Navigating the ERP Crossroads: Is It Time to Move from NetSuite?

Making the leap from one Enterprise Resource Planning (ERP) system to another is a daunting decision—especially when you’ve been using the same platform for over a decade. ERP systems serve as the backbone of a company’s operations, managing everything from finance to supply chain logistics. But what happens when your ERP no longer aligns with your business needs—or worse, starts costing you more than it should? 

This was the challenge facing a business in the high-value distribution industry. Having used NetSuite since 2008, they found themselves increasingly frustrated with its pricing model, lack of transparency, and rigid integrations. While NetSuite had served them well for years, it had reached a tipping point where its limitations and escalating costs forced them to reconsider their options. 

When Your ERP Becomes a Cost Burden 

The first major red flag came during their annual renewal process. Their NetSuite renewal cost had climbed to nearly $30,000 per year for just six users—a stark increase from previous years. Discounts they had once relied on had disappeared, and it was becoming clear that NetSuite’s pricing structure was shifting its focus away from small to mid-sized businesses. 

This price surge wasn’t just an anomaly; it reflected a broader trend where legacy ERP providers gradually raise subscription costs while limiting flexibility. For businesses operating on tight margins, this kind of cost inflation can be a dealbreaker. Moreover, NetSuite’s approach to contract renewals left little room for negotiation, making it difficult for companies to predict long-term expenses. 

A Struggle with Integration 

Modern businesses rely on a variety of software solutions to streamline operations. One of the most critical tools for this company was Power BI, a powerful analytics platform they depended on for real-time reporting and business insights. However, extracting data from NetSuite proved to be a cumbersome, time-consuming process. 

NetSuite’s closed ecosystem meant that setting up an automated integration solution required significant investment—over $20,000 upfront—on top of ongoing maintenance costs. For a company that thrives on data-driven decision-making, these roadblocks were becoming unsustainable. The inability to seamlessly integrate essential business tools led to inefficiencies that directly impacted their operations and growth potential. 

Fragmented Sales and Finance Processes 

Beyond integration struggles, another critical issue arose—NetSuite’s CRM functionality. Their sales team found NetSuite’s built-in CRM lacking when compared to more robust solutions like Dynamics 365 Sales. While it was possible to integrate NetSuite with another CRM, this would come with additional costs, technical complexities, and potential disruptions to daily workflows. 

A strong CRM is crucial for businesses looking to enhance customer relationships, track sales pipelines, and optimize lead management. Without a streamlined and fully integrated solution, the company faced inefficiencies that slowed down their sales cycles and limited their ability to scale effectively. 

Evaluating Business Central as an Alternative 

Faced with an upcoming NetSuite renewal deadline, the company decided to explore Microsoft Dynamics 365 Business Central as a potential alternative. They needed an ERP that offered flexibility, transparency, and strong integration capabilities without the prohibitive costs they were experiencing with NetSuite. 

Here’s what stood out to them about Business Central: 

✔ Transparent Licensing Costs – Unlike NetSuite, which often introduces unpredictable price hikes, Business Central offered a clear and predictable pricing model. This level of transparency allowed them to budget more effectively and avoid unexpected cost increases. 

✔ Seamless Integration with Microsoft Tools – Business Central is built to work effortlessly with other Microsoft products like Power BI, Outlook, and Teams. This meant that their existing tech stack could be leveraged to its full potential, reducing manual work and increasing operational efficiency. 

✔ A True CRM Solution – Dynamics 365 Sales, which integrates directly with Business Central, provided the sales functionality they needed. No more dealing with fragmented systems or additional integration costs—everything worked together in a unified ecosystem. 

✔ Scalability and Future-Proofing – With Business Central, the company could confidently scale their operations without worrying about restrictive licensing, excessive customization costs, or integration nightmares. As their business grows, they can easily add users, expand functionality, and leverage Microsoft’s continuous innovation in the ERP space. 

The Big Takeaway: ERP Migrations Are About More Than Cost 

While cost is often a major factor in ERP evaluations, businesses should also consider long-term agility and growth potential. Sticking with an outdated or overly expensive ERP can stifle innovation and make it harder to adapt to changing market conditions. Conversely, transitioning to a new system can unlock new efficiencies, improve workflows, and position the company for future success. 

For this company, the decision to move away from NetSuite wasn’t made lightly. But after a thorough assessment, it became clear that the cost and limitations of staying outweighed the benefits of switching to Business Central. 

If your organization is facing similar challenges with NetSuite—or any other ERP system—it may be time to assess whether your current platform is truly serving your needs. Evaluating alternatives like Business Central can help ensure that your ERP investment aligns with your long-term business objectives. 

Is It Time for Your Business to Make the Switch? 

If you’re weighing the pros and cons of leaving NetSuite, let’s talk. WebSan Solutions has helped businesses successfully navigate ERP migrations, and we can help you evaluate whether Business Central  is the right move for you.