Best Cloud ERP Software 2026 | Independent SaaS ERP Guide

Cloud ERP Software

Cloud ERP is enterprise resource planning software delivered over the internet, eliminating the need for on-premises servers and IT infrastructure. Instead of purchasing perpetual licences and managing your own hardware, you pay a subscription fee and access the system through a web browser from anywhere.

In 2026, cloud ERP has become the default choice for new implementations. Gartner estimates that over 65% of new ERP deployments are cloud-based, up from under 30% a decade ago. The shift is driven by lower upfront costs, faster implementation timelines, automatic updates and the ability to scale without infrastructure investment.

Looking for cloud ERP pricing? See our cloud ERP per-user pricing comparison for side-by-side rates across 25+ systems, or use our interactive cost estimator to get a personalised range.

Cloud ERP vs On-Premises ERP

Top Cloud ERP Systems Compared

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Best Cloud ERP Software

Here are some of the most popular cloud ERP solutions available on the market, each accessible from your web browser or mobile device.

Cloud-based ERP

Sage Intacct

Sage Intacct ERP works well for small businesses operating in services industries and with global ambitions. Intacct provides ERP functionality spanning financial management, projects, billing and more.

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Cloud-based ERP

SAP Business ByDesign

Whilst SAP is often not associated with small businesses, SAP Business ByDesign is. The solution offers rich functionality for organisations in the professional services, manufacturing and life sciences industries.

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Cloud-based ERP

Oracle Netsuite

Netsuite is synonymous with small business ERP solutions, offering a low barrier to entry for smaller companies, whilst offering a rich ecosystem and room for growth in almost any industry space.

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Cloud-based ERP

SAP S/4HANA Cloud

For ambitious SMEs and scale-ups in hypergrowth mode and with multinational ambitions, SAP S/4HANA Cloud offers huge functional scope and flexibility to deal with any eventuality. Rock solid financials plus global capabilities set S/4 apart.

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Cloud-based ERP

Microsoft Dynamics 365

For SME companies scaling up, having integrated financials, customer engagement and productivity apps often pushes them to Microsoft Dynamics 365 ERP. Dynamics offers best of breed customer engagement plus finance in one.

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Cloud-based ERP

Workday

Fast-growing SMEs depend on hiring and retaining top talent whilst also looking after their finances. Workday rises to the challenge with their integrated platform for financials, spend management, human resources and analytics.

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Cloud-based ERP

Oracle ERP Cloud

Oracle ERP Cloud offers comprehensive financial management, procurement, project management and risk management for mid-size to large enterprises. Powered by Oracle's cloud infrastructure, it provides strong analytics and AI-driven automation.

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Cloud-based ERP

Odoo

Odoo is an open-source ERP platform offering a modular suite of business applications including accounting, inventory, manufacturing, CRM and e-commerce. Its open-source model and competitive pricing make it popular with small and mid-sized businesses worldwide.

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Cloud-based ERP

SAP Business One Cloud

SAP Business One Cloud is the cloud-hosted version of SAP's SME ERP platform. It provides financials, sales, purchasing, inventory and manufacturing for small businesses that want the reliability of SAP without on-premises infrastructure.

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What is Cloud ERP?

Cloud ERP is enterprise resource planning software which is hosted in a private or public data centre by a third party on behalf of your organisation. Depending on the type of cloud ERP product you choose, the service will differ but can also include application management services (AMS), technical managed services and product support and maintenance, in one subscription model.

Cloud ERP

Private Cloud ERP

Private Cloud ERP systems are enterprise resource planning software hosted in a dedicated, single-tenanted data centre environment. This is typically necessary when your organisation needs to make business-specific customisations to the infrastructure or application.

Cloud ERP

Public Cloud ERP

Public Cloud ERP solutions are hosted in a multi-tenanted data centre environment, which means that your organisation will share ERP infrastructure and applications with other organisations. The benefit of this is that the cost of Public Cloud ERP systems is typically very economical.

Benefits of Cloud ERP

What are the benefits of cloud-based ERP systems?

Benefits of Cloud ERP

Scalability

Cloud ERP can be scaled up or down very easily, which makes it a great choice for organisations with changing structures and needs, whether that be growth, divestments or acquisitions.

Benefits of Cloud ERP

Total Cost of Ownership

Cloud ERP software makes use of economies of scale by outsourcing hosting and the day-to-day management of the application to a third party.

Benefits of Cloud ERP

Futureproofing

Cloud ERP software typically makes upgrading your ERP software faster and easier, allowing your business to take advantage of new functionality more quickly, as well as compliance and local accounting updates.

Benefits of Cloud ERP

Speed & Agility

Cloud ERP software typically relies on configuration for setup rather than customisation. This means that Cloud ERP can be implemented, then adapted later quickly and cost-effectively.

Disadvantages of Cloud ERP

What are the cons of cloud-based ERP systems?

Benefits of Cloud ERP

Customisation

Typically, Public Cloud ERP (see above) software limits the amount of customisation that can be applied to your ERP. Often, this prevents you from modifying the application code which in some circumstances can prevent you from adapting the ERP software to your specific business needs.

Benefits of Cloud ERP

Control & Data Security

When Cloud ERP first became popular, there were considerable concerns over cyber and data security. Today, these fears are largely put to rest as large ERP vendors typically have IT security budgets that dwarf those of most organisations.

ERP Cloud

How does Cloud ERP help Businesses?

Organisations tend to use a series of applications, tools, spreadsheets and accounting systems to operate their businesses. Naturally, they acquire these processes through sporadic changes and growth spurts, but unfortunately the price of this is data silos and inefficiencies.

Modern cloud-based ERP systems designed for small businesses and SMEs provide integrated functionality across the following modules:

Accounting and Financials

Unify financials across your business and grow into new territories with multiple companies using modern SME ERP.

Purchasing

Control spend and optimise requisition processes using popular SME ERP solutions.

Asset Management

Manage business assets with ERP for engineering to easily capitalise and monitor your assets.

Reporting and dashboards

Develop a single view of your engineering business in order to increase transparency, decision-making and ultimately drive results.

Expenses management

Automate expenses requisitions and approvals with integrated expenses management to help your engineers be more productive.

Customer service

Review your customer service history and provide better cross-selling, up-selling and post-sale customer support to help deliver products more accurately.

Inventory management

Deliver comprehensive inventory management that provides insight into your entire flow, from purchasing to transportation and delivery.

Sales management

Track & plan sales pipeline, score leads, prospects and forecast opportunities in real-time across territories, accounts and teams.

Global management

Compile global financial, manufacturing, project and process information into a central location.

Engineering management

Combine your sales, customer service, and engineering processes into a single solution designed to meet the needs of a broad range of engineering tasks.

Customisation

Flexible ERP software that's built on an open and extensible foundation, allowing you to choose the features that suit your business needs.

Mobility

Access your ERP data at any time so you're more available to customers and able to take advantage of unexpected opportunities as they arise.

Development tools

ERP software for the engineering industry features all of the tailored solutions an organisation needs to design, build and document their projects faster.

Updates and maintenance

Backed by the consistency of market-leading vendors, ERP software regularly updates to ensure an optimal user experience.

Versatile deployments

Connects customers, partners, and employees through real-time digital relationships to improve the way you do business.

Unlimited support

ERP implementation is a long-term strategic partnership and vendors provide free unlimited technical support for clients.

ERP Cloud

What's the difference between PSA & ERP?

In the professional services world, many organisations are adopting professional services automation tools to increase productivity. But what is professional services automation and how does it differ from enterprise resource planning?

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ERP Cloud

ERP Requirements Gathering (RFI, RFP) Template Excel

Start your ERP evaluation process with our RFI & RFP Excel template for the engineering industry.

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ERP Cloud

ERP Project Budget Calculator Template

Calculate the costs of your ERP project with our prebuilt budget calculator.

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Cloud based ERP Software

Start your Cloud ERP journey with ERP Research

We help engineering firms to prepare for ERP change by guiding them through each stage of the process:

• Build An ERP Business Case 2-3 weeks

  A solid business case is a foundation you need if you are going to persuade your organisation to consider enterprise resource planning (ERP) implementation. Download Business Case Template

• Compare ERP Vendors 2-3 weeks

  It's critical to understand which ERP vendor is right for your business. Before you decide on the vendor for your company, take a look at our solution pages to find out which vendor would be best. Compare ERP Vendors

• Get Pricing Estimates 1-2 weeks

  Our exclusive process removes all the sales representatives from the equation and gets you real pricing estimates from every qualified vendor. Contact Us For Pricing

• Organise A Solution Demo 1-2 weeks

  During a demo, you will learn about how large organisations are making use of ERP software and how they are improving their business practices. Book A Demo

• Build ERP Requirements 3-4 weeks

  If you're looking to buy an Enterprise Resource Planning (ERP) system or upgrade your internal systems you will need a clear definition of all the functions, features and capabilities that you expect. You can approach this challenge by building what's called an ERP requirements document. Download ERP Requirements Template

• Shortlist 4-8 Vendors 1 week

  One of the most important phases in the ERP project lifecycle is selecting the right software vendor. Ideally, you should shortlist 4-8 vendors — based on their credentials and your requirements. Contact Us To Shortlist Vendors

Cloud ERP Buyers Guide

What is Cloud ERP?

Cloud ERP (Enterprise Resource Planning) refers to an ERP system where the software, data, and computing resources are hosted in the cloud, rather than on-premises in a company's own data centre. Cloud ERP solutions are delivered to users over the internet and are typically offered as a service, meaning that businesses can subscribe to the service rather than purchasing and maintaining their own hardware and software.

Here are some key features and benefits of Cloud ERP:

• Cost Efficiency: Cloud ERP often reduces the need for businesses to invest in large-scale hardware or data centres. This can lead to cost savings in terms of both initial capital expenditure and ongoing maintenance.

• Scalability: Cloud solutions can be easily scaled up or down based on the needs of the business. This flexibility allows businesses to adapt to changing demands without significant system overhauls.

• Accessibility: Since Cloud ERP is internet-based, users can access the system from anywhere with an internet connection. This is especially beneficial for businesses with multiple locations or remote workers.

• Automatic Updates: Cloud ERP providers typically handle maintenance and updates, ensuring that businesses always have access to the latest features and security patches without having to manage these updates in-house.

• Disaster Recovery: Many cloud providers offer backup and disaster recovery solutions, which can be more efficient and reliable than on-premises solutions.

• Security: Whilst there are concerns about data security in the cloud, many cloud providers invest heavily in security measures, often more than what an individual company might be able to afford for its on-premises solution.

• Collaboration: Cloud solutions often come with collaboration tools that allow employees to work together in real-time, regardless of their physical location.

• Subscription Model: Many Cloud ERP providers operate on a subscription model, which can be more financially flexible for businesses. Instead of a large upfront cost, businesses pay a recurring fee based on usage or number of users.

However, whilst Cloud ERP offers many benefits, it is not without challenges. Concerns about data security, data sovereignty, and the potential for service outages are some reasons businesses might be hesitant. It is essential for each business to evaluate its specific needs, risks, and benefits when considering a move to a Cloud ERP solution.

What are the different types of Cloud ERP?

Cloud ERP systems can be categorised based on their deployment models and the services they offer. Here are the primary types of Cloud ERP based on these categorisations:

1. Based on Deployment Model:

1. Public Cloud ERP:

   • Hosted on cloud infrastructure owned by third-party cloud service providers (e.g., AWS, Google Cloud, Microsoft Azure).
   • Resources (such as storage and servers) are shared with other businesses.
   • Typically, the most cost-effective option but may not be suitable for businesses with stringent data security or compliance requirements.

2. Private Cloud ERP:

   • Dedicated cloud infrastructure for a single organisation, either managed internally or by a third party.
   • Offers more control over data, better customisation, and potentially higher security.
   • Generally more expensive than public cloud solutions.

3. Hybrid Cloud ERP:

   • Combines elements of both public and private clouds.
   • Allows businesses to keep sensitive data or applications on a private cloud whilst utilising the public cloud for less-sensitive data or overflow needs.

2. Based on Service Model:

1. Software as a Service (SaaS) ERP:

   • The software is hosted in the cloud and delivered over the internet.
   • Users access the ERP system through a web browser.
   • The cloud provider manages everything from the application down to the infrastructure.
   • Typically billed on a subscription basis.

2. Platform as a Service (PaaS) ERP:

   • Provides a platform allowing customers to develop, run, and manage applications without dealing with the infrastructure.
   • Useful for businesses that want to build custom applications on top of their ERP system.

3. Infrastructure as a Service (IaaS) ERP:

   • Provides virtualised computing resources over the internet.
   • Businesses have more control over the infrastructure, but it requires more management compared to SaaS or PaaS.

3. Based on Functionality:

1. Horizontal ERP:

   • Offers a broad set of modules and functionalities suitable for a wide range of industries.
   • Examples include financial management, HR management, and CRM.

2. Vertical ERP:

   • Tailored for specific industries or sectors.
   • Includes features and modules relevant to that industry, such as manufacturing, healthcare, or retail.

How much does Cloud ERP cost?

The cost of a Cloud ERP system can vary widely based on several factors:

1. Size of the Organisation: Larger organisations with more users typically pay more than smaller businesses.

2. Functionality and Modules: ERP systems often come with different modules (e.g., finance, HR, supply chain management, CRM). The more modules and advanced features you require, the higher the cost.

3. Customisation: If the out-of-the-box solution does not meet your business's unique needs, customisation can add to the cost.

4. Data Migration: Transferring data from legacy systems to the new ERP can be a complex process, especially if the data structures are very different.

5. Training: Implementing a new ERP system often requires training for staff, which can add to the overall cost.

6. Subscription Model: Most Cloud ERP solutions operate on a subscription basis, where you pay a recurring fee (monthly or annually). This fee can be based on the number of users, the volume of transactions, or other metrics.

7. Vendor: Established ERP vendors may charge more than newer or less well-known vendors. However, the trade-off may be in terms of reliability, features, and support.

8. Additional Costs: These can include costs related to integration with other systems, additional storage or bandwidth needs, and ongoing support or consultancy fees.

Providing a reliable estimate is challenging due to the wide range of options and factors involved. However, as a very general guideline:

• Small businesses might expect to pay anywhere from £8,000 to £120,000 annually.

• Mid-sized businesses could be looking at £120,000 to £800,000 annually.

• Large enterprises might pay well over £800,000 annually.

It is worth noting that these are very rough estimates, and actual costs can vary significantly based on the specifics of the implementation and the vendor chosen.

How do you implement Cloud ERP?

Implementing a Cloud ERP system is a significant undertaking that requires careful planning, coordination, and execution. Here is a step-by-step guide to help you navigate the process:

1. Needs Assessment:

   • Identify the business processes that need to be managed or improved.
   • Determine the specific features and functionalities required.

2. Vendor Selection:

   • Research and shortlist potential Cloud ERP vendors based on your needs, their reputation, customer reviews, and case studies.
   • Request demonstrations and, if possible, trial versions.
   • Compare pricing, features, support, and scalability.
   • Finalise a vendor that aligns with your requirements and budget.

3. Project Planning:

   • Establish a project team, including stakeholders from key departments, IT personnel, and possibly external consultants.
   • Define clear objectives, milestones, and timelines.
   • Allocate resources, including budget and personnel.

4. Data Migration:

   • Cleanse and standardise existing data to ensure it is accurate and consistent.
   • Determine which data needs to be migrated to the new system.
   • Use data migration tools or services provided by the ERP vendor.

5. Customisation and Integration:

   • Modify the ERP system to fit your specific business processes if the out-of-the-box solution does not meet all your needs.
   • Integrate the ERP with other existing systems (e.g., CRM, e-commerce platforms) to ensure seamless data flow.

6. Testing:

   • Conduct thorough testing to identify any issues or gaps.
   • Test different modules, user roles, and business scenarios.
   • Address any bugs or problems that arise.

7. Training:

   • Train end-users on how to use the new system effectively.
   • Offer different training methods, such as workshops, online tutorials, and hands-on sessions.
   • Ensure that users have access to resources and support during the transition.

8. Go-Live:

   • Once testing is complete and you are confident in the system's readiness, transition to the new ERP.
   • Monitor the system closely during the initial phase to address any issues promptly.
   • Provide a feedback mechanism for users to report problems or suggest improvements.

9. Post-Implementation Review:

   • After a set period, review the system's performance and user feedback.
   • Address any lingering issues or areas for improvement.
   • Consider ongoing training or refresher courses for users.

10. Ongoing Support and Maintenance:

• Ensure that you have a support agreement in place with the ERP vendor.
• Regularly update the system to benefit from new features and security patches.
• Monitor system performance and user feedback continuously to identify areas for improvement.

Can you migrate an On-Premises ERP to the Cloud?

Yes, you can move an on-premises ERP to the cloud, but the process can be complex and requires careful planning and execution. This transition is often referred to as 'cloud migration'. Here is a general overview of the steps involved:

1. Assessment:

   • Evaluate the current on-premises ERP system to understand its architecture, data structures, customisations, and integrations.
   • Identify the reasons for moving to the cloud (e.g., cost savings, scalability, remote access) and set clear objectives for the migration.

2. Choose the Right Cloud Model:

   • Decide between public, private, or hybrid cloud based on your business needs, budget, and security requirements.
   • Determine the service model: SaaS, PaaS, or IaaS. For many businesses, a SaaS ERP solution may be the most straightforward, but it may not offer the same level of customisation as the on-premises version.

3. Select a Cloud Provider:

   • Choose a cloud provider with a strong track record that offers the necessary resources and can meet your security and compliance needs.
   • Some widely used cloud providers include AWS, Microsoft Azure, and Google Cloud Platform.

4. Plan the Migration:

   • Develop a detailed migration plan, outlining each step, timelines, and responsibilities.
   • Consider potential challenges, such as downtime, data loss, or compatibility issues, and plan for contingencies.

5. Data Migration:

   • Clean and prepare the data from the on-premises system for migration.
   • Use data migration tools or services to transfer data to the cloud. Ensure data integrity and consistency post-migration.

6. Customisations and Integrations:

   • Re-implement customisations made in the on-premises ERP in the cloud environment. This may require re-coding or using cloud-native tools.
   • Ensure that the cloud ERP integrates seamlessly with other business systems.

7. Testing:

   • Thoroughly test the cloud ERP system to ensure all features work as expected and that data has been migrated accurately.
   • Address any issues or bugs that arise during testing.

8. Training:

   • Train users on the new cloud ERP system, as there may be differences in interfaces or processes compared to the on-premises version.

9. Go Live:

   • Once testing is complete and you are confident in the system's readiness, make the switch to the cloud ERP.
   • Monitor the system closely during the initial phase to address any issues promptly.

10. Ongoing Management:

• Regularly update and maintain the cloud ERP system.
• Monitor performance, security, and user feedback to ensure the system meets business needs.

What are the Top 10 Cloud ERP Systems?

Check out our free Top 10 Cloud ERP report here to find out.

Are Cloud ERP systems secure?

Cloud ERP systems, like all cloud-based solutions, come with both security advantages and challenges. The security of a Cloud ERP largely depends on the cloud provider, the ERP vendor, and the measures implemented by the end-user organisation. Here is a breakdown of the security aspects:

Advantages:

1. Expertise and Resources: Leading cloud providers invest heavily in security, often more than what an individual company might be able to afford. They employ security experts, conduct regular audits, and stay updated with the latest security threats and countermeasures.

2. Regular Updates: Cloud ERP vendors typically handle maintenance and updates, ensuring that businesses always have access to the latest security patches.

3. Data Redundancy: Cloud providers often store data in multiple locations, ensuring data redundancy. This can be beneficial in case of disasters, hardware failures, or data corruption.

4. Advanced Security Features: Many cloud providers offer advanced security features such as encryption (both in transit and at rest), multi-factor authentication, intrusion detection systems, and more.

5. Compliance: Reputable cloud providers adhere to various international and industry-specific compliance standards, such as UK GDPR, the Data Protection Act 2018, and SOC 2.

Challenges:

1. Data Breaches: Like any online system, cloud ERPs are potential targets for data breaches. However, the risk is often more about how the system is used and configured than the cloud itself.

2. Data Control and Sovereignty: Storing data in the cloud can raise concerns about data sovereignty, especially if data centres are located in different countries with varying regulations.

3. Multi-tenancy: In a multi-tenant cloud environment, multiple customers share the same infrastructure. Whilst data is logically separated, vulnerabilities or misconfigurations could potentially expose data.

4. Downtime: Whilst cloud providers aim for high availability, there is always a risk of downtime, which could impact business operations.

5. Vendor Lock-in: If a cloud ERP vendor uses proprietary technology or formats, it may be challenging to migrate away or integrate with other systems.

Where is data hosted in a Cloud ERP system?

Cloud ERP data is hosted in data centres owned and operated by cloud service providers. These data centres can be located anywhere in the world, and the specific location often depends on the cloud provider's infrastructure and the preferences or requirements of the ERP customer. Here is a more detailed breakdown:

1. Cloud Service Providers: Major cloud service providers such as Amazon Web Services (AWS), Microsoft Azure, Google Cloud Platform (GCP), and others have data centres spread across various regions globally. When a business opts for a Cloud ERP solution, the data may be stored in one of these data centres.

2. Regional Availability: These cloud providers typically offer multiple 'regions', and within each region, there are multiple 'availability zones'. A region refers to a specific geographic area, and an availability zone is a data centre within that region. For redundancy and high availability, data can be replicated across multiple availability zones within a region or even across regions.

3. Data Residency and Compliance: Due to data sovereignty laws and regulations in various countries, businesses may have specific requirements about where their data can be stored. For instance, a company operating in the UK or European Union may prefer (or be required) to store its data within the UK or EU to comply with UK GDPR. Cloud providers often allow clients to choose specific regions for data storage to meet these requirements.

4. Private Clouds: If a business opts for a private cloud ERP solution, the data may be hosted in a dedicated data centre provided by the cloud vendor or in a data centre owned by the business itself. In this scenario, the data location is more predictable and can be chosen based on the business's preferences.

5. Hybrid Clouds: In a hybrid cloud setup, some data may be stored on-premises (in the business's own data centre), and some may be stored in the cloud. The distribution of data depends on the specific architecture and requirements of the business.

6. Vendor-Specific Solutions: Some ERP vendors may have their own cloud infrastructure rather than relying on major cloud providers such as AWS or Azure. In such cases, the data is stored in the vendor's data centres, and the locations would be specified in the service agreement.

It is essential for businesses to understand where their Cloud ERP data is hosted, not only for compliance and regulatory reasons but also for considerations related to latency, redundancy, and disaster recovery. Before committing to a Cloud ERP solution, businesses should discuss data hosting specifics with the vendor or service provider.

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