Licence models in Business Central explained simply: What suits your company?

Introduction

Introducing a new ERP system is one of the most important investments for companies of any size. Microsoft Dynamics 365 Business Central offers a flexible platform that can be customised to your company’s needs. But before the actual implementation begins, a key question arises: Which licence model is best suited to our company?
In this article, we explain the different Business Central licence models, show typical usage scenarios and give you specific tips for making the right choice.

The available licence models at a glance

Microsoft provides three main licence models for Business Central: Essentials, Premium and Team Members. Each model is aimed at a specific user group.

Essentials licence

The Essentials licence offers comprehensive basic equipment and is suitable for companies that want to manage their core processes efficiently.

Included functions:
– Financial management
– Sales and purchasing processes
– Warehouse management and inventory management
– Project management
– Personnel management (basic functions)
– Supply chain management

Typical target groups:
– Trading companies
– Service companies
– Small to medium-sized companies without production requirements

Premium licence

The Premium licence builds on Essentials and is aimed at companies with extended requirements, particularly in the areas of production and service.

Additional functions compared to Essentials:
– Production control
– Service management

Typical target groups:
– Production companies
– Companies with a strong after-sales service
– Technical service providers and machine builders

Team Members Licence

Team Members licences are aimed at users who only require limited access to Business Central. They are ideal for employees who primarily retrieve information or make small entries.

Authorised activities:
– Reading all business data
– Creating and editing reports, quotations or time sheets
– Support for simple processes

Typical use:
– Managers viewing reports and dashboards
– Employees in the field
– Support staff or project support roles

Note: Team Members are a cost-effective way for many companies to connect numerous employees to the system without granting full access.

How do I find the right licence model?

You should proceed systematically when making your selection. These questions will help you:

– Which business processes should be mapped?
– How actively will users work in the system?
– Which departments should be involved?
– Are there special requirements for scalability and integration?

Practical tip:
Many companies combine Essentials or Premium licences for main users with Team Members licences for occasional users. This optimises both efficiency and costs.

Practical examples

Example 1: Construction company
A medium-sized construction company uses Essentials licences for administration, finance and project management. Site managers on the construction sites use Team Members licences to access order and project information and record progress reports.

Example 2: Project service provider
An engineering office for construction and infrastructure projects uses Essentials licences for project managers, accounting and sales. Technical employees and consultants, who mainly record project times and status reports, work with Team Members licences.

Conclusion

Choosing the right licence model in Microsoft Dynamics 365 Business Central is crucial for the successful introduction and efficient use of the system.
Essentials offers the optimal basis for most business processes, Premium expands the range of functions for manufacturing and service companies, while Team Members are a flexible addition for occasional users.

A detailed needs analysis and advice from an experienced Microsoft partner are important steps in finding the ideal licence structure for your company – and securing your investment in the long term.

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