mail@mabbaz.com Abu Dhabi, UAE

ERP Software · ERP suite

ERPNext

by Frappe

Free and open-source ERP under the GPL-3.0 licence, stewarded by Frappe. Self-hosting costs nothing in licence terms, and Frappe Cloud hosting is priced by resource consumption rather than per user, from 5 dollars a month.

Cloud, On-premises Open source Last reviewed 7 November 2026 Documentation-based
Visit product site

What it is

ERPNext is genuinely free and open-source software, and the licence is stated plainly. Frappe's pricing page says ERPNext is free and open-source software and always will remain so, and describes the self-hosted software as GPL-3.0 licensed. That makes it one of only two products in this category with a verifiable open-source licence, and the only one where the core product is fully free rather than open-core. For the self-hosting route Frappe states you pay absolutely nothing for running it and managing it on your own, while noting that cloud providers charge a hosting fee so infrastructure costs still apply. That caveat is worth taking seriously: zero licence cost is not zero cost, and the people who keep a self-hosted ERP patched, backed up and upgraded are the real expense.

The commercial model is unusual and, for some buyers, decisive. Frappe Cloud is priced by what you consume, not by how many people use it. The published figures are Sites plans from 5 dollars a month or 410 rupees a month, and Servers plans from 20 dollars a month or 1,800 rupees a month and from 125 dollars a month or 5,400 rupees a month. The page prints both US dollars and Indian rupees, and states that you pay only for what you use and not per user. For an organisation with many occasional users, warehouse staff, shop floor operators, field technicians, that is a structurally different and often dramatically cheaper proposition than per-user licensing, and it is the single strongest commercial argument for ERPNext. Note that the dollar and rupee figures on the page are not straight conversions of each other, so treat each as regional pricing rather than assuming one is derived from the other. Enterprise plans are quote-based, and the page does not list prices for Starter Packs or for partner implementation.

Who Frappe is. Frappe is the company behind ERPNext and the Frappe Framework it is built on, and the footer of the pricing page reads as Frappe. The vendor name is recorded here as Frappe rather than Frappe Technologies to match what the site shows. This matters for a buyer because an open-source project with a single commercial steward has a different risk profile from both a proprietary vendor and a foundation-governed project: the code cannot be taken away from you, but the roadmap, the hosting business and the paid support all sit with one company.

What this pass did not verify. Only the pricing page was read. No functional capability is claimed below as a result: the general ledger, payables, receivables, inventory, manufacturing, projects, HR and the rest are all recorded as unknown. ERPNext does have modules covering those areas, and its documentation is public, but this profile does not assert what it did not read. Nor were the API, integrations or mobile access sourced. A buyer evaluating ERPNext has an advantage most buyers in this category lack, though: the software is free and the source is public, so you can install it and test every requirement yourself rather than relying on a vendor demo or on this profile.

Capabilities

Each capability carries its own verification status. “Not verified” means exactly that: it has not been checked, and must not be read as absent.

CapabilityStatusNotes
Mobile access Mobile application or responsive access for approvals and enquiry. Not verified Not sourced in this pass.
Documented API A publicly documented API for integration. Not verified Not sourced in this pass, although the source code and documentation are public.
Reporting and analytics Financial and operational reporting and analytics. Not verified Not sourced in this pass.
Tax and statutory compliance VAT, withholding and statutory reporting, including local regimes. Not verified Not sourced in this pass. Localisation breadth is the usual weak point for open-source ERP and should be tested directly.
Multi-currency Transacting and reporting in multiple currencies with revaluation. Not verified Not sourced in this pass.
Multi-company consolidation Multiple legal entities with intercompany and consolidation. Not verified Not sourced in this pass.
HR and payroll Employee records and payroll, native or via integration. Not verified Not sourced in this pass.
Project accounting Project costing, work in progress and revenue recognition. Not verified Not sourced in this pass.
Manufacturing and production Bills of material, routings and production orders. Not verified Not sourced in this pass.
Inventory management Stock valuation, locations and movements. Not verified Not sourced in this pass.
Purchasing and procurement Requisitions, purchase orders and goods receipt. Not verified Not sourced in this pass.
Fixed asset accounting Asset registers, depreciation and disposal accounting. Not verified Not sourced in this pass.
Accounts receivable Customer invoicing, collections and credit control. Not verified Not sourced in this pass.
Accounts payable Supplier invoices, approvals and payment runs. Not verified Not sourced in this pass.
General ledger Core financial ledger with chart of accounts and journals. Not verified Only the Frappe pricing page was read this pass. ERPNext has accounting modules and public documentation, but no capability page was opened, so nothing is claimed.

Deployment

ModelSupported
Cloud (vendor hosted) Yes
On-premises / self-hosted Yes
Hybrid Not verified

Integrations

No integration detail has been verified for this product yet.

Licensing and pricing

ItemValue
Licensing modelOpen source
Free versionYes
Trial availableNot verified
Published priceUSD 5 per month, Frappe Cloud Sites entry plan, priced by resource use not per user
NoteFigures read from the Frappe ERPNext pricing page on 2026-11-07. The software itself is free: Frappe states ERPNext is free and open-source software and always will remain so, and describes the self-hosted software as GPL-3.0 licensed, with the note that you pay absolutely nothing for running and managing it yourself although cloud provider hosting fees still apply. The recorded 5.00 USD is the entry Frappe Cloud Sites plan, quoted on the page as from 5 dollars a month with 410 rupees a month shown alongside. Frappe Cloud Servers plans are quoted from 20 dollars a month (1,800 rupees) and from 125 dollars a month (5,400 rupees). Both US dollars and Indian rupees are printed on the page, so currency is stated rather than inferred, but the dollar and rupee figures are not direct conversions of each other and should be read as regional pricing. Frappe states you pay only for what you use and not per user. Enterprise plans are quote-based; Starter Packs and partner implementation are not priced on the page. free_version is yes because the software is free under GPL-3.0, which is a free version and not a trial.
Official pricing pageVendor pricing
Pricing last checked7 November 2026

Prices move and discounting is common. Treat anything here as a starting point and confirm with the vendor before budgeting.

Strengths and limitations

Strengths

  • Genuinely free and open-source under GPL-3.0, with Frappe stating that ERPNext is free and open-source software and always will remain so, which removes licence lock-in entirely. verified source
  • Hosting is priced by resource consumption rather than per user, stated as pay only for what you use and not per user, which is structurally cheaper for organisations with many occasional users. verified source

Limitations

  • Free of licence cost is not free of cost: Frappe notes that cloud providers charge a hosting fee for self-hosting, and the operational burden of running it falls on you. verified source
  • It requires real technical capability to adopt safely, and nothing about multi-jurisdiction statutory compliance was verified, which is the usual weak point for open-source ERP outside its core markets. editorial

Who it suits

Organisation sizes: Small, Medium

It fits well when:

  • You have many light or occasional users. Resource-based rather than per-user pricing is the structural advantage, and Frappe states it explicitly: you pay only for what you use and not per user.
  • You have real technical capability, whether in house or through a partner. This is the central condition. An open-source ERP rewards teams who can read code and operate infrastructure, and punishes those who cannot.
  • Avoiding licence lock-in matters to you on principle or on risk grounds. The GPL-3.0 licence means nobody can withdraw the software from you or reprice the core.
  • You want to evaluate exhaustively before committing. You can install it and test with your own data at no licence cost, which no proprietary competitor allows.
  • You operate in or sell into India, where the rupee pricing and the local partner ecosystem are strongest.

It fits badly when:

  • You have no technical capacity and want a vendor to own the outcome. Self-hosting looks free and then is not, and Frappe says as much by noting that hosting fees still apply.
  • You need audited statutory compliance across many jurisdictions out of the box. Nothing about localisation or statutory tax was verified here, and this is the usual weak point of open-source ERP outside its core markets.
  • You need a large pool of certified implementers in your country, or an enterprise vendor name to satisfy a board or an auditor.
  • You are a large enterprise with complex consolidation and heavy governance requirements.

The honest way to evaluate it. Because the licence cost is zero, do not evaluate ERPNext by reading about it. Stand up an instance, load a representative slice of your own master data and transactions, and try to break it on the three processes that matter most. That exercise costs you a few days and will tell you more than any directory profile, including this one. Then price the real total: Frappe Cloud at your actual consumption or your own infrastructure and the staff time to run it, plus partner implementation, plus whatever localisation work your jurisdictions require.

Alternatives

Odoo Odoo The other open-source-rooted suite, and the obvious head to head. Odoo publishes per-user pricing with the currency stated and offers a genuinely free One App tier, but multi-company and external API access are gated to the Custom plan at roughly double the Standard rate, and the Standard discount is valid for only 12 months. Per-user pricing is worse than resource-based pricing for wide, shallow user bases.
Microsoft Dynamics 365 Business Central Microsoft The commercially supported comparison most ERPNext evaluations end up making, with ten capabilities verified from accessible Microsoft documentation and a named target segment of small and medium-sized companies. See our <a href="/blog-post/business-central-vs-erpnext">Business Central versus ERPNext article</a>. The trade is licence cost and lock-in against an operational burden you no longer carry.
Cetec ERP Cetec ERP A commercial manufacturing option for buyers who like ERPNext cost transparency but want a vendor to run it: 50 dollars per user per month with a five-user minimum, shop floor users at 25, and support, hosting, EDI, BI, test instances and integrations all individually published. The headline is well below real cost, and the currency is inferred from Cetec being a US vendor rather than stated.
ERPAG ERPAG A low-cost hosted alternative for very small organisations that do not want to run anything themselves, at 49 to 199 a month with five users included. Every tier is capped at a 10 GB database, the larger database licence is quoted only approximately, and no functional capability could be sourced, so the trial has to do all your evaluation work.
Acumatica Cloud ERP Acumatica The step up to a verified commercial mid-market suite if ERPNext functional or statutory gaps turn out to be real for your jurisdictions, with eight capabilities named on one accessible page including manufacturing, project accounting, payroll and multi-entity accounting. No published pricing and no disclosed licensing metric.

See the full ERPNext alternatives guide

Compared with other products

Frequently asked questions

Yes, as software. Frappe states ERPNext is free and open-source software and always will remain so, and that the self-hosted software is GPL-3.0 licensed, with nothing to pay for running and managing it yourself. Frappe also notes that cloud providers charge a hosting fee, so infrastructure and staff time still cost money.

Sites plans from 5 dollars a month or 410 rupees a month, and Servers plans from 20 dollars a month or 1,800 rupees, and from 125 dollars a month or 5,400 rupees. Frappe states you pay only for what you use and not per user. Enterprise plans are quote-based.

No. Frappe states explicitly that you pay only for what you use and not per user. That is the main commercial difference from most products in this category and it favours organisations with many light users.

Yes. Frappe offers self-hosting as an option and states you pay nothing for running and managing it on your own, subject to your own infrastructure costs.

Sources and review basis

  • Evaluation basis: vendor documentation and public sources, not hands-on testing
  • Last reviewed: 7 November 2026
  • Vendor: Frappe
  • Documentation: Official docs

References

Disclosure

Alongside advisory work I also build a CMMS and CAFM platform, so I have a commercial interest in enterprise software generally. No vendor in this directory has paid for inclusion, placement or wording, and there are no reseller or affiliate arrangements. Weigh the analysis accordingly.

Evaluating ERPNext?

Independent help testing it against your actual requirement, and designing the data integration it will depend on. 22+ years across ERP, EAM, CAFM and enterprise integration. No reseller arrangements.

Book a conversation

At a glance

  • Vendor
    Frappe
  • Category
    ERP Software
  • Primary use
    ERP suite
  • Deployment
    Cloud, On-premises
  • Licensing
    Open source
  • Status
    Active

Need a second opinion?

Independent evaluation help, with no vendor relationships.

Get in touch
MAbbaz.com
© MAbbaz.com