September 13, 2023

SAP Business One Cloud or On-Premise. Comparison

Listen to the audio post to hear the comparison between SAP Business One Cloud and On-Premise

SAP Business One Cloud or On-Premise. Comparison


SAP Business One is the preferred ERP for SMEs. Its features have enabled thousands of companies to optimise their processes and gain productivity. As a result, they are now more solvent and profitable businesses. However, even when a management team decides to implement this platform, it faces a major issue: they must choose between SAP Business One Cloud or On-Premise.

In the following sections, we will show you the features of each method. This is a comparative guide that will give you more information about the two options and enable you to make a better decision based on the type of organisation you manage. Read to the end to find out everything about SAP Business One Cloud and On-Premise.

SAP Business One Cloud and On-Premise offer two different approaches to the same product

SAP Business One is a powerful software package. However, it is so versatile and complex that it must be implemented by a team of specialists. This is the only way to make the most of their capabilities and integrate the tool into the company's workflows. The problem is that there is no single way to implement SAP Business One. In fact, it can be implemented in Cloud or On-Premise.

What is SAP Business One Cloud?

It is a cloud-based ERP solution that hosts software and data on remote servers that can be accessed via the Internet. Its merits include simple scalability, external maintenance management, releasing internal IT resources, and flexible access for users anywhere. Without going further, it is a good solution for companies with staff in a wide range of geographical locations.

What is SAP Business One On-Premise?

This is the installation of software and data on the company's local servers. Unlike the cloud option, the company is responsible for the infrastructure, maintenance and software updates. Although this may require a higher initial investment in terms of IT hardware and personnel, some companies prefer this option because of the direct control they have over their data and the ability to customise the infrastructure according to their specific needs. It can also be the best choice in sectors that are highly regulated and that need to protect the information they store at the highest level.



Implementing SAP Business One enables them to connect, control and optimise all areas of their business in a single system

SAP Business One Cloud and On-Premise: comparison

Now it is a little clearer what each model offers, it's time to compare them in depth. We will analyse a total of 11 sections where the solutions differ.

Initial and long-term cost

  • Cloud. It is less expensive initially, as it does not require investment in local infrastructure. However, in the long term, ongoing subscription payments may entail a higher cost depending on the company.
  • On-Premise. There is a higher initial cost to acquire hardware and licences, but recurring expenses are generally lower, which may be more economical in the long term.

Access and operability (remote and local)

  • Cloud. Allows remote access via the Internet from anywhere in the world.
  • On-Premise. Local operability and access that can only function via the company's local network.

Updates and maintenance

  • Cloud. Updates and maintenance are handled by the cloud provider.
  • On-Premise. The company is responsible for updates and maintenance, which may require additional IT resources.


  • Cloud. Offers more straightforward scalability by allowing resources to be adjusted according to changing needs.
  • On-Premise. Scalability can be more complex and costly due to the need to acquire and configure additional hardware.

Need for IT staff

  • Cloud. Reduces the need for internal IT personnel, as management is the responsibility of the cloud provider.
  • On-Premise. Requires an IT team to manage the infrastructure and updates.

Business security and continuity

  • Cloud. A relationship of trust must be established with the supplier and with regard to the applicable security policy. This also applies to their ability to maintain service continuity.
  • On-Premise. Under this model, the company has greater control over the security and availability of the platform, but it also assumes greater responsibility. If there are problems, it must resolve them using its own staff.

Data and infrastructure control

  • Cloud. Necessarily, some control over data and infrastructure must be ceded to the cloud provider.
  • On-Premise. This model gives the company greater direct control over its data and infrastructure.


  • Cloud. Although it is a highly customisable solution, the versatility of the product may be dependent on the external infrastructure, especially when it has been substantially modified.
  • On-Premise. Allows for more thorough customisation, adapted to the specific needs of the company, without infrastructure limitations.

Internet connection dependence

  • Cloud. Access to cloud resources requires employees to have an active Internet connection at all times.
  • On-Premise. This solution works even without an Internet connection, guaranteeing continuous operability in the event of connection failures.

Problem resolution response times

  • Cloud. Problem resolution response times are dependent on the cloud provider, which may constrain workflows according to circumstances.
  • On-Premise. Under this model, the company has greater control over response times, although this does not necessarily mean they will be shorter than those of a cloud provider.

Security responsibility

  • Cloud. The supplier is responsible for security. This means you don't have to invest so many resources in this area and can enjoy relative peace of mind.
  • On-Premise. Although the company has greater responsibility in these areas, it also has greater control.

SEIDOR is a reliable partner for SAP Business One implementation

The choice between SAP Business One Cloud and On-Premise will ultimately depend on the needs and preferences of the company. Those who seek rapid implementation, scalability and flexible access, often opt for the cloud. Whereas, organisations that value direct control over infrastructure and data are more inclined to choose local implementation.

However, regardless of the type of implementation your business needs, SEIDOR is by your side. We are endorsed by our status as a SAP platinum partner and decades of experience. We have helped hundreds of organisations improve their productivity and increase their profitability by implementing powerful tools like SAP Business One Cloud and On-Premise. We are convinced that we can help you achieve the same at your company. Ask us any questions about the product, implementation process, benefits or SAP Business One prices. Contact us now!


SAP Business One

Find out about all the advantages of having SAP Business One in your business

You may be interested in

August 28, 2023

The role of SAP Business One in business opportunities

Taking advantage of business opportunities is only possible with the most convenient tools. Read on to find out how business environments are evolving and what pioneering companies are doing to adapt and stay competitive. In the following sections we talk about the importance of detecting business opportunities and how SAP Business One has become a key tool for your SME to do so.

July 18, 2023

Data analysis with SAP Business One. The essentials.

Presenting the most comprehensive guide to data analysis with SAP Business One. We have no doubt that analytics has become an essential tool for large corporations. However, the most fascinating trend is watching as it gradually takes hold in SMEs and small businesses as well.

March 31, 2023

Learn how to use a balanced scorecard with SAP Business One

If you want to know all about the SAP Business One Balanced Scorecard, you've come to the right place. This is a complete and comprehensive guide that looks at how this feature works and the benefits it brings to your business. By the time you finish reading this, you'll have learned everything you need to know about an indispensable tool in any ERP: the scorecard.