In the dynamic marketplace of modern business, the choice of software licensing options can make or break an organization. As businesses embrace digital transformation, Microsoft 365 has emerged as an essential productivity suite for businesses of all sizes. However, navigating through the multiple licensing options can be a challenging task. Each licensing option offers a range of features and services, including Exchange Online, SharePoint Online, OneDrive for Business, and advanced security capabilities to meet the unique needs of businesses.
For organizations seeking the ideal Microsoft 365 license, figuring out where to begin can be overwhelming. Which license is a fit? What specific applications and services are included in each license? As purchasing a wrong Microsoft 365 subscription can burn a hole in your pocket.
In this article, let’s explore the various Microsoft 365 licenses and how to choose the best license for your organization.
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The Fundamental Composition of Modernization
Business Licenses (Organizations with Under 300 Users)
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Microsoft 365 Business Basic
- Tailored for businesses seeking seamless remote solutions with features such as chat, call, meet up to 300 attendees with 1 TB of cloud storage per user, business-class email, customer appointment management, standard security, and responsive phone & web support.
- Applications and services include: Exchange, OneDrive, SharePoint, Microsoft Teams, Web & mobile versions of Word, Excel, PowerPoint, Outlook.
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Microsoft 365 Business Standard
- Encompasses everything in Business Basic with advanced tools for webinars, attendee registration, reporting tools, personalized document creation, and professional layouts.
- Applications and services include: Desktop, web and mobile versions of Word, Excel, PowerPoint, Outlook, Word, Excel, PowerPoint, Outlook, Microsoft Teams, OneDrive, SharePoint, Exchange, Publisher (PC only), Access (PC only).
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Microsoft 365 Business Premium
- Includes everything in Business Standard with advanced security, access, data control, and cyberthreat protection.
- Applications and services include: Online, mobile, and desktop versions of Word, Excel, PowerPoint, Publisher (PC only), Access (PC only), Bookings, Exchange, OneDrive, SharePoint, Microsoft Teams, Outlook, Intune, and Azure Information Protection.
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Microsoft 365 Apps for Business
- Ideal for businesses requiring desktop versions of Office apps with 1 TB of cloud storage per user, standard security, and responsive phone & web support.
- Applications and services include: Desktop, web and mobile versions of Word, Excel, PowerPoint, Outlook, Excel, PowerPoint, Outlook, OneDrive, Publisher (PC only), Access (PC only).
Enterprise Licenses (Organizations with 300+ Users)
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Microsoft 365 E3
- Ideal for businesses in pursuit of productivity tools, encompassing 1 TB of cloud storage, facilitating chat, meeting & file sharing within shared workspaces, core security features, and robust identity management capabilities.
- Applications and services include: Word, Excel, PowerPoint, Windows, Microsoft Teams, Outlook, Exchange, SharePoint, OneNote, OneDrive, Microsoft Stream, Microsoft Bookings, Microsoft Publisher (PC only), Microsoft Access (PC only), Viva Connections, Viva Engage, Viva Insights, Microsoft Lists, Microsoft Forms, Sway, Visio, Power Apps, Power Automate, Power Virtual Agents, Microsoft Planner, Microsoft To Do, Microsoft Loop, Clipchamp.
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Microsoft 365 E5
- Tailored for businesses requiring audio conferencing for up to 1,000 attendees with advanced security, compliance capabilities, and scalable business analytics with Power BI.
- Applications and services include: Word, Excel, PowerPoint, Windows, Microsoft Teams, Outlook, Exchange, SharePoint, OneNote, OneDrive, Microsoft Stream, Microsoft Bookings, Microsoft Publisher (PC only), Microsoft Access (PC only), Viva Connections, Viva Engage, Viva Insights, Microsoft Lists, Microsoft Forms, Sway, Visio, Power Apps, Power Automate, Power Virtual Agents, Microsoft Planner, Microsoft To Do, Microsoft Loop, Clipchamp, Power BI Pro.
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Microsoft 365 Business Premium
- Includes everything in Business Standard with advanced security, access, data control, and cyberthreat protection.
- Applications and services include: Online, mobile, and desktop versions of Word, Excel, PowerPoint, Publisher (PC only), Access (PC only), Bookings, Exchange, OneDrive, SharePoint, Microsoft Teams, Outlook, Intune, and Azure Information Protection.
Office 365 Licenses
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Microsoft 365 Apps for Enterprise
- Best for businesses looking for installing apps on up to five PCs, five tablets, and five mobile devices with 1 TB of OneDrive cloud storage and responsive phone & web support. Additionally, offers Microsoft 365 on the web with create and edit rights for online versions of core Microsoft 365 apps.
- Applications and services include: Word, Excel, PowerPoint, Outlook, OneDrive, OneNote, Microsoft Access (PC only), Microsoft Publisher (PC only), Delve, Sway, Microsoft Forms.
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Office 365 E1
- Provides Microsoft 365 on the web with core app create and edit rights, along with 1 TB of OneDrive cloud storage, email, sharing, meetings, instant messaging, audio conferencing for up to 1,000 attendees, and responsive phone & web support.
- Applications and services include: Microsoft Teams, OneDrive, Exchange, SharePoint, Viva Connections, Viva Engage, Viva Insights, Microsoft Bookings, Delve, Microsoft Stream, Sway, Microsoft Forms, Power Apps, Power Automate, Power Virtual Agents, Microsoft Planner, Microsoft To Do.
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Office 365 E5
- Suites for business seeking advanced security and compliance capabilities, call control and PBX capabilities in the cloud, and scalable business analytics with Power BI.
- Applications and services include: Word, Excel, PowerPoint, Outlook, Microsoft Teams, OneDrive, Microsoft Access (PC only), Microsoft Publisher (PC only), Exchange, SharePoint, Viva Connections, Viva Engage, Viva Insights, Microsoft Bookings, OneNote, Delve, Microsoft Stream, Sway, Microsoft Forms, Power Apps, Power Automate, Power Virtual Agents, Microsoft Planner, Microsoft To Do, Power BI Pro.
Frontline workers
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Microsoft 365 F1
- Best for businesses requiring robust protection and security while supporting powerful communication, collaboration, and productivity experiences.
- Applications and services include: Word, Excel, PowerPoint, OneNote, Microsoft Teams, Exchange, Microsoft Bookings, SharePoint, Viva connections, Viva Engage, Viva Insights, OneDrive, Microsoft Stream, Microsoft Planner.
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Microsoft 365 F3
- Includes all the features in Microsoft 365 F1, with additional tools for connected and secure experiences, customized apps and workflow automation for business processes, and robust security.
- Applications and services include: Word, Excel, PowerPoint, OneNote, Microsoft Teams, Exchange, Microsoft Bookings, SharePoint, Viva Connections, Viva Engage, Viva Insights, OneDrive, Microsoft Stream, Microsoft Planner, Outlook, Sway, Visio, Power Apps, Power Automate, Microsoft Forms, Microsoft To Do, Access, Publisher, Power Virtual Agents, Windows.
Government organizations
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Office 365 E3
- Best for government organizations requiring 1 TB of cloud storage, standard security and up-to-date 365 applications for desktop and mobile. Additionally, the plan facilitates email, file storage and sharing, meetings, instant messaging & chat and call-in for up to 1,000 attendees.
- Applications and services include: Word, Excel, PowerPoint, Outlook, Exchange, Microsoft Teams, OneDrive, OneNote, SharePoint, Microsoft Access (PC Only), Microsoft Bookings, Microsoft Stream, Microsoft Forms, Power Apps, Power Automate, Power Virtual Agents, Microsoft Planner, Microsoft To Do, Viva Connections, Viva Insights, Delve.
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Office 365 E5
- Encompasses everything in Office 365 E3 with advanced security and compliance capabilities, call control & PBX capabilities in the cloud and scalable business analytics with Power BI.
- Applications and services include: Word, Excel, PowerPoint, Outlook, Exchange, Microsoft Teams, OneDrive, OneNote, SharePoint, Microsoft Access (PC Only), Microsoft Bookings, Microsoft Stream, Microsoft Forms, Power Apps, Power Automate, Power Virtual Agents, Microsoft Planner, Microsoft To Do, Viva Connections, Viva Insights, Delve, Power BI Pro.
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Microsoft 365 E3
- Tailored for organizations in pursuit of productivity tools, encompassing 1 TB of cloud storage, facilitating chat, meeting & file sharing within shared workspaces, core security features, and robust identity management capabilities with additional windows for enterprise.
- Applications and services include: Word, Excel, PowerPoint, Outlook, Exchange, Microsoft Teams, OneDrive, OneNote, SharePoint, Microsoft Access (PC Only), Microsoft Bookings, Microsoft Stream, Microsoft Forms, Power Apps, Power Automate, Power Virtual Agents, Microsoft Planner, Microsoft To Do, Viva Connections, Viva Insights Microsoft Lists, Microsoft Publisher (PC Only), Visio, Windows.
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Microsoft 365 E5
- Includes everything in Microsoft 365 E3 with additional security and compliance capabilities, offering scalable business analytics with Power BI and facilitating audio conferencing for up to 1,000 attendees.
- Applications and services include: Word, Excel, PowerPoint, Outlook, Exchange, Microsoft Teams, OneDrive, OneNote, SharePoint, Microsoft Access (PC Only), Microsoft Bookings, Microsoft Stream, Microsoft Forms, Power Apps, Power Automate, Power Virtual Agents, Microsoft Planner, Microsoft To Do, Viva Connections, Viva Insights, Microsoft Lists, Microsoft Publisher (PC Only), Visio, Windows, Power BI Pro.
Nonprofit Organizations
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Microsoft 365 Business Basic (Nonprofit Staff Pricing)
- Everything in Business Basic, plus grant-free for up to 300 users.
- Applications and services include: Word, Excel, PowerPoint, Teams, Outlook, Exchange, OneDrive, SharePoint.
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Microsoft 365 Business Standard (Nonprofit Staff Pricing)
- Everything in Business Basic, plus desktop versions of Microsoft 365 apps with premium features, webinar hosting in Teams, attendee registration, reporting tools, and customer appointment management.
- Applications and services include: Word, Excel, PowerPoint, Teams, Outlook, OneDrive, SharePoint, Exchange, Access (PC only), Publisher (PC only).
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Microsoft 365 Business Premium (Nonprofit Staff Pricing)
- Everything in Business Standard, plus advanced security, cyberthreat protection and advanced device management.
- Applications and services include: Word, Excel, PowerPoint, Teams, Outlook, OneDrive, SharePoint, Exchange, Intune, Azure Information Protection, Access (PC only), Publisher (PC only).
What next?
In the vast landscape of Microsoft 365 versions, finding the perfect fit for your organization can be a strategic move that transforms the way you work. As a certified Microsoft Gold Partner for over a decade, AVASOFT brings 15+ years of industry expertise to the table. We’re committed to being your strategic partner, ensuring you receive what’s truly best for your organization to maximize productivity. By understanding your unique needs, we deliver customized functionalities that elevate your operational efficiency.
Embark on this journey with us today and experience the transformative power of Microsoft 365. Elevate your productivity, streamline operations, and pave the way for unparalleled growth in the digital landscape.
