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Business Central

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Changes to Business Central
On-Premises and Dynamics
NAV Effective as of
2027 and 2031 What You Need to Know Now

Microsoft is consistently driving its move to the cloud: In the coming years, significant changes are coming for Microsoft Dynamics NAV and Dynamics 365 Business Central On-Premises. These changes affect both perpetual licenses and subscriptions. In this article, you’ll learn what changes are coming, how they’ll affect your existing license, and why now is the right time to strategically plan your move to the cloud. ☁️

New Customers and Now Existing Customers, Too

As of April 1, 2025, new customers can no longer purchase perpetual licenses for Business Central.

Microsoft has now announced an additional deadline for the phase-out of the On-Premises model, which affects existing licenses and, consequently, Business Central’s existing customer base.

Enhancement Plans and Existing Subscriptions (On-Premises)

As of April 30, 2031, it will no longer be possible to renew Enhancement Plans (maintenance) for Dynamics NAV. After that date, updates will not be available. In addition, it will not be possible to add new users. Companies that perform their own custom development will also no longer be able to configure their custom objects.

The effective date also marks the end of renewals for existing Dynamics NAV subscriptions.

New Subscriptions (On-Premises)

Starting February 1, 2027, new subscriptions for Business Central On-Premises will no longer be available to new customers. Currently, this change has no impact on existing subscriptions.

Dual Use: Continue to run Business Central On-Premises in Parallel with the Cloud

The fact that these changes are taking effect does not mean that you must stop using Business Central after the effective date. It simply means that the old licensing model will no longer be available. Business Central will continue to be available in the cloud, and you’ll also have the option to continue using Business Central On-Premises in parallel with the cloud after the effective date through Dual Use Rights. The prerequisite for this is that all your apps and installations are cloud-ready.

Bridge to Cloud 3: Enjoy a 30% Discount on Cloud Licenses for Three Years

If you’re currently running Business Central On-premises, the Bridge to Cloud 3 (BTC3) promotion offers an attractive opportunity to make the transition to the cloud early and in a planned manner. With BTC3, Microsoft helps companies make the transition in a phased manner: During the migration phase, you can continue to use your existing On-Premises Business Central solution while simultaneously setting up and testing the cloud environment. In addition, eligible customers receive a 30% discount on Business Central Online subscriptions for three years.

Business Central: The Cloud is becoming the New Standard

With these changes, Microsoft is consistently driving the shift toward the cloud. For new customers, the cloud will become the standard in the future. This benefits both companies and users: They gain continuous access to innovations, enjoy greater flexibility, and can scale their IT environment to meet their needs. This allows new business requirements to be implemented more quickly and met more efficiently in the long term.

Would you like to learn how these changes will affect your existing Business Central solution and what opportunities they offer specifically for your company? Feel free to contact us - we’ll help you plan your next steps and find the right path to the cloud.

Hot Air Balloons
Are you ready to take off for the cloud? Licenses for Business Central On-Premises and Dynamics NAV will soon be a thing of the past.