Microsoft 365 Business: Basic vs Standard vs Premium
Choose the right Microsoft 365 plan for your small or medium business
Overview
Microsoft 365 Business plans are designed for organizations with up to 300 users. Each tier builds on the previous one, adding more capabilities. Understanding the differences helps you balance cost against your team's needs.
Business Basic
Web and mobile apps only
- Web versions of Office apps
- Email with 50GB mailbox
- 1TB OneDrive storage
- Microsoft Teams
- SharePoint
- Basic security features
Business Standard
Desktop apps included
- Everything in Basic
- Desktop Office apps
- Webinar hosting (300 attendees)
- Bookings appointment scheduling
- Access and Publisher (PC)
- Clipchamp video editor
Business Premium
Advanced security
- Everything in Standard
- Intune device management
- Azure AD Premium P1
- Defender for Business
- Azure Information Protection
- Advanced threat protection
Detailed Feature Comparison
Productivity Apps
| Feature | Basic | Standard | Premium |
|---|---|---|---|
| Word, Excel, PowerPoint (Web) | ✓ | ✓ | ✓ |
| Word, Excel, PowerPoint (Desktop) | ✗ | ✓ | ✓ |
| Outlook (Desktop) | ✗ | ✓ | ✓ |
| Access & Publisher (PC only) | ✗ | ✓ | ✓ |
| Install on up to 5 devices | ✗ | ✓ | ✓ |
Collaboration & Communication
| Feature | Basic | Standard | Premium |
|---|---|---|---|
| Microsoft Teams | ✓ | ✓ | ✓ |
| Exchange Email (50GB) | ✓ | ✓ | ✓ |
| SharePoint | ✓ | ✓ | ✓ |
| OneDrive (1TB) | ✓ | ✓ | ✓ |
| Bookings | ✗ | ✓ | ✓ |
| Teams Webinars (300 attendees) | ✗ | ✓ | ✓ |
Security & Compliance
| Feature | Basic | Standard | Premium |
|---|---|---|---|
| Multi-Factor Authentication | ✓ | ✓ | ✓ |
| Security Defaults | ✓ | ✓ | ✓ |
| Conditional Access | ✗ | ✗ | ✓ |
| Intune MDM/MAM | ✗ | ✗ | ✓ |
| Defender for Business | ✗ | ✗ | ✓ |
| Azure Information Protection P1 | ✗ | ✗ | ✓ |
| Safe Links & Safe Attachments | ✗ | ✗ | ✓ |
When to Choose Each Plan
Choose Business Basic When:
- Your team primarily works in web browsers
- You don't need offline access to documents
- Budget is the primary concern
- Users have existing Office perpetual licenses
- You mainly need email, Teams, and cloud storage
Choose Business Standard When:
- Users need desktop Office apps (Word, Excel, PowerPoint)
- You need Outlook desktop for email management
- Your team works offline frequently
- You host webinars or need Bookings for appointments
- You need Access or Publisher applications
Choose Business Premium When:
- Security is a top priority (healthcare, finance, legal)
- You need to manage company devices (BYOD or company-owned)
- You handle sensitive data requiring encryption/protection
- You need conditional access policies
- Compliance requirements mandate advanced security
Cost Comparison for 25 Users
| Plan | Monthly Cost | Annual Cost |
|---|---|---|
| Business Basic | $150 | $1,800 |
| Business Standard | $312.50 | $3,750 |
| Business Premium | $550 | $6,600 |
Microsoft 365 Copilot Availability
Microsoft 365 Copilot can be added to any Business plan for $30/user/month. There's no minimum seat requirement for SMB plans, making it accessible for smaller organizations.
Additional Resources
Disclaimer: Pricing and licensing information provided on this page is for general guidance only and may not reflect the most current Microsoft pricing or licensing terms. Microsoft frequently updates its licensing models, pricing, and feature inclusions. We are not responsible for any inaccuracies or outdated information. Always verify current pricing and licensing requirements directly with Microsoft's official licensing resources or your Microsoft partner before making purchasing decisions.