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Contract & Licensing Regulations in Salesforce

There is a high chance that your organisation is spending more on Salesforce licensing than it needs to.

With this blog series we want to give you an overview of the different salesforce licenses and challanges and tips. Furthermore we want to give you an insight into the contract and licensing regulations in Salesforce. 

Learn how to keep your Salesforce spend under control and benefit from our recommendations in Part 2 of the blog series. 

Part 2: Contract & Licensing Regulations in Salesforce

Contracts and Additional Agreements

It is important for an organisation to have a good insight in their Salesforce contracts and additional agreements. Salesforce knows a master subscription agreement, additional service agreements and subscriptions, Order Form Supplements & EULA’s. Furthermore, there is an end-user license agreement involved, a company can have addendums, product terms, policies etc..

Recommendation: create a proof-of-license dossier, for example, within ServiceNow or within a document management system.

An organisation also needs to know the License duration, and manage this. Subscription requires an annual contract, whereas only the Essential edition offers monthly pricing. Again, keep the growth of number of users under control and only buy additional licenses when needed because decreasing the number is not possible.

Recommendation: be prepared in time for upcoming negotiations and renewals.

Storage capacity

Salesforce knows two types of storage capacity: data storage and file storage. As of late March, 2019, Organizaiton IDs are allocated 10GB for data storage – plus an incrementally added user storage of 200MB. This applies to Contact Manager, Group, Essentials, Professional, Enterprise, Performance, and Unlimited Editions. For example, a Professional edition Organization ID with 10 users receives: 10GB of data storage + 10 x 200MB (2.000MB) = 12GB of total data storage

When it comes to file storage, Contract Manager, Group, Professional Enterprise, Performance and the Limited Edition. All are allocated 10GB of file storage per Organization ID. The Essentials edition is allocated 1GB of file storage per Organization IDs. Organization IDs are also allocated additional file storage, based on the number of standard user licenses:
 

  • Enterprise, Performance and Unlimited Editions, Organziation IDs are allocated 2 GB of file storage per user license.
  • Contact Manager, Group and Professional Edition Organziation IDs are allocated 612 MB per standard user license, which includes 100 MB per user license plus 512 MB per license for the Salesforce CRM Content feature license.
  • An Organziation ID with fewer than 10 users will receive a total of 1 GB of per-user file storage rather than 100 MB per user license.

Recommendation: make sure to monitor storage capacity and cost, including the purchasing of additional storage capacity on top of the standard allowance. It is very easy to purchase more, but it is also very important to understand why additional storage is purchased. Maybe the purchase can be moved to another storage platform instead of within Salesforce.

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