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Blog / Odoo 18: Complete Guide for Businesses
Odoo 18 4 min read

Understanding Odoo 18 Hosting Options: Online, Odoo.sh, and On-Premise

Learn how to launch, host, and customize Odoo 18 for your company growth. Perfect for startups, SMEs, and enterprises.

· ERP practice 02 Dec 2024 · updated 29 Apr 2025

Odoo 18 can be hosted in three ways: Odoo Online, the fully managed service where you configure but cannot install custom code; Odoo.sh, Odoo's platform-as-a-service, which deploys custom modules from a GitHub repository and gives you staging and development branches; and on-premise, where you run the server yourself and control everything including upgrades. The apps are identical in all three — what differs is how much code and infrastructure you take responsibility for.

Odoo Online: The Easiest Way to Start

Imagine getting your business management system up and running in just a few clicks — that's the magic of Odoo Online.

Odoo Online is Odoo's cloud-based, fully managed service. You don't need to worry about servers, updates, backups, or technical setups. It's hosted directly by Odoo on their servers and maintained by their team.

Pros of Odoo Online

  • Zero technical effort: No servers, no configuration.
  • Automatic updates: Always running the latest Odoo version.
  • Highly secure: Hosted on trusted Odoo-managed infrastructure.
  • Fast to deploy: Start using Odoo within minutes.

Cons of Odoo Online

  • Limited customization: No access to install custom modules unless you upgrade to Odoo.sh or On-Premise.
  • Less control: You rely on Odoo's servers and schedule.

Best for:

Small businesses, startups, and companies who want a quick, low-maintenance ERP solution without technical headaches.

Odoo.sh: Best of Both Worlds

If you want a little more flexibility, then Odoo.sh might be your perfect middle ground.

Odoo.sh is Odoo's own managed platform-as-a-service (PaaS). It gives you much more freedom to customize and extend your Odoo environment while still handling hosting, updates, and scaling for you.

Pros of Odoo.sh

  • Custom apps allowed: You can install custom modules from your GitHub repository.
  • Managed infrastructure: Backups, uptime, scaling — all handled for you.
  • Development tools: Built-in staging environments, testing branches, and GitHub integration.
  • Flexible: Greater technical freedom without running your own server.

Cons of Odoo.sh

  • Requires some technical skills: GitHub knowledge is helpful.
  • Monthly hosting cost: It's more expensive than Odoo Online.

Best for:

Growing businesses and enterprises who want to customize Odoo while enjoying managed hosting convenience.

On-Premise Hosting: Full Control and Freedom

Want to own everything? Then On-Premise is your go-to choice.

With On-Premise hosting, you host Odoo 18 yourself — either on your own physical servers or on cloud platforms like AWS, Google Cloud, or DigitalOcean.

Pros of On-Premise

  • Unlimited customization: Modify the source code and install any modules you want.
  • Full control: Manage everything your way — security, updates, backups, configurations.
  • No dependency: You're not tied to Odoo's infrastructure or policies.

Cons of On-Premise

  • High technical effort: You need IT resources to maintain servers, updates, and security.
  • Initial setup cost: Servers, firewalls, backups — they can get expensive.

Best for:

Large companies with strong IT teams who need maximum customization and control over their systems.

Comparison: Which One Should You Choose?

Feature Odoo Online Odoo.sh On-Premise
Technical Complexity Very Low Medium High
Customization Level Low High Unlimited
Maintenance Handled by Odoo Handled by Odoo Handled by you
Cost Lower Medium Variable (based on servers)
Ideal For Startups, SMEs Growing Companies Large Enterprises

Still not sure? Here's a simple tip:

  • If you want "plug-and-play" → Go for Odoo Online.
  • If you want flexibility but no server headaches → Choose Odoo.sh.
  • If you need 100% control → Host On-Premise.

Conclusion

Choosing the right hosting option for Odoo 18 can significantly impact your project's success. Whether you go for Odoo Online, Odoo.sh, or On-Premise, make sure it matches your business needs, growth plans, and IT capabilities.

Questions we get asked

Can I install custom modules on Odoo Online?

No. Odoo Online is a shared, fully managed service, so custom or third-party Python modules cannot be installed there. You can still configure a great deal, and Odoo Studio lets you add fields, views, reports and automation rules without writing code. The moment you genuinely need a custom module, the answer is Odoo.sh or your own server.

Can I move from Odoo Online to Odoo.sh or my own server later?

Yes. Odoo Online lets you download a backup containing the database and the filestore, and that backup can be restored on Odoo.sh or on your own Odoo 18 server. The move is a real project — install the same module versions, restore, test, then cut over — but you are not locked in, and Odoo.sh is designed to take an Online database directly.

What do Odoo.sh branches actually give me?

Odoo.sh connects to a GitHub repository and builds a running database per branch: production for the live one, staging branches rebuilt from a copy of production data so changes can be tested against real records, and development branches with demo data. Pushing a commit triggers a new build, so a change can be tried and thrown away without ever touching the live database.

Who applies the updates on each option?

Odoo does on Odoo Online, including the move to a new major version once you accept it. On Odoo.sh, Odoo maintains the platform and its security updates while you trigger the version upgrade for your own code, which is exactly what the staging branches are for. On-premise, all of it is yours: the operating system, PostgreSQL, the Odoo service and the upgrade itself.

Can I run Odoo 18 Enterprise on my own server?

Yes. On-premise works for both editions. Community is the open-source LGPL code you can download and run at no licence cost, and Enterprise is that same code plus the licensed modules, which needs a subscription and an activation code entered on your database. A self-hosted Enterprise subscription also carries the upgrade service and the support that come with it.

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