Dynamics 365 Business Central vs. NetSuite ERP

Written by

John Balistreri

Last updated on

August 27th, 2024

NetSuite ERP

Dynamics 365 Business Central

Oracle’s NetSuite is well-known in the ERP world for its customization and scalability. It’s a multi-tenant ERP software supporting finance, operations, sales, service, and HR needs.

Best For:

NetSuite is best for small businesses with 10 to 50 employees, mid-market companies with 50-200 employees, and enterprises with over 10,000 employees.

Not a Good Fit For:

NetSuite isn’t great for process manufacturers since their core manufacturing module focuses more on discrete bill of materials rather than recipes and formulas. It’s also generally overkill and prohibitively expensive for smaller businesses or sole proprietors.

Microsoft Dynamics 365 Business Central provides finance, human resources, operations, marketing, sales, and more functionalities. It is a part of Microsoft’s suite of enterprise applications and integrates seamlessly with services like Office 365, Power BI, and Azure.

Best For:

Dynamics 365 Business Central is best suited for small companies with 10-50 employees and midsize businesses with 50-200. This cloud-based solution fits the manufacturing, retail, healthcare, financial services, nonprofit, and professional services industries.

8.3

Our Rating

based on our expert editorial analysis

7.1

USER RATING

based on 28 user reviews

Our Verdict:

We like NetSuite for its strong accounting and supply chain management capabilities. It also offers out-of-the-box functionality and a mature, cloud-native design. Additionally, NetSuite integrates with eCommerce platforms, point-of-sale apps, and more.

We don’t recommend it for startups due to its complexity. It lacks field service management and heavy manufacturing support. Implementation may require technical expertise.

Pros:

Hundreds of third-party add-ons available
Feature sets for multiple industries
Highly customizable
Advanced audit trail
Scalable, web-based ERP software system

Cons:

Must schedule a consult for pricing details
Tedious setup
Difficult to build reports
No equipment management
No field service management

8.3

Our Rating

based on our expert editorial analysis

8.5

USER RATING

based on 11 user reviews

Our Verdict:

We like Business Central for its user-friendly interface, product integrations, and accounting module. The platform includes audit trails, multi-currency, and multi-language support. It also automates recurring tasks like invoicing and reporting.

However, it’s probably not the best fit if your business does complex manufacturing. We suggest a dedicated manufacturing ERP system for tasks like machine monitoring and shop floor control. Finally, Microsoft doesn’t offer a free version of Dynamics 365.

Pros:

Combined ERP and CRM
Similar interface to MS Word and Outlook
Integrations with Microsoft applications
Creates quotes, orders, and invoices in Outlook
Offers same capabilities on iOS, Android, and Windows devices

Cons:

Not ideal for complex manufacturing needs
May require extensive training
No free version
Clunky third-party integrations
Tedious setup

Price Range
$ $ $ $ $
$ $ $ $ $
Starting Price $99/user/month
Client OS Web

Price Range
$ $ $ $ $
$ $ $ $ $
Starting Price $70/user/month
Client OS Web

Both NetSuite ERP and Microsoft Dynamics 365 Business Central are heavy hitters in the small business ERP software market and widely used globally. After our review, we feel that Microsoft Dynamics 365 is likely better for most businesses.

Microsoft Dynamics 365 Business Central Overview

Microsoft Dynamics 365 Business Central represents about 24% of the ERP market share, according to 6sense. Its key features include:

ERP and CRM: Business Central combines the modules of an ERP and CRM system under one roof, streamlining sales and financials.
Microsoft ecosystem: As mentioned above, Business Central is fully integrated with other Microsoft products like Power BI, Office, and Outlook. It uses the same familiar Microsoft interface, making it a good option for those already acquainted.
Financial tools: The system includes effective financial tools, such as cash flow forecasting and detailed reporting. However, it does require some accounting knowledge to navigate and use efficiently.
Straightforward Pricing: Microsoft has the pricing plans for Business Central on its website, starting at $70/user/month for the essentials bundle. NetSuite does not share public pricing information, as businesses are required to speak with a sales representative to receive a quote.
Limited integrations: While the system integrates well with other Microsoft products, it can be clunky setting up third-party integrations. Conversely, NetSuite easily integrates with hundreds of third-party applications.

NetSuite ERP Overview

NetSuite, acquired by Oracle in 2016, is extremely popular in its own right, being used by over 38,000 customers globally. While outperforming Business Central in some areas, it also comes up short in others.

Distribution: NetSuite is ideal for distributors and eCommerce sellers, offering strong real-time inventory tracking and management.
Multi-tenant cloud design: A multi-tenant cloud design means that each customer gets their own personal storage, which is ideal for businesses transitioning from on-premise to the cloud.
Accounting: Another strength of NetSuite is its accounting module, which includes automated revenue recognition and forecasting. It also supports multi-currency accounting for global businesses.
Vague Pricing: NetSuite does not publicly share its prices, though businesses can expect to pay at least $1,000/month for starting packages.

Which is Better for Most Businesses?

After our review, we feel that Microsoft Dynamics 365 is likely better for most businesses. It’s user-friendly, offers excellent Microsoft product integrations, and has strong accounting and CRM modules. The platform has straightforward pricing and is more affordable for small businesses.

However, NetSuite could be a more suitable option if your business requires more customization and scalability and needs numerous third-party integrations.

If you’re still uncertain, you can check our roundup of the best ERP software available in the market.

NetSuite ERP

★★★★★

(28)

Oracle’s NetSuite is well-known in the ERP world for its customization and scalability. It’s a multi-tenant ERP software supporting finance, operations, sales, service, and HR needs.

Price Range

$ $ $ $ $

Starting Price

$99/user/month

Client OS

Web

Deployment

Cloud Hosted