How much does NetSuite cost? The average cost of NetSuite is not the easiest topic to discuss. NetSuite keep their pricing very close to their chest so you will not find an official pricing guide online anywhere.
Every customer has a bespoke build which makes system costs hard to estimate and NetSuite also operate a heavy discounting model. Customers can push for impressive discounts in their first few years.
So how much does NetSuite cost? There’s no single correct answer to that question but there are some vague ball park figures I can give to help set expectations.
If you are looking at implementing a new system then you will need to consider the initial set up as well as on going annual spend.
Below I have broken down all possible components of recurring pricing and implementation project costs for NetSuite.
Breakdown of NetSuite Pricing
|System License Cost
|$20,000+ per year
|User License Cost
|$99 per user per month
|Add On Modules
|$600+ per month
|Third Party Modules and Integrations
|$100+ per month
|$2,000+ per month
NetSuite System License Cost
An ongoing sentiment throughout this article is “everyone’s system is going to be different”. I can’t tell you exactly what the system license will cost your business. This will be based on the SKU and your preferences.
NetSuite comes in many shapes and sizes. There are multiple SKUs available which provide a basis for the most appropriate set up for a system in your industry. There are SKUs for Financials only, Manufacturing, E-commerce and even Non Profits.
The SKU will bring with it certain features and there is normally a Premium model that comes with even more functionality.
If you are a multi subsidiary organization, you will also need to purchase OneWorld and, potentially, a number of additional country licenses.
There are websites out there telling you that the NetSuite license starts at around $11,000. This is misleading. You may manage to get a very basic Financials only starter license with a good discount for that price, but in reality I would be budgeting for $20,000 plus. More than likely much more.
NetSuite User License Cost
On top of your system license, you also need to purchase user licenses. There are two main types of licenses available
- Employee Center – Limited Access
- Full Access User
The Employee Center is a special type of role that only provides limited access to the system. You cannot run NetSuite off Employee Center licenses only but most businesses will have a few users for whom this is sufficient.
Employee Center licenses come in packs of five that cost the same as a single Full Access User.
Full Access Users are priced at $99 per month at the time of writing.
NetSuite Add On Modules
NetSuite has a never ending list of add-on modules. These can cost anything from around $600 a month to several thousand.
When discussing your needs with NetSuite or your chosen implementation partner, they will advise on what is standard functionality and what will require an add-on module.
Third Party Modules and Integrations for NetSuite
One of the best things about NetSuite is the community that has evolved around it. The ever growing list of partners and independent developers have developed a host of third party modules to fill gaps created by NetSuite or improve on some of the weaker features.
There are some niche areas that third parties have mastered far better than NetSuite, such as Lease Accounting, for example.
You may also need to set up integrations with other business systems. Common use cases for this are CRM integrations, warehouse management solutions or e-commerce stores.
The cost of these additions could honestly be anything. There are very affordable, simple add-ons that will cost up to, or even less than, $100 a month. There are also far grander solutions which will require implementation projects of their own.
Ongoing Support for NetSuite
NetSuite offers a tiered support solution starting with Basic Support for critical issues only to Advanced Customer Support that includes ongoing optimization work.
You might also consider using a NetSuite partner.
Using a partner will provide a far more tailored service than NetSuite can offer and most businesses will go down this route for support.
Support contracts can include anything from reactive helpdesk services to planned project work to continually optimize your system.
A business should not expect to be spending less than a few thousand per month on support services if they want their system to continue meeting the companies needs and growing in it’s capability.
Cost of NetSuite Implementation
|$30,000 – $100,000+
|$150 – $200 per hour
|5 – 10% of Implementation cost
If you are preparing for a completely new system implementation then you need to consider more than just the annual costs.
The cost of implementation itself will, for many businesses, be a significant investment and need to be considered carefully.
Implementations can be carried out by NetSuite directly, or a NetSuite partner. You should consider speaking with a number of providers and obtaining several quotes to properly understand the landscape before committing.
There are three main areas that costs fall in to.
Cost of NetSuite Implementation
We have already discussed how system license costs can vary drastically and this will in turn affect the implementation.
Whether you use NetSuite directly or a partner, there is a preferred approach to NetSuite implementation. This standardizes many of the steps involved so once license requirements are determined, quoting the project shouldn’t be difficult.
The bottom end of the scale is generally around $30,000 for a very basic implementation of financials only.
Given the size company that NetSuite normally attracts, many projects fall in to the $50,000 – $100,000 bracket. There are a smaller set of large or complex organizations that could get a bill much higher and there is no real ceiling to that.
Cost of NetSuite System Customizations
There will be things that your business requires of the system that is not standard functionality. The solution will be to use a developer to customize NetSuite in one way or another.
Some customizations can be completed by a functional consultant. Others will require a developer that can write SuiteScript.
This kind of work will likely be charged by the hour in the range of $150 – $200.
NetSuite Training Cost
Training costs will need to be considered at the point of implementation to ensure all users of the system will be able to function effectively at the point of go live.
Training can be approached in a number of ways including on site visits from a certified NetSuite professional, online courses or learning paths through the NetSuite learning portal.
Training is an area that is easy to view as an ‘optional’ extra but this is a big mistake. Overlooking sufficient training could ruin an otherwise successful implementation.
It is sensible to allocate at least 5 – 10% of the implementation cost on training your users. So if your implementation cost is $100,000 it would be perfectly acceptable to spend up to £10,000 on training.
So when the decision makers in your business are asking how much does NetSuite cost, these are the areas you need to consider.
A NetSuite implementation is a costly venture and all the chargeable components need to be carefully considered. To begin the conversation reach out to NetSuite directly or look for NetSuite implementation partners in your region or industry.