The verdict in three sentences
A standard ERP (SAP Business One, Sage X3, Dynamics 365) costs 50-150 EUR/user/month plus 30,000-100,000 EUR of implementation, but bends you to its processes. A custom ERP needs 80,000-200,000 EUR one time, with no recurring licence, and fits your trading flows exactly. The choice hinges on three criteria: how specific your processes are, the number of users, and your 5-year total cost of ownership (TCO).
Standard vs custom: the 5-year comparison
The trap with standard is the recurring licence; the trap with custom is the upfront cost. Let's compare 5-year TCO for a trading firm of 20 users.
| Item | Standard ERP | Custom ERP |
|---|---|---|
| Initial implementation | 30,000 - 100,000 EUR | 80,000 - 200,000 EUR |
| Licences (20 users, 5 yrs) | 60,000 - 180,000 EUR | 0 EUR |
| Specific customisations | 15,000 - 50,000 EUR | included |
| Maintenance / evolutions (5 yrs) | 20,000 - 40,000 EUR | 40,000 - 80,000 EUR |
| Hosting (5 yrs) | included SaaS | 6,000 - 18,000 EUR |
| 5-year TCO (order of magnitude) | 125,000 - 370,000 EUR | 126,000 - 298,000 EUR |
At 20 users the two converge; below 10 users standard wins, above 30 users custom widens the gap thanks to the absence of licences.
The decision grid
Cost is only one factor. Here is the grid we use to decide.
| Criterion | Leans standard | Leans custom |
|---|---|---|
| Process specificity | Classic processes | Atypical trading flows |
| Number of users | < 10 | > 25 |
| Usage horizon | < 4 years | > 5 years |
| Integration needs | Standard connectors | Specific business APIs |
| Vendor lock-in | Accepted | To avoid |
| Time to deploy | Urgent (< 3 months) | Plannable (4-8 months) |
| Multi-currency / multi-site | Native | To specify |
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Mini case study
Sophie, MD of a materials trading firm in London (28 users, 22M EUR revenue). SAP B1 quote: 65,000 EUR implementation plus 28 users at 90 EUR/month, i.e. 90,720 EUR of licences over 3 years and a 5-year TCO around 300,000 EUR. Custom is quoted at 150,000 EUR covering purchasing, multi-warehouse stock, margins per deal and supplier EDI, with no licence. Over 5 years custom comes out at ~205,000 EUR, i.e. 95,000 EUR saved, while matching her per-customer pricing logic. She picks custom for independence and business fit.
FAQ
Is custom riskier? The risk is in scoping, not technology. With work broken into batches, a pilot and deliveries every 2-3 weeks, the risk is controlled. A poorly configured standard ERP fails just as easily.
How long for a custom ERP? 4 to 8 months for a trading scope (purchasing, stock, sales, margins), starting with the most critical module. Avoid big-bang.
Can we migrate our data? Yes: items, partners, order history and stock are reloaded via scripts. Budget 5,000 to 15,000 EUR for migration depending on data cleanliness.
What if the business grows? A custom ERP scales with you with no extra per-user licence. That is precisely the advantage above 25-30 users, where standard gets expensive every year.
Can we go hybrid? Yes: keep standard accounting and build the trading core custom (stock, margins, EDI). It is often the best cost/value ratio for a trading firm with specific processes.
Let's scope your project. Tell us your user count, your specific trading flows and your horizon, and we'll deliver a costed standard-vs-custom TCO comparison. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
