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What is CRM? There are two basic genres of CRM: Locally hosted and Remotely Hosted. In a locally hosted CRM, you configure the customer relationship management software to work exactly as you wish. However, the drawback is that a high level of technical expertise is required for the configuration. The other choice, a Remote Hosted CRM solution, handles all the technical needs on their side and hosts the application for you. Of course, if your internet connection goes down you can not access your records for editing (though many offer a sync ability that will synchronize your customer relationship management data with a palm pilot or Outlook). For novices and pros alike, a remote hosted CRM will usually solve all your online business needs and keep you out of the technical business.