There is one traditional on-premises CRM and hosted CRM model. In traditional on-premises model, business owns and supports the software and hardware needed for the CRM solution and in hosted CRM model where CRM is purchased as a service for a monthly service fee. Both models have their own advantages and disadvantages. Generally, SME’s prefers hosted CRM and multinational companies prefer on-premises CRM system. Read more at: http://it.toolbox.com/blogs/insidecrm/hosted-vs-onpremises-crm-75321