There are a lot of factors to consider when choosing between a Cloud-based and on-premise system. For instance, how much you want to customize your software will often influence which deployment model fits your business needs. Historically, Cloud software has been less customizable because software vendors haven't built out as strong of development tools to alter the system as they have for on-premise software. For this reason, buyers that require a lot of customization sometimes prefer an on-premise system. Of course, as the Cloud technologies have evolved, more customization options have come to market.
In any case, one of the chief considerations for many software buyers is cost. At SoftwareAdvice.com, we help software buyers research the accounting software market. As part of our work there, we recently built an interactive tool to help buyers compare the total cost of ownership (TCO) for on-premise and Cloud software solutions. Our Total Cost of Ownership Calculator provides an easy way for software buyers to create a 10-year apples-to-apples price comparison of both deployment models.
While you need numbers from vendors to get a ballpark estimate of your actual TCO, we've preloaded the calculator with an example case so you can get a general idea of your costs over a 10-year ownership period. We also try to explain in plain English the different factors that will influence your costs over time. Check it out to get a better idea of what your costs might be. If you have any other questions about making this choice, you can also feel free to ping me at firstname.lastname@example.org.
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