Raise your hand if you know what Software as a Service means. Okay, for those of you who don’t…here’s the short of it. Software as a Service simply means that instead of purchasing a license for the software and owning the software, you pay a subscription price to use the software for as long as you continue to pay for it.
This can be cost beneficial for some software, but not for others. There is no golden key to determine which works best, but here is something to at least get you pointed in the right direction. If the software is going to be changing constantly, has annual renewal fees, or has maintenance and support fees, then it is often times a good deal to engage it as a SaaS (Software as a Service) type solution.
If the software is relatively static, aside from patches and updates, then traditional licensing will probably be the best answer. Pay attention to the fact that I am leaving room for exceptions. There is no blanket statement that covers every single situation. But take a look at these examples. Software such as Microsoft Office does not have an annual renewal, and it is very static. It does get updates, but major versions only change once every few years. This is a perfect candidate for traditional licensing. Pay for it once, then own it. This will probably be cheaper in the long run rather than paying a little bit each month.
Anti-virus however is different. You have to pay an initial purchase price, annual renewal fees, plus a new version can come out a couple different times within the span of three years. Since this is a software that you would make add-on payments to in order to keep it updated, SaaS becomes a great option. After adding up all the payments between initial purchase, annual renewals, and version upgrades, a small monthly subscription usually ends up being cheaper after everything is all totaled up.
ConnectWise offers some products that are Software as a Service, including anti-virus and anti-spam. Check with your Account Manager to learn more details about available programs.