Microsoft 365 FundamentalsDescribe Microsoft 365 pricing and supportEasy

A small business with 25 employees is evaluating Microsoft 365. They primarily need cloud-based email, online meetings with screen sharing, and the ability to store and share files securely. They have a limited budget and do not require the full desktop versions of Office applications installed on their devices. Which Microsoft 365 licensing option best meets their needs?

  1. AMicrosoft 365 Business Standard
  2. BMicrosoft 365 Business Basic
  3. CMicrosoft 365 Enterprise E3
  4. DMicrosoft 365 Apps for business
Show answer & explanation

Correct answer: B. Microsoft 365 Business Basic

Microsoft 365 Business Basic offers cloud-based email (Exchange Online), online meetings (Teams), and cloud storage/sharing (OneDrive, SharePoint) at a low cost, without including the installable desktop Office apps, which aligns with the described needs.

Why the other options are wrong

  • A. This option includes installable desktop Office apps, which are not required and would increase the cost unnecessarily.
  • C. This is an enterprise-level plan, significantly more expensive and feature-rich than what a small business with basic needs requires.
  • D. This option primarily provides the desktop Office applications and cloud storage, but lacks cloud-based email and online meetings as a core offering.

Microsoft 365 Business Basic

A Microsoft 365 plan designed for small and medium-sized businesses that provides cloud services like email, online meetings, and file storage, but does not include the installable desktop versions of Office apps.

  • Cloud-based email (Exchange Online)
  • Online meetings and chat (Microsoft Teams)
  • Cloud storage (OneDrive for Business, SharePoint)
  • Web versions of Office apps
  • No installable desktop Office apps

Memory trick: Basic needs, basic plan: cloud, not desktop.

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