Business Central Post Deployment Offer

[kunalparmar]

Hi all, 

I would like to know in this new business central deployment offer: Does the partner need to get all the licenses subscribed by customer in the very first go or the ACR is calculated based on the subscription in 1st year? In other terms the incentives for ACR is eligible when all the licenses are subscripted at first place or is it the sum total in 1st Year?

[#2]

@kunalparmar You don't need to purchase all licenses in one go. But when you claim this deployment offer, Microsoft will calculate the payout based on the then active licenses (ACR). 

If you start with 10 BC Essentials licenses (annual value around 7.8K) you get a payout based on that ACR value. If you increase the licenses afterwards, eg to 30 BC Essentials licenses (annual value around 23K), you won't get an additional payout.

And of course you won't earn the Medium Engagement payout during the initial 10 BC Essentials licenses, just because you say to Microsoft that they will increase in the future. 

[#3]

 Thanks for assistance here,To be more precise, I would like to confirm the following

• We received order from customer for 20 BC Essential Licenses with the value of 15.6K. We only subscribe10 licenses which has value of 7.8K and submit the BC Deployment offer
• Now, before go-live (after 3 months) we again subscribe for the remaining 10 licenses out of 20 for 7.8K value. In this case; how do we get incentive? On first 10 license only or for whole 20 licensing because the ACR value will anyway be for 20 license and it is just that we subscribe the license in 3 month of difference due to deployment duration

@MartijnElfers 

[#4]

@kunalparmar unfortunately that's not how it works. You can't claim the fundings twice for an upsell. 

If you already claimed the first 10 seats, you get the funds for only that part. And that's it. You can't claim a 2nd time for the seats increase from 10 to 20.  

You can, however, wait till the 20 seats are purchased and then claim the funds for the customer for all 20 seats. 

Do note; while I'm not 100% sure, I can assume that in your case, the 10 additional seats won't have a value of the full year of 7.8K. As you purchase these 10 additional seats after 3 months, they will have a value which is less than 12 months. Microsoft calculates based on ACR (annual contracted revenue) and seat increases are part of a running subscription term. Thus the increase will have a reduced ACR.  

Eg. you purchase the additional 10 licenses only after 3 months, that means they have a value of only 9 months within the existing 1-year subscription. 

- First 10 seats for full year = € 7.860,00

- Additional 10 seats for 9 months = € 5.895,00

- Total ACR = € 13.755,00 (not € 15.720,00).

[#5]

This is correct. To maximize the offer to the customer, you should wait for the order to have 20 users and claim for that total value since you won't be able to process 2 different claims.