5 Critical Factors to Consider When Choosing a Small Business CRM

It is very important to choose the right CRM (Customer relationship management) for a small operating business. The process and the decision are very convoluting and confusing because there is so much to choose from.

The reason why it is such is because a lot of company’s outcomes depend on this software like the growth of revenue. So the decision taken must be the right one.

Choosing a Small Business CRM


A free software for CRM primarily facilitates interactions between the business and the customer. This is not restricted just to the current set of customers but also the potential customers. CRM, in hindsight, has beaten DBMS in terms of generation of revenues for a business in the market.

So for a business, it becomes imperative to take a wise decision before choosing a CRM as it affects the business as a whole. It is because of this generation of revenues, that the competition in the market is also fierce which means that the services of various companies may end up being similar to one another.

There are also several variations in features of each CRM depending on which one the business decides to choose depending on their business strategies.

Here are 5 critical factors to consider when choosing a small business CRM.

1] Continuous use

It is important to note that if the CRM software is not being used by the company, then the investment made in the software will be useless. Forcing the employees to use the software would not serve the purpose since the data quality of the work would be poor.

And any poor quality would not do the business any good. So the companies using CRM software must prioritize it as must as the physical customer service existing in the office. It should hold the same stature and must be used continuously with constant upgrades.

So in order to make continuous use of the software, there are two things that need to be taken in consideration, first is the software must be user friendly and not complex and second is the software must be a one-step solution i.e. it must have all features clubbed in one.

2] Cost

A small business has a lot of investment roots. So the resources and budget is limited. There is a set limit to the cost that can be invested on particular resources. So the expenditure on CRM software becomes a subject that needs to be monitored.

But the best part about CRM software is that it is available for all kinds of set ups in various price ranges. So the budget is not a burden on the company. The company can easily assess its budget along with the requirement of the company and then choose the CRM that is closest to its needs.


Although there are different features in different CRM’s depending upon the price range, but that doesn’t mean that low budget small business CRM would not fulfill the company’s requirement. The one-step solution feature is available with all CRM categories so it’s common and small businesses are not at a major disadvantage.

3] Capacity

So for a small business, a CRM system that can handle 2-3 users at the same time, but as the company grows, the number of users increases. It may shoot up from 2-3 to 7-8 users using the software at the same time. This is when the capacity of the system is exceeded and the software starts underperforming.

So it is advisable to the companies to choose a system considering a mid-term plan. This means that instead of investing on a system that only fulfills the current requirement of the company, they should invest on a system that fulfills a slightly long term plan so that no added unwarranted expenditures are made in the future.

4] Need

While choosing the right CRM software, the most important factor that needs to be considered is that whether the software fulfills the core requirements of the company. So before choosing, the company must compile a list of all the factors and requirements that are essential for the company.

There are various requirements of a company, some primary and other secondary but neither can be avoided. So when the needs are jotted down, it becomes clearer to the company to start prioritizing on the most suitable CRM for small business.

It is possible that the business may not find the perfectly matched CRM but, it will find software that most closely fulfills all the requirements.

5] End result

Most companies make the mistake of not devising an end plan for their company when it comes to CRM usage. They only focus on the present status of the company. So when the company chooses a CRM, without clarity of the future, then they would end up in losses as the CRM they chose would not be able to cope up with the progress of the company.

And So the company will be required to invest more capital on upgrading the software to bring it in sync with the company. So it is important for the company to have an end plan before choosing the system as it would go a long way along with the progress of the company.

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About the author

Michael Austin

Michael Austin is a Internet Entrepreneur, Blogger, Day Dreamer, Business Guy, Fitness Freak and Digital Marketing Specialist. He also helps companies to grow their online businesses.

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