How Is Microsoft Dynamics Licensed

Microsoft Dynamics licensing is quite complicated, and that’s why you need a partner with experience and expertise to break it down.

There are a lot of factors to control for when explaining just how the product is licensed. We go into more details in our blog post titled How To Calculate Dynamics 365 Prices Business Central Licenses in our post on Saber Limited.

However, right now we can break down the process into simple tidbits to give you an idea of ​​how the entire process works with Microsoft.

Our Assumptions

Before we start, we are assuming a few things. The first is that you run a small to medium-sized business, and you would need the Sales Professional and not the Sales Enterprise nor the Customer Service Modules.

The second assumption is that your company is interested in Microsoft Dynamics 365 Business Central Licensing, not Finance and Operations.

Factors To Consider

Two major factors affect licensing of any Microsoft Dynamics product.

Business Central Versions

There are two main versions of Business Central. You must select the right version for your business to calculate your prices correctly.

Premium Version

The Premium version of the Business Central is made for make-to-stock or make-to-order manufacturing companies or companies that employ a huge number of field service technicians.

Essentials Version

The Essentials version is just one rung below the Premium version. This version is pretty basic but should be more than adequate for most medium-sized companies.

Try out these two tests to know whether your business should choose essential or premium.

  1. Do you manufacture a lot of parts? For example, does your company order about a hundred parts for every order from a customer?
  2. Do you have a lot of staff on your payroll whose job it is to service equipment in the field?

The Essentials package is the right option for your business if your answers to both questions are no.

What are the Business Central License Types

Three license types come with Business Central. You must understand how much these licenses cost to understand how Microsoft Dynamics is licensed.

The first license is for the full user. The full user license costs $70 for an Essentials user or $100 for a Premium user.

Then there are the team members, who are read-only users. They have very limited access to the system.

Lastly, there are device licenses. These licenses cost $40 but they cannot be found online because they are usually sold for use with barcode scanning devices.

More Blogs on Saber

You can read Saber’s Business Central manufacturing blogs for more content like this.

How Saber Can Help Your Business

Saber is the leading expert on Microsoft ERP solutions and is 100% committed to installing these solutions and training your staff to the highest possible level of efficiency in operating these systems.

If you need experts who can help you install, implement, and train your staff on existing and new features in Business Central, contact us today by emailing [email protected] or visit our website at

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