6 Best ERP Systems For Small Businesses

You are an owner of a small business- sitting in your office wondering how to automate your processes, create a centralized data system, and automate your mundane tasks like generating invoices and monthly reports.  

Or you are thinking to streamline your operations to the extent you don’t have to intervene. Then what you are missing in your life is the magic of ERP systems for small businesses.

If you are thinking, what is an ERP? Then let us tell you that the global ERP market per year is worth more than $25 Billion.

Still, wondering why you should have one, or in case you have decided you want one then don't tax yourself with questions like what is the ERP system cost for a small business? What is the best ERP software for a small business? Don’t worry you have landed on this blog and we have got you covered.

Because we are going to remove all your doubts and make you the ultimate sole possessor of all the ERP knowledge- to usher your business into the era of success and prosperity.

So let’s make you the ERP maestro you wanna be & start with the basics here. We have also prepared a list of the best ERP for small businesses.

What is an ERP? 

Enterprise Resource Planning (ERP) is a software that allows an organization to manage its day-to-day operations. ERPs are used in various domains including accounting, procurement, project and risk management compliance, and supply chain operations. 

For small businesses custom-built software in contrast to the off-the-shelf ERP systems is better- the latter are expensive and their price further increases with add-on features.

6 Signs Indicating You Need An ERP System

These signs will help you assess why you need an ERP for your business. 

1. You have a remote workforce who cannot access information & miscommunication is common.
2. Your data is compromised often or there is constant invasion in the form of unauthorized access.
3. Your customer service is continuously hampered causing a decline in customer loyalty.
4. You have disparate systems & it is becoming difficult to get them to work well together.
5. Your staff takes hours to enter orders & invoices or days to complete monthly reconciliations.
6. You have globally expanded & your team cannot handle multiple currencies or regulatory requirements.

Top 6 ERP Systems For Small Businesses

 

Here’s the list of the best ERP systems for small businesses brought to you by us. 

1. NetSuite ERP

NetSuite ERP is a cloud-based business management solution that enables businesses to operate effectively by automation of core processes. This suite provides real-time visibility into operational and financial performance.

- Businesses Suitable For

NetSuite is best for streamlining operations in businesses with a global presence.

- NetSuite ERP Price

Its cost is approximately $25,000 to $100,000 depending on the modules selected, company size, and complexity.

2. Odoo

Odoo is an open-source ERP and CRM solution that targets a wide range of businesses. It offers the facility of real-time and collaborative project management that works efficiently inside sales with instant visual data.

- Businesses Suitable For

The ERP system Odoo is suitable for small & big businesses alike but can be a good option for small ones as it is affordable.

- Odoo ERP Price

The prices are different depending on the features and packages. The basic package approximately costs about $3,060.00 per year.

3. SAP ERP System

SAP provides real-time information promoting profitable growth based on real-time information. The benefit of using the SAP ERP system is that it helps businesses in the automation of key areas such as finances, human resources, project management, etc.

- Businesses Suitable For

SAP ERP is built primarily for large companies but small companies can also benefit from it but the cost for them can be a hindrance.

- SAP ERP Price

The SAP ERP solution built for SMEs can cost up to $10,000 per year to $250,000 a year.

4. Sage Intacct

Sage Intacct ERP is a cloud-based accounting software that helps businesses boost their operational efficiency, and IT costs. And gain real-time insights into their finances to improve profitability and productivity. 

- Businesses Suitable For

It is a good fit for manufacturing companies but it's great for accounting firms, healthcare agencies, and professional services firms, especially in the legal space.

- Sage Intacct ERP Price

On average, Sage Intacct subscribers spend approximately $15,000 to $35,000 on their annual subscriptions. 

5. Acumatica

Acumatica offers a set of modules with a range of services such as centralized security, integrated document management, and accounting software. Its tools help gain insights into data from anywhere, at any time.

- Businesses Suitable For

The benefits of Acumatica make it suitable for industries such as education, healthcare, agriculture, nonprofits, and transportation.

- Acumatica ERP Price

Its monthly fee is $1,800-$2,900 based on the unique features and needs of the user.

6. Microsoft Dynamicvvvvvs 365

Microsoft Dynamics 365 ERP’s key features include security, reliability, and flexible deployment depending on business needs.

- Business Suitable For

The benefits of Microsoft Dynamics 365 have made it a key choice in every industry. Mostly suitable for mid-sized organizations but expensive for small businesses.

- Microsoft Dynamics 365 ERP Price

Microsoft Dynamics 365 has different packages for different industries. For instance for marketing it is $1,500 per month and for supply chain management it is $180 per month.

Benefits of ERP Software For Small Businesses

Now you have read the signs, it is time for you to know how ERP can be beneficial

1. Small businesses with remote workforce can use ERP for remote workforce management.

2. ERP systems allow data access to authorized users, protecting data from cyber-attacks.

3. Leveraging the power of real-time insights, ERP helps in developing improved customer service.

4. Its central system brings all departmental operations to one place-easily accessible for you to control. 

5. Allows better invoicing with its combination of tools to ensure smooth streamlining of finances. 

6. Modern ERP systems are built to keep up with regulatory requirements & multi-currency handling.

Pricing of ERP Software For Small Businesses

ERP software for small businesses can cost from $20 per month per user to $5,000 per month. If you are taking an off-shelf ERP solution then expect to invest $25,000 to $150,000. 

Yet, customized ERP systems can be within budget for small businesses as you will only have to pay for the features and the functionalities you want. Keeping in view that no monthly subscription fee comes with these ERP solutions in contrast with the off-shelf ones.

In short, the customized ERP system cost for small businesses is much less in comparison to off-shelf solutions.

Frequently Asked Questions

Are ERP systems good for small businesses?

ERP technology for small businesses helps organizations access & manage data,  improve communications, and optimize and enhance productivity.

What problems can ERP solve?

All good ERPs can help small businesses increase their efficiency and reduce costs- allowing them to automate their tasks and processes as well as communicate information across organizations.

Why is ERP important for small businesses?

ERPs have become an essential tool for any booming business that wants to streamline its processes, keep up with consumer demands and optimize its systems. With an ERP system businesses can accelerate customer response, consolidate data and enhance team dynamics. 

What are the biggest advantages of ERP?

The biggest advantage of ERP is its robust data hub which empowers companies to collect, store and analyze their data across multiple operations in one centralized location-providing protected access and more visibility.

What is the main drawback of an ERP system?

The main disadvantage of ERP is the high costs and slow implementation but with customized ERP solutions companies can reduce the cost by only including the features and functionalities they need.