of Ownership:

  • Licenses and Users

  • Implementation

  • Hosting

  • Supplier and Customer Portal

ERP Software Cost Breakdown Total Cost*
ERPetology Licensing/Subscription: $0
Implementation: $10,000
Hosting: $15,000
Customer and Supplier Portal: $0
$25,000
SAP. B1 Licensing/Subscription: $185,000
Implementation: $10,000
Hosting: $15,000
Customer and Supplier Portal: $10,000
$220,000
Epicor Prophet 21 Licensing/Subscription: $216,670
Implementation: $38,334
Hosting: $15,000
Customer and Supplier Portal: $10,000
$280,004
NetSuite Licensing/Subscription: $111,000
Implementation: $20,000
Hosting: $0
Customer and Supplier Portal: $0
Total: $131,000
$131,000
Microsoft Dynamics 365 Licensing/Subscription: $185,000
Implementation: $35,000
Hosting: $0
Customer and Supplier Portal: $0
Total: $220,000
$220,000
ERP Software Overview of licensing and user access
ERPetology Admin user, Manufacturing users (10), Sales users (4), Accounting users (2): Free
SAP. B1
The exact cost will depend on the pricing of the specific SAP B1 version you choose, but for the sake of simplicity, let's assume a Professional User License costs around $3,000 and a Limited User License (for the manufacturing and sales employees) costs around $1,500.
  • Admin user (1 x $3,000): $3,000, x five years = $15,000
  • Manufacturing users (10 x $1,500): $15,000, x five years = $75,000
  • Sales users (4 x $1,500): $6,000, x five years = $30,000
  • Accounting users (2 x $3,000): $6,000, x five years = $30,000
SAP also charges an annual maintenance fee that is usually around 18-22% of the license cost. For our example, if we assume a 20% maintenance fee on the $35,000 for licenses, it would add an annual cost of $7,000, or $35,000 over five years.

Total 5 year licensing cost: $185,000

Epicor Prophet 21
The exact cost can vary, but Epicor Prophet 21 pricing is typically based on the number of concurrent users and the complexity of the installation. As a rough estimate, let's assume $5,000 per concurrent user license.
  • Admin user (1 x $5,000): $5,000 for one year, x five years = $25,000
  • Manufacturing users (10/3 x $5,000): Assuming 1 license for every 3 manufacturing employees: $16,667, x five years = $83,335
  • Sales users (4/3 x $5,000): Assuming 1 license for every 3 sales employees: $6,667, x five years = $33,335
  • Accounting users (2 x $5,000): $10,000, x five years = $50,000
Epicor also typically charges an annual maintenance fee, around 20% of the license cost. If we add an annual cost of $5,000 for maintenance it will cost another $25,000 over five years.

Total 5 year licensing cost: $216,670

NetSuite
NetSuite’s pricing is largely based on a per-user basis, and costs can vary depending on the exact package your business requires. As a rough estimate, let's assume a Full User license is around $1,200 per year, and a Limited User license (for the manufacturing and sales employees) is around $300 per year. The base license is around $12,000 per year, which would include one or two users. 
  • Admin user: included in base license ($12,000 x 5 years): $60,000
  • Manufacturing users (10 x $300 x 5 years): $15,000.
  • Sales users (4 x $300 x 5 years): $6,000.
  • Accounting users (2 x $1,200 x 5 years): $12,000.
A manufacturing company will need to subscribe to additional modules, including:
  • Inventory Management
  • Work Orders & Assemblies
  • WIP (Work in Progress) & Routings
NetSuite doesn't publicly disclose the individual pricing for these additional modules. A ballpark figure could be anywhere from an additional 20% to 50% or more of your base licensing fee per year. At 30% of $12,000, this would add an additional $3,600 per year or $18,000 over five years.

Total 5 year licensing cost: $111,000

Microsoft Dynamics 365
The exact cost will depend on the specific licenses you choose. In our example the licenses for Sales users do not including AI  features, to keep the features more consistent with the other providers. This example includes one Business Central Premium license, two Business Central Essentials licenses for accountants, four Sales Professionals licenses and ten Team Member licenses.
  • Admin user (1 x $100 x 12): $1,200, x five years = $6,000
  • Manufacturing users (10 x $8 x 12): $960, x five years = $4,800
  • Sales users (1 x $65 x 12, 3 x $20 x 12): $1,500, x five years = $7,500
  • Accounting users (2 x $70 x 12): $1,680, x five years = $8,400
Total 5 year licensing cost: $26,700
ERP Software Implementation Costs
ERPetology 1 time cost of moderate complexity implementation: $10,000
SAP. B1 The cost of SAP B1 implementation varies significantly based on the complexity and specific business requirements. It can be anywhere from $10,000 to $100,000. Let's assume a lower-end cost similar to ERPetology for this comparison: $10,000.
Epicor Prophet 21 Implementation costs for Epicor Prophet 21 can vary greatly depending on the complexity of the project, but it's not uncommon for it to be 1-3 times the software costs. Let's take a conservative estimate of 1 times the software costs: $38,334.
NetSuite Implementation costs for NetSuite can be quite variable, depending on the complexity of the project. Let's assume a moderate implementation cost of $20,000.
Microsoft Dynamics 365 Implementation costs vary. Estimates on various websites range from $35,000 to $100,000 for a small manufacturing implementation. For our example let's assume a moderate $35,000.
ERP Software Hosting Costs
ERPetology
  • Monthly hosting cost: $250.
  • Hosting cost for five years (60 months): $250 x 60 = $15,000
SAP. B1 Hosting costs would depend on whether you're choosing an on-premise or a cloud-based deployment. For a fair comparison, we'll assume the same cost as ERPetology: $250 per month, or $15,000 for five years
Epicor Prophet 21 Hosting costs would depend on whether you're choosing an on-premise or a cloud-based deployment. For a fair comparison, we'll assume the same cost as ERPetology: $250 per month, or $15,000 for five years.
NetSuite Hosting is included in NetSuite's subscription price. $0..
Microsoft Dynamics 365 Hosting is included in Microsoft Dynamic's subscription price. $0..
ERP Software Cost of Supplier and Customer Portals
ERPetology This feature is built-in in ERPetology and doesn't require additional costs.
SAP. B1 SAP doesn't include a supplier or customer portal out of the box, so these features would have to be custom built or additional modules would have to be purchased. Let's conservatively estimate this cost at $10,000.
Epicor Prophet 21 Epicor Prophet 21 offers eCommerce solutions, which could potentially serve as supplier and customer portals, but these come at an additional cost. Let's assume a modest estimate of $10,000 for these services.
NetSuite NetSuite offers built-in customer and vendor centers that provide similar functionality. These features are included in the core NetSuite package.
Microsoft Dynamics 365 Customer and supplier portals are included in the Microsoft Dynamics 365 Business Premium license.

* These estimates are simplified, and actual costs could vary greatly based on specific business requirements and the pricing model of the chosen ERP version.

It is clear from these estimates that ERPetology can provide the same features at a tiny fraction of the cost by eliminating licensing and subscription fees. Add to that the greater flexibility and easier customization of our open source software, and the choice is obvious

ERPetology

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  • Home
  • Why ERPetology?
    • A Unified Data Ecosystem
    • Lower Cost of Ownership
    • Manufacturing Efficiency
    • Open Source Advantages
    • A Better Open Source ERP
    • Fully Customizable
  • Features
    • Project Management
    • Customer Relationship Management (CRM)
    • Sales and Purchase Management
    • Inventory Management
    • Accounting and Finance
    • Human Resources Management
    • Manufacturing
    • Ecommerce
    • ERPetology Pricing and Packages
  • Video Demos
  • Free Consultation