The Microsoft Dynamics 365 Business Central licensing model is mainly based on a flexible monthly subscription-oriented approach that provides companies with comprehensive ERP solutions under personalized plans. This option allows you to scale your resources based on your company’s needs while ensuring cost control.
A perpetual usage plan is also available based on the right to use the system license in perpetuity. The fee for this solution is divided into two components- a license depending on the number of modules and users and an annual subscription called Enhancement Plan.
The third solution is the on-cloud model (Software as a Service), in which all the basic infrastructure, middleware, and application data reside in a Microsoft Azure database. This option allows customers to get up and running quickly with minimal upfront cost.
License types and entitlements in Microsoft Dynamics 365 Business Central
Licensing within Microsoft Dynamics 365 Business Central includes a variety of entitlement types to suit the diverse needs of organizations. The primary license categories are Full Users and Team Members. At no additional charge within the license, Microsoft also grants one administrative user and one user for so-called external accounting.
We can divide the Full User license into two additional categories, but note that they cannot be combined within the same environment. These licenses are Essentials- providing access to financial, supply chain, project management, or sales and marketing functionalities. Premium- This allows you to perform all the functions of the Essentials category, further extending the capabilities to include service and production management.
A Team Members license user is a partial Dynamics 365 Business Central user. Its license privileges allow it to read any data in the system while significantly limiting its writing capabilities.
The Device license associated with a device is also worth mentioning. It allows you to assign a license to a specific device instead of a user. This is particularly useful when several employees use the same device (a terminal) in manufacturing plants or warehouses.
Essential license
A primary type of license designed for companies requiring access to most areas.
It allows access to such areas as Reports, Finance, CRM, Sales, Warehouse, etc. Users with this license can create and manage sales and purchase documents, track financial transactions, plan budgets, and generate reports.
It is more affordable than the Premium license, making it a fitting option for companies not deeply involved in intensive business operations but still needs access to the system’s vital information.
Premium License
A license with access to the full range of features included in the Essentials license is extended with additional capabilities, allowing you to take full advantage of the ERP system’s potential.
In addition to managing finances, sales, and purchases, it allows access to service management or production functions, such as planning and process tracking.
The Premium license is designed for companies that want to use the full potential of Microsoft Dynamics 365 Business Central.
Team Members license
It is designed for users who only require access to essential information and reports.
It allows viewing data, approving tasks, or generating reports but does not provide full editing capabilities or create transactions.
It provides a cost-effective option for employees who are not involved in intensive business operations but require access to the information contained in Dynamics 365 Business Central.
Integration with Microsoft Outlook
It is possible to easily combine access to Microsoft Dynamics 365 Business Central with a Microsoft Outlook account through an add-in that allows you to manage business interactions with customers and suppliers directly in Microsoft Outlook. The Business Central add-on for Outlook will enable you to view financial data related to customers and suppliers and create and send financial documents such as quotes or invoices.
Summary
Microsoft Dynamics 365 Business Central offers a variety of licensing options, enabling companies to customize their ERP system and support business growth. The licensing model is based on a flexible subscription, perpetual licensing, or an on-cloud solution. With Essential, Premium, and Team Member categories, enterprises can customize licenses to meet their business’s different needs and responsibilities. In addition, per-device and third-party accountant licenses enable simplified system use internally.