WhichM365Independent Microsoft 365 decision guide

Business Basic vs Business Standard

These two plans share the same email, Teams, and storage. There is really only one difference that matters, and it decides the price.

Short answer: Need the installed Word, Excel, Outlook, and PowerPoint apps on your computers? Business Standard. Happy working in the browser and on phones only? Business Basic saves you money. Everything else is nearly the same.

The one difference that matters

Both plans give every user a business email on your own domain, a 50 GB mailbox, 1 TB of OneDrive storage, Teams, SharePoint, and the web and mobile versions of the Office apps. That covers a lot of small businesses on its own.

Business Standard adds one thing Business Basic does not have: the full desktop apps you install on a Windows PC or Mac. That means Outlook, Word, Excel, and PowerPoint running locally, working offline, with the complete feature set. Standard also adds a few extras like webinars, Bookings, and the Clipchamp video editor.

So the honest question is not "which plan is better." It is "do these people need Office installed on their machines, or can they work in a browser tab?"

Side by side

 Business BasicBusiness Standard
Email on your domainYes, 50 GBYes, 50 GB
Teams, SharePoint, OneDriveYes, 1 TBYes, 1 TB
Web and mobile Office appsYesYes
Installed desktop Office appsNoYes
Webinars, Bookings, ClipchampNoYes
User cap300 users300 users
List price (per user / month)About $6About $12.50

List prices are estimates in USD on an annual commitment and change over time. Confirm current pricing with your Microsoft partner.

When Business Basic is enough

Pick Basic when your team lives in the browser. Frontline and floor staff, seasonal workers, shared accounts, and anyone who mostly checks email and joins Teams calls do fine on Basic. If a computer already has a separately owned copy of Office, Basic can cover the online services around it.

When to pay for Business Standard

Pick Standard for anyone who builds real documents. Heavy Excel work, large PowerPoint decks, mail merges, and offline editing all want the installed apps. Most office staff land here, and the extra webinars and Bookings tools are a bonus for client-facing teams.

You do not have to choose one for the whole company. It is normal to put desk workers on Standard and floor or field staff on Basic in the same tenant.

What both plans leave out

Neither Basic nor Standard includes the advanced security layer: Defender for Business, Intune device management, and Entra ID P1. If protecting company data on laptops and phones matters, that is the reason to look at Business Premium instead.

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Common questions

Is Business Standard just Basic plus the desktop apps?

Almost. Business Standard adds the installed Word, Excel, Outlook, and PowerPoint apps, plus webinars, Bookings, and Clipchamp. The email, Teams, SharePoint, and 1 TB of OneDrive storage are the same on both.

Can I mix Business Basic and Business Standard in one tenant?

Yes. You license each user for the plan they need, so desk staff can be on Standard while frontline or field staff are on Basic. The 300-user cap applies to all Business plans combined in the tenant.

How much do Business Basic and Business Standard cost?

Business Basic lists at about $6 per user per month and Business Standard at about $12.50, both on an annual commitment. Confirm current pricing with your Microsoft partner.

Do either of these include security like Defender or Intune?

No. Defender for Business, Intune, and Entra ID P1 come with Business Premium, not Basic or Standard. If device and data security matter, compare Business Premium next.

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