Microsoft's licensing scheme for Dynamics GP

There is only one version of the Microsoft Dynamics GP software.    But when you buy the software, you must pick from one of two "licensing" schemes.   These licensing schemes control which features and modules you will be able to run.


Older Licensing Scheme  ("Module Based Licensing")


Prior to about 2005, MIcrosoft had 2 licenses to Dynamics GP (Great Plains):


>   Great Plains Standard

>   Great Plains Professional


Great Plains Standard was a lot less expensive, but it had certain limitations.   The primary limitation was that it would only allow you to buy up to 10 concurrent user licenses.


If you need to upgrade from GP Standard to GP Professional, you can do that but it will require you to pay Microsoft an upgrade fee.   The upgrade fee is calculated by taking the modules and concurrent user licenses you currently own and then "re-pricing" them using today's prices under the GP Professional license scheme.   The difference between this new "re-priced" amount and the amount you historically paid for the software is what you will owe Microsoft.


You can also convert from GP Standard or GP Professional to the newer Business Ready Licensing but the process is a little different.    Microsoft determines which one you can convert to based on the modules and features you currently own.    You then will be required to pay Microsoft a $10,000 transition fee.    


Current Licensing Scheme ("Business Ready Licensing")


Starting around 2005, and current to today, when you buy the software you have to pick between two different licenses to Microsoft Dynamics GP (Great Plains):   

 

>  A Business Essentials license OR

>  An Advanced Management license


The Business Essentials license is the cheapest, and it includes the basic modules like general ledger, accounts payable, accounts receivable, inventory, and purchase orders.   But certain, more advanced, modules to Dynamics GP (Great Plains) are only available if you have the Advanced Management license. Click here for details as to which modules are available under each license:    http://dyntools.com/dynamicsgpmoduleavailability.asp


The Microsoft Dynamics GP Business Essentials is approximately 1/2 of the cost of the Advanced Management license.


If you grow, and you need to upgrade from Business Essentials to Advanced Management, you must first pay Microsoft the difference between the price of the two licenses.    You then will get new registration keys that you can paste into the application as the software is the same (you don't have to change your actual software).