The big difference between on-premise and cloud is where the software and data are stored. With on-premise CRM, the software is located on your company’s servers and on employee computers. The implementation process typically takes more time, more IT resources, and is more complex. However if your organization has especially strict security protocols, this can be the ideal choice. With an on-premise implementation, upgrades will take longer, and your IT team will be taxed to provide service to the CRM. You’ll typically be charged per implementation. Cloud-based or software-as-a-service (SaaS) CRMs are operated on and store data on the vendor’s servers. The vendor is responsible for the uptime operation of the system and provides customer support. You’ll need a strong internet connection to run a cloud-based CRM, but you won’t need the expense of dedicated servers. Upgrades will occur at all times, so the platform will be constantly evolving. You’ll typically be charged by seat.