On-Premise vs. Cloud Software: Which Is Really the Better Choice?

Written by | Technology

In the past few years I’ve had the opportunity to build and sell both on-premise and cloud-based software, as well evaluate and select between them as a customer.  Outside of edge use cases, I almost always recommend and choose solutions that are in the cloud.  There are many reasons why, but the key factors come back to business agility and cost containment.

Now that I’m primarily focused on the needs of field-based service businesses, I am an even bigger proponent of cloud software for most of our customers.  If you’re evaluating on-premise versus cloud software for your business, here are some key considerations:

The Costs

When it comes down to it, a cloud solution is almost always the more cost-effective solution over the long run. With an on-premise solution you’re determining all of your requirements and costs up-front when you purchase the solution because there is equipment and associated software to be installed; there is very little opportunity to scale up or back later based on the state of your business over time.  With cloud, the amount of storage or utility (and the associated costs) can be easily adjusted based on the decisions you make about your business.

Licensing and Updates

How often do you think companies make improvements and updates to the software that you use on an everyday basis, both in your personal life and in your business?  The answer really often.  I’ve worked at companies that release software every week, and most release enhancements at least once a month.  When you’re leveraging an on-premise solution, you don’t benefit from any of those new features that support the needs of changing markets and customers.  You are locked in with the product, as-is, until your next contracted physical update.

Equipment Maintenance

Speaking of equipment, servers and computers break and need regular maintenance. Therefore, an on-premise solution often requires specially trained, dedicated IT professionals to service that equipment.  This is an on-going cost that is eliminated with cloud software where someone else takes on the burden of continued updates and upgrades.

Mobile Accessibility

We’re really serious about keeping things mobile here at mHelpDesk, because we know that in-field accessibility via phones and tablets is of utmost importance to our customers.  That’s another reason where cloud and on-premise solutions differ; the cloud is built with accessibility and mobility at its core.  By running your business with cloud-based software you ensure the ability to access your data, whenever and wherever you need it.



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When making the final buying decision on software and solutions for your business, you have to think about all of the aspects of your business and make the decision that is right for you.  Taking into account the core factors outlined here of security, cost, maintenance, agility and mobility, I will continue to promote the cloud for most businesses.

Last Updated By: Rochelle Sanchirico


Last modified: January 17, 2018

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