How much does ERP implementation cost in India?

Faxtor offers two products. The CRM fixes sales: leads, follow-ups and deal stages. The custom business system is a full ERP that connects sales, inventory, finance, team and operations. These are our current 2026 prices.

Neither product has a per-user fee. The yearly charge is one fixed figure, and it does not change when you add users.

Every ERP quote in India comes down to two numbers: what you pay once to get the system built, and what you pay each year to keep it running. Ask for both upfront so you can compare vendors on the full cost.

1. The one-time build

This covers the work to get you live: sitting with you to map how each department works, setting up the system with your products, prices and approval rules, building what is specific to your business, connecting the tools you already use, moving your existing data in, and training your team. At Faxtor, this is ₹40,000–50,000 for a CRM and ₹2–8 lakh for a custom business system.

2. Hosting and support, one yearly charge

After go-live you pay a single yearly charge that covers everything needed to keep the system running: secure hosting on AWS with backups, bug fixes, small changes and our team being available when you need help. It is ₹12,000 a year for a CRM and ₹30,000–60,000 a year for a custom business system, depending on its size. That works out to ₹1,000 a month for a CRM and ₹2,500–5,000 a month for an ERP.

Every client gets a separate, dedicated database, so your data never sits alongside another company’s.

A useful way to think about it is a car. Buying it is a one-time cost, and a small yearly service keeps it running. The build is the purchase; the yearly charge is the service.

There is no fixed price for an ERP because no two businesses run the same way. These six factors decide most of the final number.

1. 1

   Number of departments. A system that covers sales and inventory sits at the lower end. One that connects sales, purchase, inventory, production, accounts, HR and dispatch sits higher.

2. 2

   How specific your processes are. Standard flows such as orders, invoices and stock come from our existing platform. Unusual approval chains, dealer-specific pricing or multi-stage production need custom work.

3. 3

   Integrations. Each connection adds work: Tally sync, payment gateways, WhatsApp alerts, GST e-invoicing and e-way bills, or software you already run.

4. 4

   Data migration. Moving in a clean customer and product master is quick. Cleaning years of scattered Excel sheets before import takes longer.

5. 5

   Dashboards and reports. The number of owner dashboards and custom reports you need, and how many sources each one pulls from.

6. 6

   Locations and entities. Multiple branches, warehouses or legal companies add stock transfers, separate books and consolidated reporting.

These are illustrative estimates based on our current pricing, to show how the numbers add up. Your quote will depend on your scope.

In example 2, the cost after the build is ₹40,000 a year. In example 3, it is ₹60,000 a year. In both cases that number stays the same whether 15 people use the system or 50.

Subscription software looks cheaper in the first year because there is no build cost. The difference shows up over time. A subscription charges per user, every year, and the bill rises as your team grows. If you stop paying, you lose access to your own data. A custom system is a one-time build, and the ongoing cost is one fixed yearly charge, not users.

The table below compares example 2 above with a subscription at an illustrative ₹1,000 per user per month. Subscription prices vary widely, so put in the real figure from any quote you have.

This does not mean a subscription is always the wrong choice. If a low-cost tool covers everything you need today, it may be the right tool for now. Custom usually becomes the better fit once you have several departments, a process no ready-made tool handles, or a team big enough that per-user pricing gets expensive.

Most custom software is expensive because the company building it starts from zero every time. Faxtor builds on FaxtorCore, our own platform with a shared foundation proven across more than 20 industries, including schools, garment manufacturing, construction and real estate. A large part of what a business needs is often already built, and we tailor the rest. Less building from scratch means a lower cost without losing the fit.

It is like a builder who has already built 20 houses of a similar kind. The foundation, plumbing and wiring are already worked out, and only the rooms and layout are designed for your family. You still get a house built for you, faster and at a lower cost.

The other side of the cost is time you already spend: chasing updates on WhatsApp, re-checking Excel entries and stitching numbers together before you can decide anything. It never shows up as a line item, but it adds up to hours of your team’s time every week. A system gives that time back.

Whichever vendor you choose, ask these questions so the quote you compare is the full cost.

• Is data migration included? Moving your customers, products and opening balances in is part of the work.

• Is training included? Each department should be trained when its module goes live.

• What is the yearly cost after go-live? Ask for one fixed figure that includes hosting and support, and what it covers: bug fixes, small changes and response times.

• Are there per-user fees? Check what happens to the bill when your team doubles.

• How are new features priced? Businesses change; ask how additions after go-live are quoted.

• Who owns the data? Make sure the system and data stay yours, with nothing held back if you leave.

You do not need to automate the whole business on day one. Start with the one process that irritates you most: the report you keep asking for, the Excel sheet only one employee understands, or the step where things keep slipping. Fix that first, see the result, then add the next module.

Most of our clients start with the CRM at ₹40,000–50,000, because sales is usually the first pain point. As they grow, the same system expands to cover inventory, finance and operations, which is what an ERP is. Because it is one system from the start, nothing has to be rebuilt when you add modules.

The first discovery call is free and carries no obligation. Send us a two-line WhatsApp message about that one problem, and we will show you what the process looks like when it runs automatically.

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