Microsoft 365 Business Plans Compared

In April 2020 Microsoft changed the names of the Office 365 Business plans to Microsoft 365 Business. Before this name change, we had only Microsoft 365 Business, but now we have Business Basic, Business Standard, Business Premium, and Apps for Business.

Only the names have changed, the price and the features of the plans have stayed the same. 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.

Microsoft 365 for Business Plans Compared

In the table below you will find all the details of the Microsoft 365 business plans compared. You can find the prices for your country here at Microsoft.com . Keep in mind that all Business plans are limited to 300 users.

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
Tip You can mix Microsoft 365 Business plans with Enterprise plans, so if you have more than 300 users, you buy Office 365 E3 plans for the other users.

Microsoft 365 Business Basic

The Microsoft 365 Business Basic plan, formerly known as Office 365 Business Essentials, is the perfect plan if you don’t work a lot in Word, Excel, or Outlook.

In the Business Basic plan, you don’t get the desktop apps , so you can’t install Word, Excel, Outlook, etc on your desktop. But you can use those applications online in your browser.

Microsoft 365 plans

The browser versions of these apps work perfectly for light usage. Outlook Online is great to work with, it has all the important features just like the Outlook app. Word and Excel Online also work fine if you need to write an occasional letter or spreadsheet.

What makes the Business Basic plan so great is that you get Exchange Online with 50Gb mailboxes OneDrive and SharePoint. So you can use all the benefits of Office 365 (safely storing your data in the cloud, easily working together and sharing documents, etc.), for only $5 per month.

Microsoft 365 Business Standard

This is basically the default Microsoft 365 plan for small businesses ( hence the name 😉 ). Microsoft 365 Business Standard , formerly known as Office 365 Business Premium, contains everything a small business needs.

It comes with desktop apps so that you can install Outlook, Word, Excel, etc. on your desktops, and it comes with a lot of online business apps.

The desktop apps have of course a lot of advantages over the online versions, but the most important ones are that you can use add-ins (for your business applications for example) and macros . Something that is not possible with the online versions.

microsoft 365 business plans

Business Standard comes with a couple of Online Business Applications that are only available in Standard and Premium.

  • Outlook Customer Manager – a Lite CRM system based on Outlook
  • Microsoft Teams Shifts – Built-in Microsoft Teams to plan shifts and tasks
  • Microsoft Bookings
  • Microsoft Invoicing

Microsoft 365 Business Premium

Business Premium is an original Microsoft 36 plan, it was formerly known as Microsoft 365 Business. It comes with everything that Business Standard has with the addition of a couple of security features/services and a Windows 10 Pro license.

Windows 10 Pro License

The Windows 10 Pro license is a pretty strange one compared to the other plans, so let me explain it a bit. Some of the advanced security features that come with Business Premium don’t work on older versions of Windows or on Windows 10 Home.

So to make full use of the security features, you get a Windows 10 Pro license. Now to be clear, you can only upgrade Windows 7 or 8 Pro to Windows 10 Pro. You can’t upgrade Windows 10 Home to Pro.

Advanced Security Features

The advanced security features help you to stay protected against cybersecurity threats. It protects you from phishing emails and ransomware.

Another important feature is the Azure Information Protection. If you are working with a lot of sensitive data, then you absolutely don’t want the data to be accidentally shared with others. With Information Protection you can classify, label, and encrypt data so it can’t be shared accidentally.

Keep in mind that settings up these features require some knowledge about Office 365, so it might be a good idea to get an IT/Office 365 Consultant to help you set it up correctly.

Microsoft Intune

The last important addition to this Premium Microsoft 365 Business plan is Intune. With Microsoft Intune, you can manage and protect your mobile devices. Keep in mind data mobile devices are easily getting lost or stolen, so you want to make sure that those are fully protected and easily can be wiped clean when lost.

Microsoft 365 Apps for Business

This plan doesn’t really belong here in this comparison, but I have put it in because of the name and the confusion it might cause. You should actually really compare this plan with just buying Office 2019 in my opinion.

Basically, Apps for Business is only the Office applications (Word, Excel, Outlook, etc.) with the advantage that you also get Online versions, continuous updates, and 1Tb OneDrive storage. But you don’t get SharePoint or Exchange Online.

So you will have to host your email somewhere else, store your files locally (or in OneDrive) and you won’t get any of the advantages of Office 365.

The Microsoft 365 Business Standard plan is for most businesses the best plan to choose. It comes with the Office apps, and all the cloud features and it’s reasonably priced. If you are still in doubt, you can always start with a trial of Business Standard .

Make sure you also check the following articles:

  • Microsoft 365 Business Standard vs Office 365 E3
  • Office 365 Branding
  • Setup Multi-Factor Authentication in Office 365

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5 thoughts on “microsoft 365 business plans compared”.

M365 Business Premium comes with Windows 10 Business, not Pro. Win 10 Pro is a requirement for Business.

Hi Can M365BP be combine with M365Standard or basic after BP has exceed the 300 limit ?

So 300MBP and 50MBS and so on.

Yes, that is possible.

your statement on Win 10 pro is wrong. Premium CANNOT upgrade a home to pro. I asked microsoft directly to confirm.

“Windows 10 Pro License The Windows 10 Pro license is a pretty strange one compared to the other plans, so let me explain it a bit. Some of the advanced security features that come with Business Premium don’t work on Windows 10 Home. In small companies, you see more Windows 10 Home devices, because people are using a (former) personal device or buy the more affordable computers with Windows 10 Home on it.

So to make full use of the security features, you get a Windows 10 Pro license. Installing it is pretty simple, all you need to do is change the license key and your Windows 10 Home installation will be upgraded to Pro.”

You are correct. I have updated the article.

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365 business plan pricing

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Compare Microsoft Office 365 Business Plans: Apps, Features and Pricing

Microsoft 365 for Business (previously known as Office 365 for Business) is a cloud productivity subscription-based service geared towards small to medium-sized businesses. With a Microsoft 365 for Business subscription, your organization gets access to the most up-to-date Office applications as well as Microsoft’s flagship collaborative online services.

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Microsoft Office 365 Plans for Business Overview

Microsoft Office 365 for Business is a complete solution that brings together the best-in-class productivity of Office 365, advanced security, and device management tools. Within your organization, you and your co-workers can be more productive and work better together with Office apps, email, cloud storage, and a hub for teamwork. Microsoft Office 365 plans for business come with building tools that let you manage access to your data, keep sensitive data safe, and keep your business compliant and protected against most (but not all) security threats.

Microsoft currently offers four business plans to choose from, depending on an organization’s needs. The Microsoft 365 plans for businesses are:

Microsoft 365 Business Basic

Microsoft 365 apps for business, microsoft 365 business standard, microsoft 365 business premium.

Note that all Microsoft 365 plans for business have a limit of 300 users per license. If your organization requires more users, you may want to consider subscribing to a Microsoft Office 365 enterprise plan.

Now, let’s take a closer look at each of the Microsoft 365 plans for businesses and see what they have to offer in terms of features and pricing.

For a subscription fee of $5.00 per user/month, Microsoft 365 Business Basic (formerly known as Office 365 Business Essentials) offers web and mobile versions only of Office apps. These apps include Word, Excel, Outlook, PowerPoint, and OneNote. This entry-level plan also gives your organization access to collaborative services like Exchange Online with 50 GB of mailbox storage, SharePoint Online, Yammer, Skype for Business Online, and Microsoft Teams. Also included with this subscription is 1 TB of OneDrive cloud storage per user.

This Microsoft Office 365 plan is ideal for small and medium-sized businesses that want to unlock the benefits of cloud integration and remote work using the Office for the web suite and online communication services.

For a subscription fee of $8.25 per user/month, Microsoft 365 Apps for Business (formerly known as Office 365 Business) gives your organization access to the most up-to-date desktop versions of Office applications. These include Word, Excel, PowerPoint, Outlook, OneDrive, Access, and Publisher. The Office suite in this plan can be installed on up to 5 devices per user. None of the collaborative tools and services are available in this plan but the 1 TB of OneDrive cloud storage per user feature and the Office for the web suite are still present.

Microsoft 365 Apps for Business provides both cloud-based and on-premises Office suites to deliver the right set of capabilities to your organization. This plan is ideal for organizations whose computing workload heavily revolves around Office applications.

Priced at $12.50 per user/month, the Microsoft 365 Business Standard plan  (formerly known as Office 365 Business Premium) combines in one package the features available in both Business Basic and Apps for Business plans. In addition to the cloud-based and on-premises Office suites, Microsoft 365 Business Standard includes a complete set of collaborative tools thus making this Microsoft Office 365 plan ideal for organizations looking to expand their remote work capabilities.

Priced at $20.00 per user/month, Microsoft 365 Business Premium (formerly known as Microsoft 365 Business) includes all the features available in the lower Business tiers in addition to an advanced security infrastructure and device management tools. The Business Premium plan is ideal for organizations that require a comprehensive remote work solution with cyber threat protection and a powerful mobile management system.

Microsoft Office 365 Comparison of Plans

Here is a comparison of pricing and available apps and collaboration services between all four Microsoft 365 plans for business:

Microsoft 365 suite apps comparison

Along with the traditional Office applications and online collaborative services, Microsoft 365 plans for businesses include applications used for knowledge, insights, content, project and task management, automation, and app building.

Business plans security and management options

As stated before, when it comes to advanced security options and management tools, Microsoft 365 Business Premium is the most feature-packed plan. The other Microsoft 365 plans do include basic security tools, but they pale in comparison to the Business plan’s features, as shown below:

Despite the advanced security features available in Microsoft 365 Business Premium, third-party Office 365 backup solutions is necessary to ensure that your SaaS data is safe and recoverable.

Your Microsoft 365 data can be compromised by human error or malicious cyber threats like ransomware. Files can be deleted or encrypted even when stored in the cloud. To keep your data safe, NAKIVO Backup & Replication offers full backup and recovery functionality for Exchange Online, OneDrives for Business, and SharePoint Online.

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Microsoft 365 Business Pricing & Plans

Choose the productivity solution that best fits your business! Compare and choose from a variety of plans designed for businesses like yours.

Microsoft 365 Business Basic

$ 5.00 user/month (annual commitment)

Best for businesses that need Microsoft Teams (Microsoft Collaboration Tool) and cloud storage. Desktop versions of Office apps not included.

Office apps included

Microsoft Word

Services included

365 business plan pricing

  • Host email with a 50 GB mailbox and custom email domain address.
  • Create a hub for teamwork to connect your teams with Microsoft Teams.
  • Access web versions of Office apps: Outlook, Word, Excel, PowerPoint, OneNote (plus Access and Publisher for PC only).
  • Store and share files with 1 TB of OneDrive cloud storage.
  • Host online meetings and video conferencing for up to 250 users.
  • Get help anytime with around-the-clock phone and web support from Microsoft.

Microsoft 365 Business Standard

$ 12.50 user/month (annual commitment)

Best for businesses that need the Microsoft Office apps across devices plus business email, cloud file storage, and online meetings and chat.

365 business plan pricing

  • Get desktop versions of Office apps: Outlook, Word, Excel, PowerPoint, OneNote (plus Access and Publisher for PC only).
  • Host email with a 50 GB mailbox and custom email domain.
  • Create a hub for teamwork with Microsoft Teams.
  • Use one license to cover fully installed, Office apps on five mobile devices, five tablets, and five PCs or Macs per user.

Microsoft 365 Business Premium

$ 20.00 user/month (annual commitment)

Best for businesses that need everything included in Business Standard plus advanced cyberthreat protection and device management.

365 business plan pricing

  • Stay up to date with the latest versions of Word, Excel, PowerPoint, and more.
  • Connect with customers and coworkers using Outlook, Exchange, and Teams.
  • Manage your files from anywhere with 1 TB of cloud storage on OneDrive for Business.
  • Defend your business against advanced cyberthreats with sophisticated phishing and ransomware protection.
  • Control access to sensitive information using encryption to help keep data from being accidentally shared.
  • Secure devices that connect to your data and help keep iOS, Android, Windows, and Mac devices safe and up to date.

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Be more collaborative so you can achieve more together.

Microsoft 365 Business can help your employees:

A Dynamics 365 subscription doesn’t include Microsoft 365 applications such as Exchange Online or SharePoint Online. You can significantly enhance your company’s online, collaborative experience by integrating Microsoft 365 applications with your Dynamics 365 subscription. Microsoft 365 is compatible with Windows 10, Windows 8.1, Windows 7 Service Pack 1, and the two most recent versions of macOS. All languages included.

Take ‘find business solution’ off your to-do list.

Microsoft 365 Business is an integrated cloud-based solution that simplifies IT, amps up your data security and keeps employees’ devices up-to-date with the latest from Windows 10 and Office 365.

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COMPARISON OF Microsoft 365 BUSINESS PLANS AND PRICING

Since April 21, 2020, Microsoft has officially renamed all ‘Office 365 Business’ plans to ‘Microsoft 365 Business’. Here’s the table of feature comparison of Microsoft 365 Business plans:

Business Plans without Teams

Business plans with teams.

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  • ✓ 24/7 expert support
  • ✓ Talk to Microsoft-certified experts

All Our Microsoft 365 Business Plans Include

Free end-user support, free migration help, 24 x 7 phone, chat, & email, online knowledge base, savings on it costs, fully automatic updates, regular data backup, 1 tb of online storage, business email service, tier-1 partner expertise, faqs on m365 business plans, why microsoft changed name from office 365 to m365.

Name changes are not unconventional at Microsoft. The tech giant changes the names of its popular products and services from time to time. The reason behind this name change is cited as a more holistic approach which appeals to a wider base, rather than just the ‘office’ sphere.

What plan should I choose if I do not need Microsoft Office apps?

If you do not need Microsoft Office applications, go with the most basic plan – Microsoft 365 Business Basic (earlier called as Office 365 Business Essentials). This plan is priced at only $6 user/month. At $8.30 user/month, Microsoft 365 Apps for Business is a standard plan includes Microsoft Office applications along with OneDrive for Business. In addition to all the features of the above plans, Microsoft Business Standard has more advanced features priced at $12.50 user/month.

WHAT IS THE DIFFERENCE BETWEEN OFFICE 365 AND MICROSOFT 365?

Microsoft 365 is a bundle of services including Office 365, comprising of Microsoft services including Windows 10 Enterprise. Office 365 is a cloud-based productivity suite which is a bundle of popular Microsoft apps.

IS IT POSSIBLE TO USE MY OWN DOMAIN NAME FOR THE EMAILS IN MICROSOFT 365?

Yes, you can add the domain name you own to your Microsoft 365 account and set up your domain-based email addresses. You can even add multiple domains and sub-domains to Office 365 and host any of the services, including email, on any of the domains that you add. You must own a domain name and as an admin, you will have to make some changes on the DNS records of your domain – we will guide you for this.

WHAT OFFICE VERSIONS ARE COMPATIBLE WITH MICROSOFT 365 BUSINESS BASIC?

Microsoft 365 Business Basic, earlier known as Office 365 Business Essentials, is most compatible with the latest version of Office, Office 2016, and Office 2011 for Mac. The ancient versions of MS Office before 2013 may work with the plan, but with reduced functionality.

HOW EXACTLY WILL APPS4RENT HELP ME WITH THE PLANS?

As your Cloud Solution Provider for Office 365, we will provide free migration and 24/7/365 support to end-users for issues that take up your time, such as email configuration accounts, password resets, setting up aliases and contacts, creating groups, configuring MS Teams, synchronizing OneDrive, exploring search features, and optimizing browser settings. We will also help you with installing and configuring the latest Office version on your devices and handling DNS records.

IS A DESKTOP VERSION OF OFFICE REQUIRED TO USE MICROSOFT 365 BUSINESS BASIC?

No. You do not need to have a desktop version of Office to use Microsoft 365 Business Basic plan. However, you will have a richer experience and also be able to work offline when you connect a desktop version of Office to the Microsoft 365 services and get it in sync.

WILL BY MS OFFICE BE AUTOMATICALLY UPDATES TO THE LATEST VERSION IF I HAVE MICROSOFT 365 PLANS?

Yes. MS Office apps are always up to date on Microsoft 365. If you already had subscription of erstwhile Office 365 plans which is now Microsoft 365, you already have a version of Office that has all the functions of the latest MS Office version.

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365 business plan pricing

Copilot for Microsoft 365 is now available for small and medium-sized businesses.

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Microsoft 365 Business Premium

365 business plan pricing

For PC, Mac, iOS, and Android

  • Benefit from identity, access, and user management for up to 300 employees. 
  • Use desktop, web, and mobile versions of Word, Excel, PowerPoint, and Outlook. 
  • Get custom business email ([email protected]) with Outlook. 
  • Book client meetings, host webinars, and collaborate with Teams.  
  • Store and share files with 1TB of OneDrive cloud storage per user. 
  • Edit videos using basic tools, such as trimming, cropping, and speed control with Clipchamp. 
  • Defend your business with enhanced cyberthreat protection against viruses and phishing attacks. 
  • Get help with around-the-clock phone and web support from Microsoft.

Copilot for Microsoft 365 available as an add-on. *

Compatible with Windows 11, Windows 10, Windows 8.1, and the three most recent versions of macOS. All languages included.

Talk with a sales expert To speak with a sales expert, call 1-855-270-0615. Available M-F 6 AM to 6 PM PT.

Originally starting from $22.00 now starting from $22.00

$22.00 $22.00

Annual subscription–auto renews 1

See trial terms 2

Apps and services included

365 business plan pricing

Information Protection

365 business plan pricing

Do more with Microsoft 365 apps

Get the latest features and capabilities with fully installed and always up-to-date versions of Outlook, Word, Excel, PowerPoint for Windows or Mac, OneNote (features vary), and Access and Publisher (PC only).

365 business plan pricing

Defend against cyberthreats

Activate Microsoft Defender for Office 365 to help guard against viruses, spam, unsafe attachments, suspicious links, and phishing attacks.

365 business plan pricing

Use 1 TB cloud storage per user

Edit and share documents, photos, and other files from anywhere on all your devices with 1 TB of OneDrive cloud storage.

365 business plan pricing

Manage mobile devices, tablets, and computers

Apply security policies to help protect work data on company-owned and employee devices. Keep company data within approved apps. Remove business data from lost or stolen devices with Microsoft Intune.

365 business plan pricing

Get email and calendaring

Use enterprise-grade email through Outlook with a 50 GB mailbox per user and send attachments of up to 150 MB.

365 business plan pricing

Enable secure remote access and protect identity

Help employees securely access business apps wherever they work with conditional access. Safeguard against password loss or theft with advanced multifactor authentication.

365 business plan pricing

Collaborate with instant messaging and online meetings

Get your team on the same page using group chat, online meetings, calling, and web conferencing with Microsoft Teams.

365 business plan pricing

Help protect business data

Encrypt emails and discover, classify, and label sensitive data. Help prevent risky or unauthorized use of business data with Microsoft Purview Information Protection. Enable auto-expanding archiving.

365 business plan pricing

Streamline appointment scheduling with customers and partners

Simplify how customers schedule and manage appointments with Microsoft Bookings. Provide your customers with an easy-to-navigate webpage where they can find and book appointments around the clock.

365 business plan pricing

Get enterprise-grade endpoint security with Microsoft Defender for Business

Increase protection against sophisticated ransomware attacks across devices—Windows, macOS, Android, and iOS 3 —with next-generation antivirus, endpoint detection, and response.

365 business plan pricing

Video editing tools 

Create and share professional-looking videos with Microsoft Clipchamp.

365 business plan pricing

Organize projects and ideas

Think, plan, and create together in collaborative workspaces with Microsoft Loop. 

Compare a similar plan

(Annual subscription-auto renews) 1

Desktop, web, and mobile versions of Word, Excel, PowerPoint, and Outlook

Custom business email ([email protected])

Chat, call, collaborate, meet online, and host webinars up to 300 attendees

1 TB of cloud storage per user

Video editing and design tools with Clipchamp

Enhanced cyberthreat protection against viruses and phishing attacks

Microsoft 365 Business Standard

Originally starting from $12.50 now starting from $12.50

$12.50 $12.50

Desktop, web, and mobile versions of Word, Excel, PowerPoint, and Outlook

Top 5 benefits of Microsoft 365 Business Premium

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Always available

Have peace of mind with a financially backed 99.9 percent uptime guarantee.

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Comprehensive security

Get the best-in-class productivity of Microsoft 365 with advanced security and device management to help safeguard your business against cyberthreats.

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Easy to set up

Quickly deploy and manage all your devices across your company—no IT expertise required. Add and remove users in minutes.

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Here to help

Rely on Microsoft Support for answers with a call or chat, how-to resources, and connections with other Microsoft 365 customers for setup and quick fixes.

Copilot for Microsoft 365

Achieve more than ever using AI in Word, Excel, PowerPoint, Outlook, and other Microsoft 365 apps.

Endpoint Security for Servers

Add endpoint security for Windows and Linux servers with Microsoft Defender for Business servers add-on.

Audio Conferencing

Join Microsoft Teams meetings on the go without an internet connection.

Windows 365

Securely stream your Windows experience—including apps, content, and settings—from the Microsoft cloud to any device.

Additional resources

Secure your data.

Learn how you can protect your small business.

Join a workshop

Sign up for a virtual workshop or training session.

Schedule a demo

Meet with a Microsoft expert.

Find a partner

Connect with an authorized solution provider.

Frequently asked questions

Who is microsoft 365 business premium intended for.

Microsoft 365 Business Premium is for small and medium-sized businesses with up to 300 users. It provides the best-in-class productivity capabilities of Microsoft 365 Business Standard and comprehensive security and management features to safeguard business data and assets across devices.

What’s the difference between Microsoft 365 Business Standard, Microsoft 365 Business Premium, and Microsoft 365 Enterprise plans?

Microsoft has a variety of productivity and security management offerings for small to medium-sized businesses, each bringing increasingly powerful features and functionality.

Microsoft 365 Business Standard combines Microsoft 365 apps and cloud services like business-class email, cloud file storage, and Microsoft Teams. Microsoft 365 Business Premium includes all the same apps and services plus advanced cyberthreat protection and device management capabilities. Microsoft 365 Business Premium is built for businesses with up to 300 employees.  Compare all Microsoft 365 Business plans .

Microsoft 365 for enterprise is a set of licensing plans offering increased levels of compliance and security management over Microsoft 365 for business and providing additional business intelligence and analytics functionality. These plans are designed for enterprise customers and those that have more than 300 users.

What should customers know before using Microsoft 365 Business Premium in their organization?

Customers who wish to use Microsoft 365 Business Premium in their organization must be running Windows 11 or Windows 10 Pro* on their desktops for the service to manage their PCs.

*Windows 10 Pro upgrade rights are included with Microsoft 365 Business Premium if the machines are presently running Windows 8.1 Pro.

Windows 11 upgrade rights are included with Microsoft 365 Business Premium if the machines are presently running Windows 10 version 2004 or later.

What’s the best way to deploy Microsoft 365 Business Premium in my organization?

Partner-assisted deployment of Microsoft 365 Business Premium is recommended. Contact your Microsoft partner to find out if they offer Microsoft 365 Business Premium. Your partner can help you understand your options and will make the best recommendations for deploying Microsoft 365 Business Premium in your organization. If you don’t have a Microsoft partner, find one on the  Microsoft solution providers page .

Can I combine Microsoft 365 Business Premium with other Microsoft subscription offerings?

Yes, you can combine your Microsoft 365 Business Premium subscriptions with plans and add-ons from Azure, Dynamics 365, and Microsoft 365.

Is everyone in my business required to have a Microsoft 365 Business Premium subscription?

No, not everyone needs a Microsoft 365 Business Premium subscription, although the security and management benefits are available only to customers using devices managed with a Microsoft 365 Business Premium subscription.

Standardizing an IT environment helps reduce maintenance and security costs over time and is a state businesses should strive to attain. However, some small and medium-sized customers typically update their software when upgrading their hardware over time. These businesses can deploy Microsoft 365 Business Premium to part of their organization, but to ensure the best protection of sensitive business data and consistent collaboration experiences, deployment to all users is recommended.

How can I know if the hardware and software I run today is compatible with Microsoft 365 Business Premium?

If the hardware you run today runs Windows 8 Pro or later, it likely meets the minimum requirements for Microsoft 365 Business Premium. See the  Windows 10 Pro system requirements  for additional details.

For recently purchased Windows 10 Pro devices, check the  Windows 11 system requirements  to make sure they’re eligible for the upgrade or use the PC Health Check app to see if your PC can run Windows 11.

Existing desktop (Win32) app compatibility is strong in Windows 10 and Windows 11—over 99 percent 3  of existing apps work without any changes. Customers and their trusted IT advisors should read the recommended app testing process for  Windows 10 compatibility  and review the  Microsoft 365 system requirements  to ensure a smooth transition to Microsoft 365 Business Premium.

Can I switch my current Microsoft 365 plan to Microsoft 365 Business Premium?

Yes, you may switch your plan from a qualifying plan to Microsoft 365 Business Premium. Monthly charges may decrease or increase depending on your current plan.  Learn more .

Where can I learn more about Microsoft 365 Business Premium capabilities including technical details?

Find more details about Microsoft 365 Business Premium capabilities, including technical documentation, setup instructions and other information on the  Microsoft 365 Business Premium resources page .

What is Microsoft 365?

Microsoft 365 is the productivity cloud designed to help each of us achieve what matters in our work and life with best-in-class Microsoft 365 apps, intelligent cloud services, and advanced security.

What is Microsoft Defender for Business?

Microsoft Defender for Business is an endpoint security solution designed to help businesses with up to 300 employees. It helps protect against cybersecurity threats, including malware and ransomware, in an easy-to-use, cost-effective package. Microsoft Defender for Business is included with Microsoft 365 Business Premium and is available as a standalone product.  Learn more .

What is Microsoft Defender for Business servers?

Microsoft Defender for Business servers is an add-on for Microsoft 365 Business Premium or Microsoft Defender for Business standalone product. It helps protect Windows and Linux servers against cybersecurity threats, including malware and ransomware, in an easy-to-use, cost-effective package. Defender for Business servers is now available to try and buy.  Learn more.

What options are available for IT service providers to secure more than one customer at a time?

IT service providers can use Microsoft 365 Lighthouse to secure their Business Premium customers at scale.  Learn more .

See more solutions for your business

Requirements.

  • [1] Once your paid subscription begins, cancellation policies vary based on your status as a new customer, product, and domain selections on Microsoft.  Learn more . Cancel your Microsoft 365 subscription any time by going to the Microsoft 365 admin center. When a subscription is canceled, all associated data will be deleted.  Learn more about data retention, deletion, and destruction in Microsoft 365 .
  • [2] After your one-month free trial ends, your subscription will automatically convert into a 12-month paid subscription and you will be charged the applicable subscription fee. Cancel anytime during your free trial to stop future charges. Credit card required to sign-up.  Learn more .
  • [3] Since 2018, App Assure has worked with thousands of customers and evaluated almost 800,000 apps with a 99.7 percent app compatibility rate. For that remaining 0.3 percent, the App Assure team will engage directly with you to get your apps running.
  • [*] Copilot for Microsoft 365 may not be available for all markets and languages. To purchase, enterprise customers must have a license for Microsoft 365 E3 or E5 or Office 365 E3 or E5, and business customers must have a license for Microsoft 365 Business Standard or Business Premium, or a version of these suites that no longer includes Microsoft Teams.

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  • Difference between Microsoft 365 and Office 2021
  • Difference between home and business plans
  • Difference between Microsoft 365 and free web apps
  • Can't install or manage Office or Microsoft 365
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What's the difference between Microsoft 365 and Office 2021?

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Microsoft 365 is a subscription service that makes sure you always have the most up-to-date modern productivity tools from Microsoft. There are Microsoft 365 plans for home and personal use, as well as for small and midsized businesses, large enterprises, schools, and non-profits. 

Microsoft 365 plans for home or business  include the robust Microsoft 365 desktop apps that you’re familiar with, like Word, PowerPoint, and Excel. You also get extra cloud storage and cloud-connected features that let you collaborate on files in real time. With a subscription, you'll always have the latest features, fixes, and security updates along with perennial tech support at no extra cost. You can choose to pay for your subscription on a monthly or yearly basis. The Microsoft 365 Family plan also lets you share these subscription benefits with up to five additional people.

Note:  Microsoft 365 Basic is a subscription for one person. It includes 100GB of cloud storage, secure ad-free email, secure photo and file storage, and Microsoft support. See the Microsoft 365 Basic FAQ for more information.

Most of the Microsoft 365 plans for business, schools, and non-profits include the fully installed desktop apps, but Microsoft also offers basic plans with the online versions of Microsoft 365, file storage, and email. You decide what works best for you: Small business , Enterprise , School , or Non-profit .

Office 2021 is sold as a one-time purchase , which means you pay a single, up-front cost to get Microsoft 365 apps for one computer. One-time purchases are available for both PCs and Macs. However, there are no upgrade options, which means if you plan to upgrade to the next major release, you'll have to buy it at full price.

Microsoft 365 for the web is a free version of Microsoft 365 that you can use in a web browser. All you need is to sign up for a Microsoft account with a new or existing email address.   Use Word, Excel, PowerPoint and more for free on the web .

Tip:  If you're a small business owner looking for more information on how to get Microsoft 365 set up, visit Small business help & learning .

Not sure what you have now? See What version of Office am I using?

Ready to install Microsoft 365 apps? See Install Office on your PC or Mac .

Looking for product details and prices?

Buy or try Microsoft 365

Compare Microsoft 365 subscription with Office 2021 (one-time purchase)

Need help choosing a microsoft 365 for business plan.

Deciding on a plan can depend on your specific business needs. The Microsoft 365 plan chooser is designed to help you with this. The chooser will make recommendations based on your answers to questions such as the size of your business, your field of work, the devices you use, and what kind of features, IT support, and security you're looking for. See Help me find the right plan for my business .

What's the cost?

Choose an option below to get pricing info.

Can I buy just one app, like PowerPoint? What about Project or Visio?

Yes. You can buy standalone versions of Word, Excel, and PowerPoint for Mac or PC. Go to the Microsoft Store and search for the app you want.

You can also get a one-time purchase or a subscription version of Visio or Project, available for PCs only. Buy Visio or buy Project .

I have a Mac. What should I buy?

Microsoft 365 subscriptions and Office 2021 can be installed on either Mac or PC.  Compare prices

Do I need to be connected to the internet to use Microsoft 365?

You don't need to be online to use Microsoft 365 apps after they are installed and activated on your devices. However, you will need internet access initially to install and activate Microsoft 365, to install any updates, and to manage your billing. Internet access is also required to access documents stored on OneDrive, unless you install the OneDrive desktop app. However, after your Microsoft 365 apps (like Word, PowerPoint, and Excel) are installed, you can use them offline.

You should connect to the internet regularly to keep your apps up to date and benefit from automatic upgrades. If you don’t connect to the Internet at least once a month, your applications will go into reduced functionality mode, and you might see an unlicensed product error . To reactivate your Microsoft 365 applications, simply reconnect to the internet and sign in to Microsoft 365. Learn how to sign in .

Do I need to be connected to the internet to use Office 2021?

You don't need to be online to use Office 2021 apps after they are installed and activated on your device. However, you will need internet access initially to install and activate Office 2021 and to install any updates. In addition, Office 2021 requires reactivation periodically, and may also be triggered by changes to your device’s components, requiring an internet connection. Failing to reactivate may cause your applications to go into reduced functionality mode, or you might get an unlicensed product error .

If you are unable to connect to the internet, you should consider Office LTSC .

Do I have to store my files in the cloud?

No. There are benefits with saving your files to the cloud, but the choice is yours. With both Microsoft 365 and non-subscription versions of Office, you choose where you want to store your documents. The option is yours to save them to a local device or save them to the cloud using a service such as OneDrive.

You can even choose to store your files in the cloud, but continue to access them from your device whether you're online or offline. You do this by syncing your files to your device and making them available for offline access. See  Sync files with OneDrive in Windows or  Sync files with OneDrive on macOS .

To learn more about the benefits of saving to the cloud, see  Video: Why store files in the cloud? To learn more about the choices for where to save your files, see  Save your files and  Save, back up, and recover a file in Microsoft Office .

I have more questions. Is there someone I can talk to?

Use Contact us at the bottom of this page. Thanks!

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Upgrade or change to a different Microsoft 365 for business plan

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When your business needs change, or you want more features, you can change to a different Microsoft 365 for business plan. Most of the time, you can change plans automatically. An automatic change walks you through the entire process from beginning to end. After you buy a new plan, all users are automatically assigned licenses in the new plan, and your old plan is canceled for you. In some cases, you can't automatically change to a new plan, and instead must change plans manually .

Before you begin

  • Find out what type of billing account you have.
  • If you have a Microsoft Customer Agreement (MCA) billing account type, you must be a billing account owner or contributor, or a billing profile owner or contributor to do the tasks in this article. For information about billing account and billing profile roles, see Understand your Microsoft business billing account and Manage your Microsoft business billing profiles .
  • If you have a Microsoft Online Services Agreement (MOSA) billing account type, you must be a Global or Billing admin to do the tasks in this article. For more information, see About admin roles in the Microsoft 365 admin center .

If you’re the person who signed up for the subscription, you’re automatically a billing account owner or global admin.

When should I change plans?

Changing plans is the right choice when you want to move all users assigned to a single plan. When you change plans, all users in the current plan are assigned licenses for the new plan at the same time. If you only want to move some users to a new plan, buy a new plan with the number of licenses you need, and assign those licenses to the users that you want to move. For more information, see Move users to a different subscription .

Automatically change your subscription to a new plan

If you have an mca billing account type.

If you're using Microsoft 365 operated by 21Vianet in China, use the following link to access the admin center: https://portal.partner.microsoftonline.cn/

  • If you’re using the Simplified view , select Subscriptions .
  • If you’re using the Dashboard view , go to the Billing > Your products page.
  • Select the subscription that you want to manage.
  • On the subscription details page, in the Other subscription options section, select Change to a different subscription option .
  • On the Compare products and select another option page, select a different plan to compare with your current plan. When you find the one that you want to buy, select Next .
  • Choose when to schedule the change, enter the number of licenses that you want, select a subscription length and a billing frequency, then select Next .
  • Review your selections, then select Save changes .

If you have an MOSA billing account type

If the View upgrades recommended for your org link is grayed out, see Why can't I change plans?

  • On the Available upgrades page, find a new product, then select Upgrade .
  • On the Checkout page, select or add a payment method, then select Place order .

After you place the order, it might take a few minutes to finalize the change. You can start using your new subscription right away.

Why can't I change plans?

The information in this section only applies if you have an MOSA billing account type.

If you can't select the View upgrades recommended for your org link, it means that you can't automatically change your plan right now. In some cases, you can resolve the issue so that you can view available plans. In other cases, you can change plans manually , instead. The following table lists issues you might encounter when you try to change your plan, and tells how to resolve them.

What does automatically changing plans do to my service and billing?

When you change plans automatically, your services and billing are affected in the following ways.

Access to services

  • Admins: Admins can't make changes to the subscription details page while the change is in process, but you can use the rest of the admin center. The change between plans can take up to an hour.
  • Users: Users experience no interruption of service during the plan change. They continue to have the existing service until the change is finished.

Users and licenses

  • Users: Users on the old subscription are automatically moved to the new subscription.
  • Services: If your old subscription includes multiple services, and if you changed which of these services your users are assigned to, make note of these changes before you change plans. Your notes can help you can recreate these changes afterwards. All users are given access to all services in the new subscription. For example, if you previously bought Microsoft 365 Business Premium for all 10 of your users, but you unassigned the SharePoint Online service from five of them, this change isn't kept after you change plans.
  • License assignments: If you have more than one subscription before you change plans, and users have licenses to more than one subscription, this assignment pattern is kept as much as possible in the new subscription.
  • Data: All user data is retained during the change, including Exchange mailboxes and SharePoint Online documents, lists, and other information.

The day your plan change is complete, the billing on your old subscription is turned off and the billing on your new subscription is turned on. Depending on the new plan you selected, you might receive a prorated credit. You receive a new invoice that includes the credit for your old subscription within 30 days of changing to the new subscription.

The length of time it takes to receive your prorated credit depends on the payment method used for the old subscription.

Change plans manually

Most of the time, you can change plans automatically. However, sometimes this isn't possible. You can change plans manually if:

  • You can't select the View upgrades recommended for your org link.
  • When you select the View upgrades recommended for your org link, the plan you want isn't listed.
  • You don't want to move all your users to the same plan. Some businesses need different users licensed for different plans.

If you're changing to a plan with fewer data-related services than your current plan, you must manually back up any data that you want to keep. For more information, see Back up data before changing Microsoft 365 for business plans .

Step 1: Buy a new subscription

Already bought a new subscription? If you already have the subscription that you want to move users to, skip this step and go to Step 2: Check your new subscription and licenses .

Need to buy a new subscription and licenses? Follow the steps in Buy a different subscription .

Make sure that you buy a subscription for the same organization that the users are in now. For example, check the email addresses for the users that you want to move. If their email addresses include @contoso.com , you must buy a new subscription for contoso.com. Buy a license for each user that you want to move.

Step 2: Check your new subscription and licenses

In the Microsoft 365 admin center , go to the Billing > Your products page, then do the following:

  • Verify that both the old and new subscriptions are listed and active. The subscription that you're moving users from and the subscription that you're moving users to must be listed together. If the new subscription isn't there when you first check, try again later. Verify that both subscriptions are listed as Active .
  • Check that you have enough licenses for each user. Each user needs a license that matches their subscription. If you want to move 10 users to Microsoft 365 Business Premium, make sure 10 unassigned licenses are available in that subscription.
  • Need more licenses for the new subscription? Go to the Your products page, select the subscription, and buy more licenses .

The new subscription isn't listed, or isn't active

If you bought two subscriptions and they aren't both listed on the Your products page, you might have bought them for different organizations (for different domains). Subscriptions can't cross organization boundaries.

If you know you have another subscription, and it isn't listed here, or isn't active, contact support .

What about old licenses?

The licenses for the current subscription are removed in Step 4: Cancel subscriptions or remove licenses that you no longer need (Optional) . After that, you only pay for the new licenses.

Step 3: Move users to the new subscription

After you confirm the number of licenses in your new subscription, you can move users from the old subscription to the new one .

Step 4: Cancel subscriptions or remove licenses that you no longer need (Optional)

If you moved all users from one subscription to another, and you don't need the original subscription anymore, just cancel the subscription .

If you have an MCA billing account type, you can only cancel and receive a prorated credit or refund if you cancel within seven days after the start or renewal of your subscription. If you cancel during this limited time window, the prorated amount is either credited towards your next invoice or returned to you in the next billing cycle. For details, see Determine your cancellation option .

If you moved only some users to a different subscription, remove licenses that you no longer need .

If you upgraded to Microsoft 365 Business Premium, use the steps in the Business Premium library to set up your new security capabilities.

Visit the Microsoft 365 Business Premium library

Related content

Move users to a different subscription (article) Try or buy a Microsoft 365 for business subscription (article)

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    Use on PCs, Macs, phones, and tablets. 1 TB of cloud storage. Apps with premium features and offline access. Identity, Footnote. 1 data, and device security. Ad-free secure email. Buy Now Or buy at $6.99/month. Subscription automatically renews.

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  22. What's the difference between Microsoft 365 and Office 2021?

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  23. Upgrade or change to a different Microsoft 365 for business plan

    Select the subscription that you want to manage. On the subscription details page, in the Other subscription options section, select Change to a different subscription option. On the Compare products and select another option page, select a different plan to compare with your current plan. When you find the one that you want to buy, select Next.