Business Central On-premise
On-premise ERP solution
A Dynamics 365 Business Central On-premise installation allows you to run your business processes and transfers in your local data center and store your business data on your own or at your partner's data center without replicating and connecting your business data to Microsoft Cloud.
In other words, with the on-premise version of Business Central, it is up to you where your data should be placed - on your own servers or at your hosting partner.
Buy or rent
When you buy a license for Business Central, it is entirely up to you whether you want to buy the solution or whether you want to rent it by paying a monthly license per. user. Additionally, as is always the case with Dynamics solutions, a subscription from Microsoft is mandatory.
Why choose on-premise over cloud version?
Unlike Business Central Cloud, Business Central On-premise can be used through both the local desktop Windows client and the web client. Users of Dynamics NAV may miss the desktop client in the cloud version of Business Central, but will get it by choosing the on-premise version.
With the on-premise version you control the update frequency yourself, which means that when it is time for the application to be updated, you have the opportunity to test update and test the application before the update is put into operation. You do not have this control with the cloud version of Business Central, where the updates come automatically from Microsoft and do not allow you to opt-out or postpone them if the solution does not work properly with an extension after an update.
With the on-premise version of Business Central it is possible both to adapt the solution via Extensions or, as you know it from Dynamics NAV, directly in the basic code. With the cloud version it is only possible to make adjustments via Extensions.
With Extensions it is important to be aware that Microsoft does not guarantee for them, which of course also applies to the Extensions found on Microsoft App-Source, which is developed by 3rd party extension developers. In addition, you should also be aware that only the supplier who has made an Extension can change it.
Perpetual vs. Subscription
There are two different license options for Business Central On-Premise, Perpetual and Subscription, each of which has its advantages and disadvantages.
Permanent licensing where you buy the solution forever. However, Microsoft charges a 16% annual Business Ready Enhancement Plan (BREP) for this type of licensing.
The subscription licensing for Business Central On-Premise, where you are licensed per user. per. month and therefore always know your costs.