When a Saudi company looks for an open-source ERP, two names usually come up: Odoo and ERPNext. Both cover accounting, sales, purchasing, inventory, manufacturing and HR, and both have an open-source edition. Differences in licensing, cost model, Saudi localization and local partner availability can decide the choice. This is a neutral comparison based on each product's official sources.
Disclosure: Maham Pro is an official Odoo partner at Ready Partner level and does not implement ERPNext. We have therefore relied only on official sources and linked them so you can check.
At a glance
| Criterion | Odoo | ERPNext |
|---|---|---|
| Vendor | Odoo S.A. | Frappe Technologies |
| Licence | Community: LGPL-3; Enterprise: Odoo Enterprise licence with subscription | GPL-3.0 for the whole system |
| Cost model | Enterprise subscription per user by plan, or Community with no licence fee | No licence fee; cost is hosting and implementation |
| Official hosting | Odoo Online, Odoo.sh or your servers | Frappe Cloud or your servers |
| ZATCA Phase 2 | Official module in the Saudi localization | Through apps from other publishers |
| Implementation | Odoo partner network | Frappe partner network; Frappe does not implement directly |
Licensing and cost model
Odoo
According to Odoo's licenses page, Community is LGPL-3 and Enterprise uses the Odoo Enterprise Edition License, requiring a valid subscription for the number of users. Many business-critical apps, such as full Accounting, Payroll, Studio and the mobile app, are Enterprise-only according to the editions page. The pricing page lists One App Free, Standard and Custom plans. Details in Odoo Community vs Enterprise.
ERPNext
The ERPNext pricing page states it is free and open-source software and always will remain so, with no paid features behind paywalls; its GitHub repository is licensed GPL-3.0. Cost sits in hosting (Frappe Cloud prices per site or server, not per user, or self-hosting) and implementation. The page notes that Frappe does not provide implementation directly but through partners.
Bottom line: ERPNext has no per-user licence fee, which matters with many users. But compare total cost over several years: hosting, implementation, development, maintenance, upgrades and support.
Saudi localization and e-invoicing
Odoo
The Saudi localization documentation lists official modules for accounting, e-invoicing (l10n_sa_edi) with Sandbox, Simulation and Production environments, point of sale and simplified invoices, withholding tax and accounting reports, plus a payroll localization in Enterprise.
ERPNext
The KSA app on the Frappe Cloud marketplace, published by 8848 Digital LLP, adds VAT templates, the Phase 1 QR code and a VAT report; it was part of ERPNext up to version 14 and was then split into its own app. Its page does not mention Phase 2. Phase 2 integration with Fatoora is available through apps from other publishers on the same marketplace; check each one: who builds and maintains it, which versions it supports, and whether it has been tested in ZATCA's simulation environment.
In both cases, having a module does not make a business ready: what is configured depends on the version, the business's phase, setup and testing. See ZATCA Phase 2 and the integration waves.
Ecosystem and partners in Saudi Arabia
- Odoo has an official partner directory by country showing partners in Saudi Arabia with their level and references, plus a large app store.
- ERPNext: Frappe has a global partner directory and an app marketplace on Frappe Cloud.
Practical tip: before choosing, ask the proposed partner for Saudi customer references, check them in the official directory, and ask specifically about e-invoicing experience. A nearby partner who understands local requirements matters as much as the software.
Customization and technology
Both are built in Python and customizable. Odoo offers Studio for no-code changes in Enterprise; ERPNext is built on the open-source Frappe framework from the same vendor. In both, heavy customization raises upgrade cost later.
When each fits
Odoo may fit better when:
- e-invoicing and Saudi localization from the vendor itself are a priority;
- you need a wide range of apps (eCommerce, POS, Helpdesk, e-signature) on one platform;
- you prefer official upgrade service and support with an Enterprise subscription.
ERPNext may fit better when:
- you have many users and want to avoid per-user licence fees;
- you have a technical team fluent in Python and Frappe, or a trusted partner;
- you want a fully open licence with no closed parts.
For other options, read Odoo vs SAP Business One and how to choose an ERP for your company.
FAQ
Does ERPNext cost nothing?
The licence has no fee, but hosting, implementation and support cost money, whether through Frappe Cloud, a partner or an in-house team.
Does ERPNext support ZATCA Phase 2?
Not through a module from Frappe itself as far as we found, but through apps from other publishers that should be evaluated and tested.
Can we switch systems later?
Yes, but it is a full data and process migration project, so the first decision deserves careful study.
Next step
If you are comparing the two, Maham Pro's technology consulting service can help define requirements and comparison criteria, with the disclosure that we are an Odoo partner. Start with a free 30-minute introductory session; detailed analysis is quoted separately.
Sources: Odoo Licenses, Odoo Editions, Odoo Pricing, Odoo Saudi localization, ERPNext Pricing, ERPNext on GitHub, KSA app. Reviewed November 2026.
