Tech It Easy

SAAS vs On-Premise -
To which one should we say I do?

Stephen Abela

16 May 2022

Choosing your spouse is crucial, but so is choosing your ideal software system. Many have wondered about what would be the most ideal model. Is it SAAS or On-Premise? Even though this debate has been brought forward countless number of times, this whole conversation seems to take an out of-this-world dimension for nontechnical people. This is why we decided to make it more practical, moving away from the technical wording and instead stick to more worldly definitions.


Hosting (aka) server location

Data needs to be stored somewhere. In the not so long ago era of files, we used to have cabinets where to store our product files. We have moved away from files but we still need to find a place where the data is to be stored. When having an on-premise solution we need to have a server at our offices. Contrastingly when having a SAAS solution we would simply shift that responsibility to someone else - our providers. The decision seems to be very straightforward right? Not so fast! Let’s delve into the nuts and bolts of this matter.

Security Measures

The company (i.e. the client) is responsible for the data whether dats is stored on-premise or anywhere else. This tends to be a hot potato for the company when deciding to hosting on cloud. A crucial point would thus be to ensure that when hosting onto a cloud server, data is stored with the highest security measures. For the non-technical person, it is hard to judge the security measures however the greater the responsibility the company is assuming, the higher are the standards which the company must obtain to ensure maximum security. When having the data hosted by a huge company such as Microsoft, this would be providing the end user with peace of mind. On the other hand when hosting it on-premise we need to make sure that our technical team has the knowledge and experience of handling this area. Alternatively there are a number of companies to whom this may be outsourced to.


Security measures go hand in hand with GDPR. Going into the technicalities of GDPR is not within our scope over here however, there are some key points to look for:

  • The solution should be GDPR-compliant, such as LSRetail which satisfies all the necessary requirements.

  • Data residency is crucial. Whether we are going for SAAS or On-Premise, the data must reside within the EU jurisdiction.


Upgrades tend to be a headache both for the client and the IT Service provider alike. There are so many things that can go wrong which requires an extensive amount of planning. For if something goes wrong, it would severely disrupt not only the end users, but also the day-to-day running of the business. This can be a thing of the past if we had to opt for the cloud solution which would enable automatic updates. One key benefit is that the user can enjoy the latest releases at all times rather than wait for years for the company to decide to upgrade their current solution.


Gaining access to the system may not be the top priority even though it should be. In a world which is getting more and more mobile, where pop-up shops are no longer the exceptions and where we need to look at our data round the clock, system access should be gaining the top spot. It’s an area which is frequently overlooked. At the same time we love to hate the vpn connections and the numerous disadvantages that it brings along. When having a cloud solution, this area gets completely wiped out and replaced by a strong cloud authentication. Once again a highly reputable company would offer a higher level of peace of mind when it comes to access security.

So, what’s the way forward?

Once again, not that fast. Evidently, we are more inclined towards the beauty of a SAAS model. However, we are all very aware that nothing is that crystal clear in the IT world. So once again, you are asked to refer to a professional to assist you in making the right decision before you do.

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