Odoo is an open-source ERP software that integrates CRM, manufacturing, eCommerce, and more. Odoo’s accounting module offers functionality in accounts payables and receivables, bank synchronization, and reporting. You can extend the accounting app’s functionality with the tax report module.

Best For:

Odoo is best for small companies (1-10 employees) and mid-sized businesses (50-200 employees). It’s best for organizations that have outgrown their simple accounting and inventory software.

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.

8.7

Our Rating

based on our expert editorial analysis

8.8

USER RATING

based on 21 user reviews

Our Verdict:

We like Odoo for its effectiveness as a light ERP, offering modularity, simple integration, and ease of use. As companies scale up, they can add modules piecemeal as needed. Odoo offers inventory management functionalities at a lower price point than many cloud-based ERPs.

On the other hand, you’ll need technical expertise or a dedicated support team to deploy the software, integrate third-party apps, or customize the source code to fit your company’s workflows.

Pros:

Community version is free
Heavy customization options
Double entry inventory system
Full suite of business applications
Traceability reports from customer to supplier

Cons:

May have to build specific modules yourself
No centralized support
Upgrades not free
Cluttered mobile app

8.3

Our Rating

based on our expert editorial analysis

8.6

USER RATING

based on 10 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 $25/user/month
Client OS Web

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

After thorough testing and review, our editorial review staff has analyzed two ERP solutions: Odoo and Microsoft Dynamics 365 Business Central. We’ve examined their features, usability, and target markets to help you make the best decision for your business.

Odoo Overview

Odoo shines as an open-source ERP software, offering functionality for businesses outgrowing their simple accounting and inventory software. Specifically designed for small to mid-sized businesses, Odoo’s integrative approach accommodates a range of organizational needs, from CRM and eCommerce to manufacturing.

Odoo’s accounting module is a highlight, delivering features like bank synchronization, accounts payable and receivable, and reporting. You can even expand it further with the tax report module. Odoo’s modularity lets businesses scale up and add modules as needed, making it a flexible and adaptable solution. However, it’s important to note that deploying the software, integrating third-party apps, or customizing the source code may require technical expertise or a dedicated support team.

Microsoft Dynamics 365 Business Central Overview

Microsoft Dynamics 365 Business Central, on the other hand, is a part of Microsoft’s suite of enterprise applications. It perfectly suits small companies and mid-sized businesses operating across various sectors, including manufacturing, retail, healthcare, financial services, nonprofit, and professional services.

Business Central stands out with its seamless integration with Office 365, Power BI, and Azure. It includes audit trails, multi-currency, and multi-language support, and automates recurring tasks like invoicing and reporting. However, for businesses with complex manufacturing needs, Business Central may not be the best fit. We recommend considering a dedicated manufacturing ERP system for tasks like machine monitoring and shop floor control.

Dynamics 365 Business Central vs. Odoo: Which One is Right for Your Business?

For most businesses, we recommend Odoo over Microsoft Dynamics 365 Business Central. While both are effective ERP solutions, Odoo’s free community version, heavy customization options, and double entry inventory system put it ahead. It’s also generally less expensive than Dynamics 365, making it more accessible for smaller businesses.

However, if your business is deeply integrated with the Microsoft suite and you need seamless compatibility, Dynamics 365 Business Central can be a strong choice. It also has a familiar interface for anyone accustomed to Microsoft Word and Outlook, which can reduce the learning curve.

For a more comprehensive view of available options, check out our roundup of the best ERP software.

Odoo

★★★★★

(21)

Price Range

$ $ $ $ $

Starting Price

$25/user/month

Client OS

Web

Deployment

Cloud or On-Premises

Dynamics 365 Business Central