Your business is growing and you’ve decided the time is right to add a customer relationship management (CRM) system to the mix. Congratulations! Implementing a CRM solution to help take care of customer relationships, as well as the data and information associated with them, is a big step, but also a step in the right direction.

When it comes to CRM systems, businesses typically have two main options to pick from: on-premise and on-demand, also known as cloud-based.

So, how do you know which kind of CRM solution is right for you?

Here is a quick breakdown of both:

On-Premise CRM

An on-premise CRM is exactly what it sounds like: It’s a CRM system housed at the place of business that uses it. This can mean the CRM is kept in a dedicated server room, or even in a closet. Generally, an on-premise solution require the business to buy either a server or a computer that can act as a server. Once this takes place, the CRM software can be installed on that server, usually by an in-house IT department.

Cloud-Based CRM

A cloud- based CRM system is managed digitally via the Internet by an offsite team of experts. This solution is also referred to as software as a service (SaaS), because it does not require a software installation or an IT department for management purposes. Instead, you simply log in online and begin using it. Cloud-based CRM is accessible anytime by anyone approved within the business to use it — even on mobile devices

Check out our new e-book and get some food for thought when it comes to the pros and cons of both on-premise and cloud-based CRM, plus a handy little worksheet to help you sort it all out.