The pitch for open source CRM is simple: no per-user subscription. The honest version is that you stop paying a vendor and start paying for infrastructure and attention. Whether that is a good trade depends on your team.
The two formulas
SaaS cost per year = users × price per user per month × 12 (plus any paid add-ons, API limits or storage upgrades).
Self-hosted cost per year = server or hosting + backups + domain and email delivery + admin time (updates, monitoring, fixes) + optional paid support or extensions.
For the hosting part, a VPS or web hosting plan from a provider such as Hostinger is a typical starting point for small teams.
Notice that the self-hosted formula barely changes when you add users, while the SaaS formula grows with every seat. That is where open source wins as teams grow.
Where open source CRM wins
- Larger teams. Costs stay flat as headcount grows.
- Data ownership. Customer data stays on infrastructure you control, which can simplify compliance.
- Customization. You can change the source, add fields and integrate deeply.
- No lock-in. You can leave with a database dump, not a support ticket.
Where SaaS wins
- Tiny teams who value zero maintenance more than saving a few dollars a month.
- No technical person to apply updates or restore backups.
- Built-in extras such as email sync, phone integration and support SLAs that you would otherwise assemble yourself.
The middle path: open source, hosted by someone else
Many projects (Twenty, Frappe CRM, EspoCRM, SuiteCRM and others) offer an official hosted plan or have partners that host them. You keep the option to move to your own server later, which is the real benefit of open source.
A quick decision rule
Choose self-hosting if you have someone who can maintain a server, or you have more than a handful of users, or data location matters. Choose a hosted plan if nobody on your team wants to be the sysadmin. Either way, pick software with a license and export tools that let you change your mind.
Start with the full directory and use our 9-point checklist.
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