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ERPNext Hosting Options: Frappe Cloud vs Self-Hosted vs On-Premise

Frappe Cloud vs self-hosting on AWS, Azure or a VPS vs on-premise for ERPNext: custom apps, control, backups, upgrades, performance and who each suits.

By ERP Builders Architecture Group3 min read

ERPNext runs anywhere you can run Python, MariaDB and Redis. Where you host it determines who handles upgrades, how you deploy custom apps, and who gets the call when the system is slow. Here are the options and the trade-offs we see in practice.

Frappe Cloud

Frappe Cloud is the managed hosting platform run by Frappe, the company that builds ERPNext.

What you get: sites provisioned in minutes, automated backups, managed updates, monitoring and a choice of regions. Sites run on shared or dedicated servers depending on plan.

Custom apps: supported on private benches, where you connect your own Git repository and deploy your apps alongside ERPNext and Frappe HR.

Best for: businesses that want ERPNext without running servers, and teams whose IT capacity is better spent elsewhere.

Watch for: plan limits on compute and storage, and the need to coordinate updates with your custom apps so a platform update does not surprise you.

Self-hosted in the cloud

ERPNext installed with the bench command-line tool on your own virtual server — AWS, Azure, Google Cloud, DigitalOcean, Hetzner, OVH or any Linux host. Docker-based deployments are also common.

What you get: full control over versions, configuration, integrations and data location. You can size servers precisely and place ERPNext next to other systems it integrates with.

Best for: businesses with data-residency requirements, heavy integrations, or an IT team or partner comfortable with Linux operations.

Watch for: everything a managed service would otherwise do — security patching, backup verification, monitoring, SSL renewal and capacity planning. A self-hosted ERP with untested backups is a serious business risk.

On-premise

The same bench or Docker deployment on hardware in your own building.

Best for: sites with unreliable internet, strict policy requirements, or existing server infrastructure and staff.

Watch for: hardware failure, power, off-site backups, and secure remote access for staff and support partners.

Side by side

Frappe CloudSelf-hosted cloudOn-premise
Server managementFrappeYou or your partnerYou or your partner
Custom appsYes, on private benchesYesYes
BackupsAutomatedYou configure and testYou configure and test
UpgradesManaged, coordinated with your appsYou schedule and runYou schedule and run
Data locationChosen regionAny region you chooseYour premises
Upfront effortLowestMediumHighest

What every ERPNext deployment needs

Whichever option you choose, insist on:

  • Separate staging and production sites, so changes and upgrades are tested before users see them
  • Off-site backups that are restored on a schedule to prove they work
  • Custom code in Git, deployed through a repeatable process
  • Monitoring of uptime, disk space, background workers and slow queries
  • A plan for major upgrades, rather than letting versions drift

Performance basics

Slow ERPNext is usually caused by heavy reports run during the working day, too few background workers for scheduled jobs, missing database indexes on custom fields used in filters, or scripts running queries inside loops. More hardware helps less than fixing these.

Our recommendation

For most SMBs without in-house Linux expertise, Frappe Cloud or a partner-managed server in your own cloud account is the practical choice. Self-hosting makes sense when you have specific control, integration or residency needs and someone accountable for operations. Our ERPNext support and hosting service covers either route.

Frequently asked questions

Can I move from Frappe Cloud to self-hosting later?

Yes. Frappe Cloud lets you download database and file backups, which can be restored on a self-hosted bench running the same versions. The reverse is also possible.

What server size does ERPNext need?

A small business can start with a few virtual CPUs and several gigabytes of RAM. Requirements grow with concurrent users, transaction volume, reporting and background jobs, so monitor and size up as needed.

Does ERPNext work with PostgreSQL?

ERPNext is developed and tested primarily on MariaDB, which is what we recommend for production.

Written by

ERP Builders Architecture Group · Solution architecture

The engineers responsible for integration design, data migration tooling and performance work across ERP Builders projects.

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