Companies and institutions are understanding the importance of the implementation of e-learning strategies that engage and motivate employees and students. These strategies could be expensive or demand a good amount of the annual budget. That’s why, before selecting the LMS or eLearning Software, organizations have to analyze and compare LMS pricing and features to select a cost-effective platform.

Pricing is a factor that determines if a company can acquire a specific LMS. Make sure that the eLearning company that you select has flexible and adaptable LMS pricing plans. Beyond the price, the features included are the main point to be into consideration before choosing a Learning Management System.

Make a list of the main features and functionalities that you would need, compare the list with the features included in the plans, and select the right option for you.


Can you trust generic LMS pricing?

You can visit many eLearning companies’ website and you can find a table with the pricing based on the number of users. Maybe you can feel confident because you find a cheap price according to your users. But, are you sure that is just what you need?

Many times, you need custom work, extra users for some months, add-ons, integrations, and in the end, you find out that the final cost is very far compared with the first price checked.  


What to do?

Create an LMS pricing checklist or an LMS RFP/RFI and contact at least 4 eLearning companies to respond to your requirements. Make sure you describe your use case and include all the features, integrations, add-ons, etc. Then, after receiving the pricing based on features and users, you can make the LMS pricing comparison.


What an LMS RFP must cover?

A good LMS RFP should be split into different sections that allow you to get and understand the information easier, and also ensure that you don’t miss anything important. In an RFP you can find:

A description of the company, the learners and the use case scenario:

You can define your use case scenario simply asking the following questions:

Why? The reasons why your company is looking for an LMS solution. Describe the extent of products and services, as well as, the overall learning objectives.

Who? Description of your organization and the learners (professionals skills, technical experience, departments, etc). Use statistics, customer demographics, and psychographics.

How? Specify the way that you are expecting that the learning process occurs.

Scope of work, outcome and performance standards:

List all the responsibilities, outcomes, and the standards that you are expecting from the LMS provider. Define also the monitoring methods that you will use to evaluate performance and avoid delays.

Term of contract:

Specify length, start date and end date of the contract. Also add all the terms of payment for adequate performance, contracting forms, certifications, and assurances.

Requirements for Proposal Preparation:

You should request a particular structure for the proposal and provide an exhaustive list of documents you want to receive. This would facilitate the evaluation process.

Process Schedule:

Set the timeline to send the LMS proposal. Include the dates for submitting the letter of intent, sending questions, attending the pre-proposal conference, submitting the proposal, etc.

Points of contact for future correspondence:

Include the list of people to contact for information or any questions about the RFP, or with This is a brief list of the main points that you should have in count if you are planning to launch an LMS Request for Proposal. In Paradiso RFP Template you can find a better description of the key sections of an RFP.

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LMS Pricing popular Models/plans

Below you can find different LMS pricing alternatives, adaptable to the needs, possibilities, and scope of each client. These are the ones usually handled by the most well-known Learning Management Systems:

Pay Per User:

You can acquire the LMS paying for a specific number of users. This payment method is useful for companies that know the exact number of users that would be taking the eLearning content. This pricing plan works if training in your company is mandatory.

Pay Per Active Users:

The users that would be taking the courses could vary with the passing of the weeks and this also influences the price of the LMS software. Contrary to the previous price model, the payment by active users offers the possibility to pay, not for all the user registered, just for active users. You will only be charged for the users that log into the system and take the courses during the pay period.


This payment method lets you pay an LMS license for a year or month, with an unlimited amount of users, no matter if they are constantly active or coming and going in the LMS. The Learning Management System comes with the usual features as part of the license along with support, training times and other specifications. Any custom work could be an extra charge.

One Single Payment:

The one payment model normally applies when the software company develops an On-Premise or Self-Hosted LMS that adapts only to that client’s needs. It comes with support and some months of guarantee to make sure that the system works correctly. The LMS would be host in the client’s server.

Free LMS:

A good LMS company usually offers a free version that the client can test. It is normally a basic LMS System, with some limitations, where the user can play and try the main features. Paradiso offers a Free LMS as a great option for beginners or even small companies that require simple training with a great eLearning tool. Paradiso LMS is one of the fullest free versions of Learning Management Systems including these features with up to 50 users.


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