The 7 Best (and Cost-Effective) ERPs for Small Businesses

The top 7 ERP solutions for small businesses.

ERPs aren’t one-size-fits-all solutions, so we included a variety of platforms designed to meet specific needs. Do you want to improve your inventory management? Get your spending under control? You’ll find your perfect fit below.

1. Best overall ERP for small businesses: NetSuite.

NetSuite by Oracle is a leader in ERP solutions, offering an all-in-one platform designed for small and mid-sized businesses. With modules for financials, inventory, CRM, and more, it provides businesses with the tools they need to streamline operations and scale effortlessly.

Key features:

• Advanced financial management and reporting tools.
• Inventory and order management for real-time visibility.
• CRM integration to enhance customer relationships.
• Cloud-based platform for anytime, anywhere access.
• Highly scalable for growing businesses.

Pricing: Custom quotes available on request.

Why choose NetSuite: Businesses love NetSuite for its robust features and centralized operations. It’s an investment but one that pays off with greater efficiency and insight into every aspect of your business.

2. Best budget-friendly ERP for small businesses: Microsoft Dynamics 365 Business Central.

Microsoft Dynamics 365 Business Central offers a strong balance of affordability and functionality, making it ideal for small businesses that need robust tools without the complexity and learning curve of larger platforms. Built on Microsoft’s ecosystem, it natively integrates with Office 365 and other familiar tools.

Key features:

• Integrated financials, sales, and supply chain management.
• Built-in integration with Microsoft Office 365 for seamless workflows.
• Customizable dashboards to track business performance.
• Scalable solution for small to medium businesses.
• Cloud or on-premise deployment options.

Pricing: Microsoft Dynamics 365 starts at $70/user/month.

Why choose Microsoft Dynamics 365 Business Central: It’s perfect for businesses looking for a cost-effective solution that works with existing Microsoft tools, offering a smooth transition to a more integrated system.

3. Best free ERP for small businesses: Odoo Community Edition.

Is your budget tighter than those decade-old jeans you just can’t bring yourself to part with? Odoo’s Community Edition has the breathing room you need. This open-source enterprise resource planning platform allows businesses to customize modules to fit their unique needs. The downside? It requires some technical know-how to set up and maintain.

Key features:

• Modular system with options for CRM, inventory, and sales.
• Open-source design for complete customization.
• Integration with third-party tools through APIs.
• No licensing fees for the Community Edition.
• Active developer community for support and updates.

Pricing: Odoo’s Community Edition is completely free to use.

Why choose Odoo: Odoo is perfect for start-ups or tech-savvy businesses that want a highly customizable solution without upfront costs. As your business grows, you can switch to the paid Enterprise version with zero disruptions or expensive, time-consuming data transfers.

4. Best cloud-based ERP for small businesses: QuickBooks Online Advanced.

QuickBooks Online Advanced takes everything businesses love about QuickBooks and packages it into a cloud-based ERP for small to mid-sized teams. Its mobility and accessibility make it a popular choice for businesses that value real-time, dynamic access to their financial data.

Key features:

• Advanced financial management tools for tracking income and expenses.
• Cloud-based access from any device.
• Payroll processing and tax filing.
• Customizable dashboards to track key metric.
• Integrations with hundreds of business apps.

Pricing: QuickBooks Online Advanced ranges from $35-235 a month, depending on the features you need.

Why choose QuickBooks: QuickBooks Online Advanced is a natural choice for businesses that are already familiar with QuickBooks and ready to take their operations to the next level.

5. Best ERP for small manufacturing businesses: Katana.

Designed with manufacturers in mind, Katana’s ERP offers tools to manage production schedules, inventory, and order fulfillment. The platform also allows manufacturers to track key performance indicators (KPIs) to optimize production schedules and inventory management. Its user-friendly interface and real-time updates make it a favorite for small-scale manufacturers.

Key features:

• Real-time inventory tracking for seamless warehouse management.
• Production planning tools to optimize workflows.
• Integrations with e-commerce platforms like Shopify.
• Customizable order fulfillment processes.
• Insights into raw materials and finished goods.

Pricing: Katana’s ERP solution starts at a flat $179/month for unlimited users.

Why choose Katana: Small manufacturing businesses appreciate how Katana simplifies production planning and inventory management for smooth operations.

6. Best ERP for small retail businesses: Lightspeed.

Lightspeed’s ERP solution is ideal for retail businesses that need a powerful point-of-sale (POS) system integrated with inventory and customer management tools. It’s a robust all-in-one management tool for retail business operations, and its multi-store support gives growing brands the resources they need to expand seamlessly.

Key features:

• Advanced POS system for efficient transactions.
• Inventory management with automatic stock updates.
• Integrated e-commerce tools for online sales.
• Support for multi-store operations.
• Customer relationship tools to improve engagement.

Pricing: Lightspeed’s retail ERP software starts at $89/month.

Why choose Lightspeed: Lightspeed provides a comprehensive solution that bridges the gap between in-store and online sales. Whether you have one location or ten, the platform has the tools you need to support business growth and operational efficiency.

7. Best ERP for non-profits and growing businesses: Sage Intacct.

If your business is positioned to outgrow the “small” designation (or it has already) but you aren’t quite ready for a true enterprise solution, Sage Intacct is an excellent option. This powerful ERP is designed for scaling businesses with complex financial needs. The platform’s advanced reporting tools and multi-entity support are ideal for startups poised for rapid growth.

Key features:

• Real-time financial reporting and analytics.
• Multi-entity support for businesses with multiple locations.
• AI-driven insights to improve decision-making.
• Strong security features to protect financial data.
• Customizable workflows support core business processes.

Pricing: Custom quotes available on request.

Why choose Sage Intacct: Rapidly growing businesses, especially those in highly regulated industries, appreciate the ERP platform’s ability to handle more complex financial requirements and simplify compliance.

What criteria should you look for when choosing a small business ERP system?

Whether you choose an enterprise resource planning solution from our list or go with another popular option like SAP Business One or Microsoft Business Central, look for these essential aspects to ensure a good long-term fit.

• Features and capabilities: First, determine what your business actually needs. Do you need advanced reporting, inventory management, or granular control over financial and business data? Look for an ERP that meets your current requirements and budget but that still offers flexibility for the future.
• Scalability: Your ERP should grow as your business grows. Whether it’s adding new users, incorporating more modules, or integrating with additional tools, scalability is essential to avoid switching systems later.
• Integrations: Ensure the ERP integrates smoothly with tools you already use, such as accounting software, CRM platforms, or payroll solutions. The right integrations save time and reduce errors.
• Security: Look for ERPs with strong data security features, including encryption, regular backups, and user access controls. Small businesses are increasingly at risk for data breaches, so data security is a must.
• Usability: An ERP is useless if it’s a nightmare to use. Choose a system with an intuitive, user-friendly interface and robust training resources to ensure smooth adoption.
• Industry fit: Some ERPs are designed for specific industries, like retail or manufacturing. These tailored solutions often provide specialized features that generic systems lack.
• Cost: While cost is an important factor, focus on value. A slightly more expensive ERP that saves you time, reduces errors, and supports growth is a smarter investment.

Transform your small business operations with Airbase.

The best ERP software for your small business depends on your specific needs. As you weigh your options, look for a platform that fits your industry and offers you top features, seamless integrations with your existing tools, and strong security to protect your data. Also keep scalability and ease of use in mind to ensure the system will work for your business long term and support future growth.

But remember, your ERP can only deliver real value if it connects smoothly with other business tools and has powerful data sources feeding it actionable insights.

Airbase is a powerful, comprehensive spend management tool that syncs flawlessly with 70+ leading ERP systems like NetSuite, QuickBooks, and Sage Intacct. It centralizes expense management, accounts payable, and procurement into one platform, and adds advanced automation to streamline financial operations and ensure teams stay efficient and focused.

With Airbase, you get complete visibility into your spend, along with the granular control you need to reduce waste, prevent fraud, and protect your business’s financial health.

Ready to see how Airbase simplifies your workflows and saves you time and resources? Schedule a free demo today!

FAQ

What is small business ERP, and how does it enhance efficiency?

Small business ERP systems integrate key business functions like accounting, warehouse operations, and supply chain management into a unified platform. By using advanced business applications and analytics tools, these systems enhance efficiency, improve operational continuity, and support business performance for small and mid-sized businesses.

Do small businesses need specialized ERP systems?

Yes, specialized ERP systems tailored for small and medium businesses provide integrated business applications that streamline supply chain tools, project management, and business intelligence. They ensure operational continuity, offer customization tools for unique needs, and drive better decision-making for the entire company.

What features should the best ERP solutions for small businesses include?

The best ERP solutions for small businesses should combine cloud-based ERP systems, supply chain optimization, and interactive web platforms. Features like intelligent process automation help small businesses manage key business functions while also improving business performance.