Microsoft 365 Business Basic: A Comprehensive Guide for SMEs

What is Microsoft 365 Business Basic:

  • Cloud-based business productivity suite.
  • Features:
    • Web and mobile versions of Office apps (Word, Excel, PowerPoint).
    • Business email with a 50GB mailbox.
    • Microsoft Teams for collaboration.
    • 1TB OneDrive cloud storage per user.
  • Designed for:
    • Small to medium-sized businesses need essential tools for collaboration and communication.

Introduction to Microsoft 365 Business Basic

Microsoft 365 Business Basic

In the rapidly evolving landscape of digital business solutions, Microsoft 365 Business Basic emerges as a beacon for small and medium-sized businesses.

It’s a collection of tools and a comprehensive ecosystem designed to streamline operations and foster growth.

  • A Tailored Solution: Microsoft 365 Business Basic stands out as a specialized solution precisely crafted to meet the unique demands of small and medium-sized businesses. It offers a suite of tools that are both accessible and scalable.
  • The Digital Workplace Core: Microsoft 365 Business Basic plays a pivotal role in today’s digital-first environment. It bridges the gap between traditional office work and the modern, digital workplace, offering tools that enhance productivity, collaboration, and communication.

What is Microsoft 365 Business Basic?

What is Microsoft 365 Business Basic

Microsoft 365 Business Basic is a cloud-based productivity suite that is a foundation for business operations in the digital age.

Key aspects of this suite include:

  • A Comprehensive Productivity Suite: At its core, Microsoft 365 Business Basic includes web and mobile versions of familiar Office applications like Word, Excel, and PowerPoint. This availability ensures that businesses can maintain productivity and flexibility, regardless of location.
  • Business Email and Collaboration Tools:
    • The suite provides custom business email through Outlook, offering a professional edge to communications.
    • Collaboration is significantly enhanced with Microsoft Teams, a hub that brings together chat, meetings, and file collaboration.
  • Accessibility and Mobility: The suite emphasizes mobility, allowing employees to access essential tools from anywhere, fostering a work environment that’s both adaptive and responsive to modern business needs.

Key Features and Benefits

365 basic Key Features and Benefits

Microsoft 365 Business Basic offers a range of features designed to elevate business operations, particularly in productivity and collaboration:

  • 1TB OneDrive Storage:
    • Feature: Each user gets 1TB of cloud storage on OneDrive, offering ample space for storing documents, photos, and other files.
    • Benefits: Facilitates easy access and sharing of files from anywhere, enhancing team collaboration and ensuring data is securely backed up.
  • 50GB Mailbox:
    • Feature: A generous 50GB mailbox per user via Outlook, supporting large email attachments up to 150 MB.
    • Benefits: Provides ample storage for email communication, ensuring businesses can handle substantial email volumes without worrying about space constraints.
  • Microsoft Teams Capabilities:
    • Feature: Integrates chat, meetings, calls, and collaboration in a single app, allowing you to host online meetings for up to 300 participants.
    • Benefits: Streamlines communication, simplifies meeting and document collaboration, and enhances team connectivity in a remote or hybrid work environment.

Security and Compliance

Security and Compliance 365

In an era where data security is paramount, Microsoft 365 Business Basic includes essential features to safeguard business information:

  • Exchange Online Protection and Malware Protection:
    • Features: Includes robust email security with Exchange Online Protection, offering defenses against spam and malware.
    • Benefits: Helps protect email communications from external threats, ensuring that sensitive information remains secure.
  • Importance of Security in Business Operations:
    • Context: In a digital-first business landscape, security is not just a feature but a necessity.
    • Implication: Including these security measures in Microsoft 365 Business Basic provides peace of mind; knowing that business data is protected is crucial for maintaining customer trust and meeting compliance requirements.

Combining these features in Microsoft 365 Business Basic boosts productivity and collaboration.

It ensures a secure and compliant digital environment, which is crucial for small and medium-sized businesses navigating the complexities of the modern digital landscape.

Hosting Meetings and Collaboration with Teams

Hosting Meetings and Collaboration with Teams

Microsoft 365 Business Basic significantly enhances business communication and teamwork through the capabilities of Microsoft Teams:

  • Online Meetings and Video Calls:
    • Capabilities: Microsoft Teams in Business Basic supports hosting online meetings and video calls with up to 300 participants.
    • Benefits: This feature suits various business needs, from daily check-ins to large-scale virtual meetings.
  • Enhancing Team Communication:
    • Collaborative Environment: Teams facilitate a seamless communication environment combining chat, video calls, and document collaboration in one platform.
    • Business Impact: This integration fosters a collaborative culture, streamlining workflows and boosting team efficiency.

Comparing Microsoft 365 Business Basic with Other Plans

Comparing Microsoft 365 Business Basic with Other Plans

Understanding how Microsoft 365 Business Basic stacks up against other Microsoft 365 plans is vital for businesses to make an informed choice:

  • Comparison with Other Plans:
    • Features: While Business Basic offers essential tools for collaboration and communication, other plans like Business Standard and Business Premium include additional features such as desktop versions of Office apps and advanced security and device management.
    • Price Point: Business Basic is typically more affordable, making it a great entry point for small businesses needing basic cloud services.
  • Fit in the Microsoft 365 Ecosystem:
    • Target Audience: Business Basic is tailored for small businesses needing cloud-based solutions without the complexity of advanced IT infrastructure.
    • Place in Ecosystem: It is a foundational component of the Microsoft 365 suite, balancing functionality and affordability.

In summary, Microsoft 365 Business Basic provides a robust platform for businesses to facilitate communication and collaboration, mainly through Microsoft Teams.

Top 5 Best Practices for Using Microsoft 365 Business Basic

  1. Strategic Deployment Planning:
    • Assess your business needs and user roles to effectively deploy Microsoft 365 Business Basic.
    • Customize user access to apps and services based on their specific job requirements.
  2. Comprehensive User Training:
    • Provide training sessions to help users understand how to use Office apps, Teams, and OneDrive effectively.
    • Encourage the use of collaboration tools within Teams for improved teamwork and communication.
  3. Optimizing Data Management:
    • Leverage OneDrive for secure and organized document storage and sharing.
    • Implement data governance policies to manage and protect business data.
  4. Maximizing Collaboration Tools:
    • Utilize Microsoft Teams for meetings, chat, and collaborative projects to enhance team productivity.
    • Integrate Teams with other apps and services for a streamlined workflow.
  5. Regular Monitoring and Feedback:
    • Review how employees use Microsoft 365 Business Basic and gather feedback for improvements.
    • Stay updated with new features and updates from Microsoft to continuously enhance user experience.


How many users can use Microsoft 365 Business Basic?

  • Up to 300 users.

What does business basic mean?

  • A fundamental, cloud-based business solution with essential productivity tools.

What does Microsoft 365 Business Standard include?

  • Office apps, business email, cloud storage, and advanced collaboration tools.

What is the difference between Business Basic and Standard?

  • Business Standard includes desktop versions of Office apps and additional business tools.

Can I use Outlook with a Business Basic license?

  • Yes, with web and mobile versions.

Does Microsoft 365 Basic include Word and Excel?

  • Yes, web and mobile versions only.

Does Microsoft Business Basic include OneNote?

  • Yes, as part of the Office suite.

Does Business Basic include OneDrive?

  • Yes, with 1 TB of storage per user.

How much is Microsoft 365 Basic?

  • Pricing varies; check Microsoft’s website for current rates.

Does business basic include forms?

  • Yes, Microsoft Forms is included.

Does Microsoft 365 Business Basic include conditional access?

  • No, conditional access is not included.

How many computers can I install Microsoft 365 Business Standard on?

  • Up to 5 devices per user.

Does m365 Business Basic include conditional access?

  • No, it does not.

Does Business Basic have Office?

  • Yes, web and mobile versions.

Does Business Basic include access?

  • Access is not included in Business Basic.

What is the difference between Office 365 Basic and Standard license?

  • The standard includes desktop Office apps; the Basic is web and mobile only.

What is the new name for Microsoft Business Standard?

  • It’s still known as Microsoft 365 Business Standard.

What is the difference between Office 365 and business?

  • Office 365 is now part of Microsoft 365, which includes additional business services.

By following these best practices and understanding the FAQs, businesses can effectively utilize Microsoft 365 Business Basic to enhance productivity and collaboration in their digital workspace.


  • Fredrik Filipsson

    Fredrik Filipsson brings two decades of Oracle license management experience, including a nine-year tenure at Oracle and 11 years in Oracle license consulting. His expertise extends across leading IT corporations like IBM, enriching his profile with a broad spectrum of software and cloud projects. Filipsson's proficiency encompasses IBM, SAP, Microsoft, and Salesforce platforms, alongside significant involvement in Microsoft Copilot and AI initiatives, enhancing organizational efficiency.

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