What points should I be mindful of when reading through my ERP software contract?

Question
From: Steven Milburn

What points should I be mindful of when reading through my ERP software contract?

Answer
From: Alan Hall

The first, and perhaps the most cynical, thing to say is that the initial contract you receive from your vendor will probably be biased. In many instances it will remove liability from the ERP vendor, even when the problems arising are software-based. The key to evaluating any ERP contract is to seek quality legal counsel and spend time thinking about things that could go wrong – this is what the majority of a contract addresses.

A point of finances to note – many ERP vendors charge clients per user, the issue with this is that many have very different definitions of a user. Always check what you will be liable to pay for before signing on the dotted line.

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Tom Feltham

About the author…

Tom Feltham was Editor at ERP Focus for three years from 2013-2016. Tom still keeps tabs on the ERP software market and occasionally puts pen to paper when inspiration strikes.

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Tom Feltham

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