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microsoft 365 business plan comparison

Which Microsoft 365 plan is right for your business?

Your business has unique needs, which is why there are several Microsoft 365 plans to choose from, so you get the apps and features you need. Many of the plans sound similar, so we'll guide you through the options to help you find the plan that will best support you to run your business.

If you want a full breakdown and comparison of features in each plan, check out more here .

You can also take a quick 2-minute assessment to get a recommendation on which plan is best for you.

Microsoft 365 for business  is a subscription service that lets you run your organization in the cloud while Microsoft takes care of the IT for you. It connects employees to the people, information, and content they need to do their best work, from any device.

Plan

What's included:

Microsoft 365 Business Standard

Microsoft 365 Business Premium

Includes everything that Business Standard has, but also gives you enterprise-level security.

The most popular plan and what is recommended for most businesses is Microsoft 365 Business Standard.

If you have other needs, choose one of the options below:

We already have Word and Excel, but we're interested in email and Microsoft Teams

If your business already has licenses of Microsoft Office, you might only want to get business-class email that gives you a custom email domain address and Microsoft Teams for online meetings. If this is the case, then Microsoft 365 Business Basic would be your best option. 

Web and mobile versions of Word, Excel, PowerPoint, and Outlook.

Host email with a 50GB mailbox and custom email domain address.

1TB of cloud storage to store and share files.

Facilitate online meetings and video calls for up to 300 users and create a hub for teamwork using Microsoft Teams.

Manage appointments with Bookings and manage projects with Forms, Lists, and Planner.

Click here if Microsoft 365 Business Basic is the right option.

My business and employees just need apps like Word, PowerPoint, and Excel

If your business only needs desktop apps like Word or Excel, Microsoft 365 Apps for business will be your best option.

The latest desktop versions of Microsoft 365 apps: Outlook, Word, Excel, PowerPoint, OneNote (plus Access and Publisher for PC only).

Automatic updates to your apps with the latest features and capabilities.

1 TB of cloud storage to store and share files.

Each license lets you install Microsoft 365 apps on five mobile devices, five tablets and five PCs or Macs per user.

Click here if Microsoft 365 Apps for business is the right option.

What add-ons are there for my business plan?

There are a plenty of add-ons to choose from, but two that we recommend you consider are Microsoft Defender for Business and Teams Phone.

Help keep your devices and servers secure from online threats such as ransomware and malware. Defender for Business is an easy-to-use cybersecurity solution to help protect against, detect, and respond to cyberattacks.

Learn more about Microsoft Defender for Business

Help administrators keep your organization connected with Microsoft Teams calling solutions. Empower employees in remote, in-office, or hybrid work environments with the flexibility of Teams Phone and devices that fit the way you work.

Learn more about Microsoft Teams Phone

Check out  Buy or manage add-ons for Microsoft 365 business plans to learn how to add new features to enhance your subscription.

How do I change subscriptions?

If you chose a plan for your business, but later want to change it, check out Upgrade or change to a different Microsoft 365 for business plan to read how you can switch your plan.

Buy Microsoft 365 for your small business

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microsoft 365 business plan comparison

Compare all Microsoft Office 365 Plans in one Overview

The Microsoft Office 365 plans offer great tools for businesses and enterprises to fully work in the cloud. Microsoft has changed the names of most plans to Microsoft 365 but also kept partially the Office 365 label. Comparing all the plans together on the Microsoft site can sometimes be a bit challenging, so to help you out I have created an overview to compare all office 365 plans.

If you have a small business with less than 300 users, then the most interesting plans are the Microsoft 365 Business plans. Large organizations will have to look at the Office 365 Enterprise and Microsoft 365 plans.

I have also written a couple of articles where I go more into detail between the different plans, you can find the links further down in the article.

Microsoft Office 365 Comparison Chart

The table below will help you to compare the Office 365 plans. The prices are based on an annual subscription model. Enterprise plans are only available in a yearly agreement.

Note Microsoft added new plans without Teams wich are only available in the European Union. These plans are less expensive. Read everything about it in this article

Microsoft 365 Business plans

For most small businesses is the Microsoft 365 Business Standard plan the best choice. With a price of $12.50 per user per month, you get the full Office 365 suite, with the desktop apps, Exchange Online, SharePoint, OneDrive, etc. Everything you need to get your business started in the cloud. If you also want to fully manage your devices (computers, mobile phones) or make use of advanced threat protection, then take a look at the Business Premium plan.

Office 365 Enterprise plans

The Enterprise plans can also be used by companies with less than 300 users, but they are more meant for companies that also need Active Directory integration or features like Litigation Hold and eDiscovery. You get more storage for Exchange Online, OneDrive, and SharePoint with the Enterprise plans.

You can check the prices for your country or buy one of the Office 365 plans here at Office.com

Microsoft Office 365 license comparison

  Microsoft Office 365 Plans Compared
Microsoft 365 Business Office 365 Enterprise Microsoft 365
 
Annual commitment
$6.00 $12.50 $22.00 $8.25 $10.00 $23.00 $38.00 $12.00 $2.25 $8.00 $36.00 $57.00
Monthly commitment
$7.20 $15.00 $10.00
Core Details
Maximum users 300 300 300 300 Unlimited Unlimited Unlimited Unlimited Unlimited Unlimited Unlimited Unlimited
Microsoft Office Apps Business Basic Business Standard Business Premium Apps for Business Office 365 E1 Office 365 E3 Office 365 E5 Apps for Enterprise Microsoft 365 F1 Microsoft 365 F3 Microsoft 365 E3 Microsoft 365 E5
Office Online
Desktop Apps (Outlook, Word, Excel, PowerPoint, OneNote)
Publisher and Access (pc only)
Mobile apps
Install apps on up to 5 PCs/Mac + 5 tablets + 5 smartphones
Microsoft Editor premium features
Notes:
1. Limited to devices with a 10.1″ screen or smaller
2. Mobile app only
3. Read only
Microsoft Office Apps Business Basic Business Standard Business Premium Apps for Business Office 365 E1 Office 365 E3 Office 365 E5 Apps for Enterprise Microsoft 365 F1 Microsoft 365 F3 Microsoft 365 E3 Microsoft 365 E5
Exchange (Email) Plan 1
Plan 1
Plan 1
Plan 1
Plan 2
Plan 2
Kiosk
Plan 2
Plan 2
Email archiving







Public folder & Resource mailbox
Microsoft Shifts
Microsoft Bookings
Chat, Meetings, Social, and Calling
Microsoft Teams
Live Events
Yammer
Phone System & Audio Conferencing
Storage
OneDrive Storage (per user) 1 TB 1 TB 1 TB 1 TB 1 TB 5 TB 5 TB 1 TB 2 GB 2 GB 5 TB 5 TB
SharePoint Plan 1 Plan 1 Plan 1 Plan 1 Plan 2 Plan 2 Kiosk Kiosk Plan 2 Plan 2
Notes:
1. 5 TB initial, contact Microsoft to increase. Less then 5 users, then only 1 TB per user
2. 1 TB Storage + 10Gb per user
3. 1 TB Storage
Project and task management
Planner
To-Do
Automation
Power Automate, Power Apps
Analytics Business Basic Business Standard Business Premium Apps for Business Office 365 E1 Office 365 E3 Office 365 E5 Apps for Enterprise Microsoft 365 F1 Microsoft 365 F3 Microsoft 365 E3 Microsoft 365 E5
MyAnalytics
PowerBi Pro
Endpoint and app management
Microsoft Endpoint Manager
Mobile application management
Intune
Windows Autopilot
Group Policy Support
Shared Computer Activation
Advanced threat protection
Microsoft Defender for Endpoint Plan 1 Plan 1 Plan 2
Microsoft Defender for Office 365
Business Plan 2 Plan 2
Windows Defender
Defender for Endpoint & Identity
Identity and access management Business Basic Business Standard Business Premium Apps for Business Office 365 E1 Office 365 E3 Office 365 E5 Apps for Enterprise Microsoft 365 F1 Microsoft 365 F3 Microsoft 365 E3 Microsoft 365 E5
Azure Active Directory Premium Plan 1 Plan 1 Plan 1 Plan 1 Plan 2
Conditional Access Plan 1
AD Sync for SSO
Windows Hello for Business
Microsoft Advanced Threat Analytics
Information Protection and Governance
Azure Information Protection Plan 1 AIP for Office 365 AIP for Office 365 Plan 1 Plan 1 Plan 1 Plan 2
Manual sensitivity labels
Automatic sensitivity labels
Office 365 Data Loss Prevention (DLP)
Basic Office Message Encryption
eDiscovery and auditing Business Basic Business Standard Business Premium Apps for Business Office 365 E1 Office 365 E3 Office 365 E5 Apps for Enterprise Microsoft 365 F1 Microsoft 365 F3 Microsoft 365 E3 Microsoft 365 E5
Content Search, Basic Audit
eDiscovery
Advanced eDiscovery, Advanced Audit
Litigation Hold
Windows
Windows 10 Enterprise

Start with an Microsoft Office 365 Trial

It can be difficult to select the right plan for your business with the many options that are available for Office 365. It’s good to start with the comparison of Office 365 plans, but keep in mind that you can also start with an Office 365 Trial . This way you can see what will work for your organization.

You can use your own domain for the trial, but only do that when you are really sure you are going to proceed with Office 365. Otherwise use a temporary domain, like Contoso-lab01, to test out Office 365.

There are a couple of trails available, Microsoft 365 Business Standard and Premium and Office 365 Enterprise E3 and E5 . If you have a small company, with less than 50 employees I recommend starting with a Microsoft 365 Business Premium trial. The business plans give you some nice features like Invoicing and Outlook Customer Manager which can be really useful in smaller companies.

If you have more than 50 employees I would recommend going for the Enterprise solution. It’s more expensive, but the Compliance and Information Protection services will help you protect your data and make it easier for you to comply with Business regulations and industry standards.

Comparing the plans side-by-side

I have written multiple in-depth articles about the differences between specific plans. These articles will help you when you can’t choose between E3 and E5 for example.

Microsoft 365 F1 vs Office 365 E1

I got a lot of questions on what the differences are between the Microsoft 365 F1 plan and the existing Office E1 plan. I worked out the details between them, you can read more about it in the in-depth article Microsoft 365 F1 vs Office 365 E1

Office 365 E1 vs E3

Do you want to know when Office 365 E1 is sufficient and what the differences are with Office 365 E3? Check out this article where we go into the differences between the two.

Microsoft 365 Business Premium vs Office E3

They look almost the same, but there is a huge price difference between these two plans. Want to know what these differences are and if E3 is worth the extra money? You can read all the details here in this article .

Microsoft 365 Business Plans

Are you a small business and do you want to know which Microsoft 365 Business Plan is the best fit for you? Then you should check out this article with all the details you need to know about the Business Plans.

Microsoft 365 Plans

Interested in Microsoft 365 as well? Take a look at this article where I explain the differences between Office 365 and Microsoft 365

Wrapping Up

Microsoft offers a lot of different plans, but in general, they offer you a lot of flexibility and can really help your business to grow. I hope this article helped you to compare Office 365 plans. If you have any questions, then just drop a comment below.

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COMMENTS

  1. Compare All Microsoft 365 Plans | Microsoft

    Our Microsoft 365 for business base plans (charged per user) are designed for organizations with up to 300 users. Organizations with more than 300 users should consider subscribing to Microsoft 365 for enterprise plans.

  2. Compare Microsoft 365 Business Plans and Pricing | Microsoft 365

    Microsoft 365 is the productivity cloud designed to help you run your business. Find the right Microsoft 365 plan for your business and get started for free.

  3. What's the difference between Microsoft 365 plans for home or ...

    Looking for more product details and prices? Check out the comparison tables: Compare Microsoft 365 for business plans. Buy or try Microsoft 365: For business For personal and family. Do you need both a business plan and a personal plan?

  4. Which Microsoft 365 plan is right for your business?

    Learn how to choose the best Microsoft 365 plan for your business needs. Compare the apps, storage, security, and collaboration options of Business Standard and Business Premium.

  5. Compare Microsoft 365 Business Plans - [Complete Overview]

    In this article, we are going to take a look at the differences between the Microsoft 365 Business plans. We are going to start with a comparison table so you can quickly compare the most important details between the different plans.

  6. Compare all Microsoft Office 365 Plans in one Overview

    Find out the differences and similarities between Microsoft 365 Business and Enterprise plans for small and large businesses. See the features, prices, and storage options for each plan in a clear comparison chart.