Has Dynamics GP Reached End of Life? What You Need To Know About Microsoft’s Announcement

In April 2023, Microsoft made a big announcement: new licenses of Dynamics GP will stop being sold by April 2025. 

Any time a legendary company announces they’re going to wind down a product that has been a cornerstone for decades, it can feel like a bit of a shock. But, as Cloud-based ERP solutions like Microsoft Dynamics 365 Business Central became more robust and widely adopted, it was increasingly clear that Cloud solutions are fast becoming the preference and norm for clients.  We are here to answer any questions you may have about how this announcement affects your business.  

My business currently uses Dynamics GP. What does this change for us? 

Honestly? Nothing. And even after Microsoft stops selling new licenses of Dynamics GP, they plan on providing support through 2028 and beyond. There will also still be tax updates and the occasional product update until that time. But keep in mind that Business Central will continue to evolve quickly and become even easier to implement, while Dynamics GP will fall further behind in terms of functionality. Enhancement plans are available, but it’ll actually be less expensive to just make the switch to Business Central. 

My business was considering purchasing Dynamics GP. Is that still a good idea? 

Purchasing a perpetual Dynamics GP license before April 2024 is possible. It would involve paying the large upfront cost It’s not a bad idea, per se, but is it the best option available? We feel strongly the answer is “No.” 

After April 2024, Dynamics GP subscription licenses will be your only option until April 2025. After April 2025, Dynamics GP will not be available as either a perpetual or a subscription license. Again, a subscription license for Dynamics GP is not a bad idea, but there are other options available that will scale with your business. 

With Dynamics 365 Business Central, not only do you get a modern Cloud solution, but you get it at a lower cost. You don’t have to buy and maintain an SQL server, a Windows server or any other physical infrastructure. For new customers, Dynamics 365 Business Central is the best option from both a cost and a functionality standpoint.  

I want the functionality of Microsoft Dynamics 365 Business Central, but I just feel more comfortable with an on-premises solution. What are my options? 

Business Central is also available as an on-premises version, but you’d need to act quickly if you want a perpetual license: Just like with Dynamics GP, Microsoft will stop selling them for on-premises Business Central in 2025.  

However, to tap into Business Central’s full potential, we highly recommend the Cloud-based version. We understand why some businesses are hesitant to move away from on-premises solutions—but the Cloud is the more secure option. 

Okay, but migrating to the Cloud sounds like a daunting task. How do I even do that? 

It’s true that migrating to a Cloud-based solution is a bit more complex than flipping a switch, but the good news is that you don’t have to do it alone. By partnering with a team of trusted migration experts like Enavate, you’ll be able to move your business operations to Dynamics 365 Business Central and not have to worry about falling behind or losing Microsoft support for your solution.  

To learn more about the costs and benefits of moving to the Cloud, check out our blog. And if you’re ready to embrace the future of ERP solutions, complete our FREE 5-minute GP assessment or contact our team today.