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Anya Ciecierski, CAL Business Solutions

Two Discounts to Lower the Cost of Microsoft Dynamics GP – Price Comparison and FAQ


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How much does Microsoft Dynamics GP cost? When you get the answer you should always ask if there is a discount or promotion currently being offered by Microsoft for Dynamics GP. In the past several years the answer is usually yes.

The last promotion ended in June 2014. As of September 17, 2014 two new price discounts are available to lower the cost of Microsoft Dynamics GP until December 27, 2014.

 1) Give Me 5 Starter

New Microsoft Dynamics GP customers can get 5 users for $4,000.

This is the Starter Pack (including three concurrent full user licenses) plus two (2) additional full user licenses. One year of Business Ready Advantage Plan is required, calculated at 18% of the full system list price (prior to discounts).

This is a $7,000 discount off the regular software list price for 5 users. Expiration: December 27, 2014 (promo code 1651).

Give Me 5 Starter Regular List Price Promotion Price
Dynamics GP Starter Pack $5,000 includes 3 users $4,000
2 Full User Licenses $6,000 ($3000 each) $0
License Total $11,000 $4,000
18% annual enhancement fee $1,980 $1,980 (based on full list price)
Total - 5 Users $12,980 $5,980 (savings of $7,000)

 

2) Give Me 5 +2 Extended

New Microsoft Dynamics GP customers can get 7 users, plus the Extended Pack for $13,500.

This is the Starter Pack (including three concurrent full user licenses) plus four (4) additional full user licenses, plus the Extended Pack. One year of Business Ready Advantage Plan is required, calculated at 18% of the full system list price (prior to discounts).

This is a 50% discount off the regular software list price. Expiration: December 27, 2014 (promo code 1652).

Give Me 5 +2 Extended Regular List Price Promotion Price
Dynamics GP Starter Pack $5,000 includes 3 users $13,500
4 Full User Licenses $12,000 ($3000 each) $0
Extended Pack $10,000 $0
License Total $27,000 $13,500
18% annual enhancement fee $4,860 $4,860 (based on full list price)
Total - 7 Users $31,860 $18,360 (savings of $13,500)

 

Frequently Asked Questions:

What does Microsoft consider a “New Customer” for Dynamics GP?

According to the official Microsoft terms, “These promotions apply only to new customers that have not previously licensed any version of Microsoft Dynamics AX, Microsoft Dynamics GP, Microsoft Dynamics NAV or Microsoft Dynamics SL. Customers who have previously licensed a Microsoft Dynamics product other than Microsoft Dynamics AX, Microsoft Dynamics GP, Microsoft Dynamics NAV or Microsoft Dynamics SL (such as Microsoft Dynamics C5, Microsoft Dynamics XAL, Microsoft Dynamics Retail Management System, Microsoft Dynamics Entrepreneur, or Microsoft Dynamics CRM), may use this promotion but only if the order is placed like a new customer, without the benefit of any license transition credit, if available according to the Microsoft Dynamics Transition Policy.”

In my personal experience, if you have used Microsoft Dynamics GP in the past, but now have a new company name/phone number or a subsidiary, it may be possible for you to get the promotion. Work with your Dynamics partner to get creative on that one….but you didn’t hear it from me.

What is the “Extended Pack” for Microsoft Dynamics GP?

The Dynamics GP Extended Pack is a set of additional advanced functionality for manufacturing, warehousing and professional services. If you purchase the Extended Pack (normally $10,000) the one-time fee covers all users you have now and in the future. It is not a per license cost. See a list of modules included in the Extended Pack.

Keep in mind that often functionality that is included in the Extended Pack may be available by a Dynamics GP add-on product for a lower cost.

What is the Business Ready Advantage Plan and how is it calculated?

The Business Ready Advantage plan is an annual maintenance/service plan from Microsoft. It is the minimum required for the first year for new Dynamics GP customers and it is always calculated on the full system list price of the software, before any discounts. A service plan gives you many benefits including access to updates, new releases, support calls, online training and more. Benefits of the Microsoft Dynamics GP Annual Service Plans

Note: The promotion terms say the Business Ready Enhancement Plan but I confirmed with Microsoft that the 18% Business Ready Advantage Plan is indeed the minimum required for Dynamics GP.

Is it worth getting more Dynamics GP users than I need right now?

If you get extra licenses that you don’t need you will end up paying more in enhancement fees.

For example, if you really only need three users you could purchase the Starter Pack at full price for $5,000 and you would pay $900 for the Business Ready Advantage Plan each year. If you use the Give Me 5 Starter promotion you get 5 users BUT you will pay $1,980 per year for maintenance because the fee is calculated on the full system list price.

This means you will pay an extra $1,080 a year for licenses you may not need right away.

However, if you are growing and you think that you will use those 2 extra licenses (normally $6,000 cost) anytime within the next 5 years you will still come out ahead and it is worth taking advantage of the promotion. It is always nice to have the flexibility of additional licenses.

Is there any other reason not to take advantage of this Dynamics GP discount?

According to Microsoft, customers who take advantage of this offer, “will not be allowed to transition to another Microsoft Dynamics ERP product using a transition credit nor be allowed to transfer either the full license, or any of the Full CALs, or the Extended Pack, for two years from the date they purchase their first Microsoft Dynamics GP Perpetual (all releases) licenses. And are not eligible for discounts on any subsequent order until June 30, 2015.”

One of the values of buying Microsoft Dynamics GP is that if your company grows and your needs become more complex you have the option to move up to Microsoft Dynamics AX and get a full credit on the amount you paid for the initial system. But if you take advantage of this promotion you cannot do that for two full years.

Personally, I don’t think this would be an issue for anyone, as the chances of outgrowing Dynamics GP in just 2 years are very slim. But this prevents people from “gaming” the system.

Also, this promotion cannot be combined with other promotions or any other discounts. So if you have a better promo available (that I don’t know about), you can’t use them both.

When will the next promotion be announced?

My personal, and very unofficial, opinion is that we won’t see another promotion until closer to the end of the Microsoft fiscal year in June 2015. But that is just a guess. We always list current Dynamics GP promotions on our website at http://www.calszone.com/pricing-microsoft-dynamics-gp/current-promotions/.

What else do I need to know about Microsoft Dynamics GP pricing?

There are 4 costs to consider when planning for the price of a Microsoft Dynamics GP purchase. 1) Software licenses 2) Maintenance fees 3) Implementation services 4) Hardware. We outline each of these costs in detail on our website at www.calszone.com/pricing.

For more Dynamics GP pricing advice download the white paper, “30 Questions Every CFO Must Ask About the Cost of Accounting Software” at www.calszone.com/30questions.

For budgeting purposes you can also request a Microsoft Dynamics GP Quick Quote which will give you the list price of licenses and maintenance and the estimated cost of implementation services. Note: promotions are NOT calculated in this quick quote. Request a free automated Dynamics GP Quick Quote at www.calszone.com/quick-quote.

How do I purchase Microsoft Dynamics GP?

Microsoft does not sell their ERP products directly. You can only purchase Microsoft Dynamics GP from a certified Microsoft Dynamics partner, such as CAL Business Solutions.

If you are interested in purchasing Microsoft Dynamics GP visit How to Buy Dynamics GP and contact CAL Business Solutions at sales@calszone.com or 860-485-0910 x4.

By Anya Ciecierski, CAL Business Solutions, Connecticut based Microsoft Dynamics GP partner serving 300 companies in 29 states.

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