In an excellent move Microsoft announced that businesses running Dynamics NAV on premise could move to the CSP (Cloud Service provider) licencing program.
So what does this mean? For these customers it is the paying of an annual licence fee for their Enhancement Plan (BREP) as monthly installments of the equivalent amount. The subtly of this is that rather than being your Enhancement Plan, the monthly fee is actually Dynamics Business Central (cloud) user licences for the same price.
Confused yet. Ok so lets look at the benefits to help clarity.
- It offers customers the ability to move away from an annual lump sum into monthly payments. Given the current climate this is certainly helpful for cashflow reasons.
- It gives on-prem customers Business Central cloud subscription seats at a 1:4 concurrent to named user ratio for no added cost. This is really import as most businesses do require more named users than concurrent. The 1:4 ratio is generous and will allow most customers to avoid any additional licencing cost as a result of the upgrade.
- Business Central cloud subscription seats are priced at a 60% discount. For an Essentials licence, this would be around $42 per month ($105 list price). At this price Dynamics Business Central is the by far the most value for money in the ERP market.
Looking behind these benefits to you, is Microsoft’s desire to lead on-premises Dynamics NAV and Great Plains (GP) customers to the cloud and the related licencing programs, ASAP. The message from Microsoft is that you can continue to operate on your current version of the application (until you are ready to move to Cloud) with your licencing subscription ready to support your transition. All this is to ensure your transition is simple and financially beneficial and prevents you from looking at alternative solutions.
For those businesses looking to schedule their upgrade to Dynamics 365 Business Central this is a great offer is now through to June 30 2021. It is a one year subscription with two year auto renewal option. We highly recommend those Dynamics NAV customers to take up the offer and take advantage of this offer with the comfort of knowing they are benefiting from the discount but have control of the timeline of the application upgrade.
If you would like help to relate this to your specific Dynamics NAV licencing and what an upgrade to Business Central would look like with Walkerscott, get in touch today.
Walkerscott is a dedicated Microsoft Gold Partner specialising in Dynamics 365 Business Applications & Analytics (Data & BI).