Understanding SAP Business One Licensing
Designed to suit companies of all kinds, SAP Business One licenses provide scalable solutions that guarantee compliance and economy of cost. User-based pricing lets companies choose the correct number and type of licenses to maximise their ERP investment.
User-Based Licensing
Pricing is determined by the number of users and their required access level.
Scalability & Compliance
Businesses meet regulatory and operational requirements while allowing room for growth.
Fairfax Solution's Role
Expert assistance in selecting the optimal licensing plan to enhance cost-efficiency and productivity.
Fairfax Solution’s Licensing Optimization
Fairfax Solution analyzes business requirements to identify the most cost-effective licensing approach. By assessing operational needs and projected growth, we help businesses streamline their licensing structure for maximum efficiency.
- Assessing current and future business requirements to allocate cost-effective licensing.
- Reducing unnecessary expenses by optimizing license structures.
SAP Business One Licensing Types
SAP Business One offers two primary licensing models — Perpetual and Subscription to cater to different business financial structures and operational needs.
One-time cost + annual maintenance fee
Designed for businesses looking for long-term ownership of their ERP system, the Perpetual Licensing Model involves a one-time upfront payment with an annual maintenance fee.
Best for businesses seeking long-term ERP ownership with lower long-term costs.
Requires an initial upfront investment with an annual maintenance fee for support and updates.
Professional User License
Full access to all SAP Business One features.
Limited User License
Role-specific access to Finance, Logistics, Sales, etc.
Starter Package License
Basic features for small businesses at a lower cost.
Monthly or annual payments per user
A flexible and budget-friendly option, the Subscription Licensing Model allows businesses to scale their ERP usage with predictable, recurring costs.
- Ideal for businesses looking for lower initial costs with predictable ongoing expenses.
- Suited for cloud-based deployments with scalable licensing.
- Allows for easier license count adjustments based on business needs.
Choosing between cloud and on-premise deployment depends on your business’s control requirements, customization needs, and IT infrastructure.
SAP Business One Cloud
Hosted on SAP’s Cloud or Partner Cloud (managed by Fairfax Solution), ensuring minimal IT maintenance.
On-Premise
Installed on the customer’s own servers, offering greater control and customization for businesses with in-house IT resources.
User-Based Licensing Structure Full User Equivalent Model
SAP Business One licenses are structured based on a Full User Equivalent (FUE) model, ensuring businesses only pay for the exact user access levels they need.
FUE Calculation
Different license types contribute fractional values to total costs.
Professional User
Full access (1 FUE per user).
Limited User
Restricted access (0.5 FUE per user).
Indirect Access Users
Third-party applications integrating with SAP (cost varies by usage).
Licensing for Add-Ons & Third-Party Integrations
SAP Business One supports various industry-specific add-ons and third-party integrations that may influence licensing costs. Businesses integrating additional functionalities must consider how these extensions impact their licensing structure.
SAP Business One add-ons extend the platform’s capabilities to accommodate industry-specific needs, such as advanced manufacturing, warehouse automation, and quality control.
- Developed by SAP and partners to extend ERP capabilities.
- Some advanced add-ons (e.g., Manufacturing Execution, Warehouse Automation) may require additional licenses.
- Fairfax Solution ensures cost-effective licensing for add-ons
Connecting third-party systems to SAP Business One via APIs can require additional licensing considerations, such as indirect access fees.
- External applications accessing SAP data via API may require an Indirect Access License.
- Licensing fees vary based on data exchange volume and automation level.
- Fairfax Solution helps businesses minimize unnecessary indirect access costs.
- Businesses that build custom applications on SAP HANA must consider they require additional licensing.
- Custom apps built using SAP HANA may need HANA Enterprise or Runtime Licenses.
- Fairfax Solution provides guidance on selecting the most cost-efficient SAP HANA licensing model.
How to Choose the Right SAP Business One Licensing Model?
Choosing the best SAP company One licensing option calls for weighing technology stack integration, company goals, and growth possibilities. Fairfax Solution offers customised licensing advice for compliance and financial savings. Several elements influence the choice of licencing model: operational complexity, legal restrictions, and financial concerns. Keeping in mind these important elements guiding license decisions, a systematic strategy guarantees alignment with long-term corporate objectives while preserving flexibility for future expansion.
Business Growth
Future expansion plans and scaling needs.
User Access Levels
Number of users and their required permissions
Deployment Choice
Cloud-based vs. on-premise hosting.
Third-Party Software Integrations
Existing CRM, BI, and eCommerce integrations.
Stay Ahead with SAP Business One Insights
Track the newest ERP trends, SAP Business One updates, and digital transformation ideas. With real-time analytics, SAP Business One ERP helps companies to automate important tasks, lower manual labour, and make data-driven choices.
Frequently Asked Questions About SAP Business One Licensing
Understanding the complexities of SAP Business One licensing is crucial for businesses aiming to make the right investment decisions. Below are some of the most frequently asked questions to help you navigate your licensing options efficiently.
Pricing depends on the license type, user count, and deployment model. Contact us for a customized quote.
Yes, Fairfax Solution assists businesses in transitioning between licensing models as needs change.
Some integrations may require extra licenses. We evaluate your usage to determine cost-efficient solutions.
Maximize Your SAP Business One Investment with the Right Licensing Model
