ODOO LICENSE COST EXPLAINED
SOMETIMES,
PEOPLE GET CONFUSED
BY ODOO’S LICENSING COSTS.
Odoo has an easy licensing process that works well for all sizes of businesses. Whether you are a 5-person business or a 2000-person business, Odoo makes it easy for you so that you do not have to pay for features you do not use compared to other ERPs.
THERE ARE TWO TYPES OF COSTS ASSOCIATED WITH USING ODOO ENTERPRISE.
Per User or Seat Cost
You pay a fixed Odoo license cost for a seat per month. Currently, for the US market, it is $28/user/month. If you are a first-time Odoo Enterprise user, then you get the Odoo license cost at $24/month.
Cost for the Odoo Apps for your Organization
Odoo is a suite of business applications for every department in your business. You will choose the Odoo apps you want to use for your organization which is a fixed fee per month, not based on how many users need access to the apps.
LET’S LOOK AT AN EXAMPLE TO UNDERSTAND ODOO PRICING.
The CRM app is flat $24/month.
You are a 10-person company needing only the Odoo CRM and you are a first-time Odoo customer. This is how your cost is calculated:
10 Users * $24/month
$240/Month
CRM App
$24/month
Total
$264/month*
*Taxes may apply in the US and other territories.
WHY ODOO LICENSING MODEL IS THE BEST ?
We love this pricing mechanism from Odoo compared to other large players because you do not pay for something you never use just because it is packaged together. If you are a small company with 10 users needing only a CRM app, that is all you pay for.
ADDITIONAL ODOO LICENSING COSTS
As an Odoo customer, you can choose Odoo Online (SAAS - no custom modules allowed) or Odoo SH (Odoo hosted solution with custom modules allowed) and self-hosted on the cloud. The latter is preferred if you have a lot of Cronjobs and integrated external APIs like EDI. At Confianz Global, we use AWS and Digital Ocean for our customers.
Odoo Community is 100% free and needs to be hosted on-premise or on the cloud-like AWS or Digital Ocean.
Odoo licensing costs can be paid monthly or yearly depending on where you host. The monthly option is available for Odoo SAAS and Odoo SH. If you are hosting on AWS or any other cloud data center, you have to pay the Odoo license cost yearly.
The Odoo license agreement gives you access to use Odoo unconditionally, as far as you do not add an unlicensed user or install an Odoo app that you did not pay for. The Odoo licensing system sends a ping to the Odoo licensing server frequently and if it detects an unpaid user or app, it will immediately show an alert to the administrator along with a Purchase Order to pay for the newly installed app or license that has been utilized. This additional cost is prorated to make it a seamless billing. You will also see a notification when you log in to your Odoo saying your database will expire in x number of days because of unpaid licenses or apps being installed.
It is very important that you pay for the difference or uninstall the unused app or remove the extra user. If your database is locked, it will create delays in your day-to-day business activities using Odoo.
The Odoo Enterprise agreement is non-transferable, meaning if you bought the licenses for your business, you cannot transfer this license or sell it to another company.
ODOO LICENSING FAQ
Why do some businesses we know get all the apps for a fixed monthly Odoo license cost?
This is a question we hear from time to time. Before 2019, Odoo used to have fixed monthly pricing for all apps and users. This was discontinued but older customers are grandfathered into this Odoo Enterprise licensing. Odoo or Odoo partners cannot sell this old Odoo licensing anymore.
How can I get discounted Odoo Licensing?
Please email us at [email protected] As an Odoo partner, we will be able to negotiate and get you discounted Odoo license costs.
How can I get more discounts for my Odoo licensing costs?
If you are ready to work with us for multi-year Odoo licensing, we can get you higher discounts from Odoo for your Odoo Enterprise contract.
