Microsoft Dynamics vendors provide comparisons and opinions to professionals in the ERP/Accounting software selection process


Stoneridge Software

Microsoft Dynamics GP On-Demand, Hosted, or On-Premise – Which Deployment is Best for Me?

Email | Print

Feeling like there are too many options?  Do not let the flexibility of Microsoft Dynamics GP deployment options halt your decision-making process.  Depending on the size, IT resources available and requirements of your organization, all options could make sense at different stages of your organization.

First, let’s clarify what these different deployment platforms are.


Tried and True. This has been the standard implementation since the inception of Dynamics ERP. On-premise provides full-bodied functionality and customizations to companies with their own internal IT resources.  On-premise solutions require adequate infrastructure, and a commitment to on-going maintenance and security.  This doesn’t mean you have to be a Fortune 500 Company.  Simply, it is advantageous to have suitable IT on staff.  The total cost of ownership is higher than the other options, but can be reduced over time.

Payment: Owned License with up-front software purchase.  Yearly licensing fees. (Reasons why to stay on top of your licensing fees)

On premise might be a good fit if your organization:

  • Has more than 10-15 users.
  • Has the need for increased customizations and integration with other applications to maximize your efficiencies. (yes please!)
  • Prefers to have complete control over the maintenance windows, issue resolution, security, data, and service pack updates etc.
  • Is interested in greater long-term value and ideal when you've already invested in an IT environment and staff.


Hosting offers a convenient, cost effective solution for companies with limited or no internal IT resources.  Stoneridge Software’s clients have the option to purchase their Microsoft Dynamics solution and host it in a secure data center for enhanced security, improved performance and peace of mind with no down time.  The application is accessible via the internet for greater flexibility.  These applications can be moved on-premise at any time, and on-premise solutions can be moved to a hosted environment.

Payment: Owned Licenses with upfront software fees.  Monthly fees and yearly licensing fees.

Hosting might be a good fit if your organization:

  • Prefers to outsource.
  • Wants a convenient, cost effective solution and has limited internal IT resources.
  • Has the need for increased customizations and integration with other applications to maximize your efficiencies.
  • Wants to add users and customizations and integrations as your business grows.



You’ve heard the buzz by now.  On-demand, also commonly referred to as cloud computing or SaaS (software as a service), offers similar capabilities of an enterprise-level business management application, with off-balance sheet costing.  An application provider hosts and manages the software solution, and you pay a monthly subscriber fee.  On-Demand. Cloud. Saas. However you want to say it, these applications are accessible via the internet.

For example, one of the largest hosting providers RoseASP has developed a “cloud” offering for Microsoft Dynamics GP called, myGPcloud.  This service starts at $139 per month.  The myGPcloud service includes all of the rich accounting, business-intelligence and financial-management features of Microsoft Dynamics GP, as well as automated on-line provisioning, training videos and guides, template setup and technical support, and available integration to the business portal, SharePoint, and customer relationship management systems.

Payment:  Monthly subscription.

On-demand might be a good fit if your organization:

  • Prefers to outsource.
  • Has less than 15 users.
  • Has no IT.
  • Desires fast time to benefit, with minimal commitment.

Suggestion:  Before you commit to subscribing, make sure your provider will make available a backup of your data including all reports and customizations and deliver it to you.

Bottom line, whatever direction you go, you should be in a position to migrate to whatever deployment makes the most sense to your business.   If you start out with On-premise by hosting and maintaining your own SQL server, you can stack on CRM online, which is another hosted solution Microsoft offers.  Down the road, if your organization experiences changes where IT is downsized restructured, you easily can migrate to a hosting company.  No data is lost, and no additional licenses will be required.  You just have to pay hosting fees (in addition to your licensing fees.)

So what’s the best solution for your organization?  Let us help. Stoneridge Software has years of experience and can help you determine where to start and get you pricing on these different options today.

2 Responses to “Microsoft Dynamics GP On-Demand, Hosted, or On-Premise – Which Deployment is Best for Me?”

  1. Sarah says:

    Thanks for the comments Doug and great point. That’s one reason why I’m so greatful for a service like myGPcloud. We all shop and learn differently, and for those that are more hands on learners, the trial is a great avenue for them. I would love to help someone that already knows GP is a fit for their organization.

  2. Doug Pitcher says:

    Great article and thanks for the shout out.

    One thought on the difference in user mentality from on-premise vs. On-Demand.

    On-premise clients start with looking for a partner and then use the partner to guide the Dynamics purchase and implementation.

    The On-Demand user looks at testing out the system for themselves first then they’ll connect with a partner afterwards. I chat with people every day trying out myGPcloud’s 30 day free trial and most of them say “I’ll find a partner when we decide if the software will fit our company’s needs.”