Office 365 Business vs Enterprise

If you are a company, Office 365 is offered in two types of packages: Office 365 Business (for “Small Business”), and Office 365 Enterprise (for “Enterprise”). Even though both of these types of offerings give you access to basic functionality, there are some big – and small – differences between Office 365 Business and Office 365 Enterprise.

In this blog article, I’m going to explain the major factors that will help you decide between using an O365 Business plan vs. an O365 Enterprise plan. Keep in mind that there are three options within each of two types (Enterprise and Business), so there will be some further evaluation to do. I’ve written blog articles that will help you choose between the Business and Enterprise products.

In addition to those articles, I have created a special tool that will help you choose between all seven versions of Office 365. Based on a short questionnaire, it will recommend the best product for you requirements. Please try it out!

O365 Business or Enterprise: Instant Recommendation

Which one should you choose? Use our tool and we'll generate an instant recommendation and price quote.

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Office 365 Business Versions

There are three versions of Office 365 for small businesses. You might be attracted to these plans because they tend to be a little bit less expensive, while still offering basic functionality.

The most important thing to remember about Office 365 Business that you can only purchase one of these plans if you’re going to be getting 300 seats or less. If that’s you, there is a plan of Office 365 Business that covers most basic needs. The particular plan you choose will mostly depend on whether or not you need email, and whether or not you want you want to install the applications on your computer. You can read more here, or try out my recommendation tool to figure out which Office 365 Business version is right for you.

Office 365 Enterprise Versions

There are also three versions of Office 365 for enterprise companies. These plans tend to be a little more expensive, but they do offer some additional bits of functionality.

Importantly, these plans allow you an unlimited number of seats. So if you have more than 300 users, you’re going to have to choose between Office 365 E1, E3 and E5. Some of the additional functionality that you can get in Office 365 Enterprise includes:

  • Unlimited OneDrive storage
  • Included Power BI Pro licensing
  • Huge Skype Meetings (250 – 10,000 people)
  • Using Skype as a phone system
  • Phone numbers for dial-in Skype meetings
  • Additional security and administration features:
    • Custom retention policies
    • Advanced search and legal hold abilities
    • Extra threat (malware, phishing etc) protection for your email
    • Advanced data privacy agreements

These features aren’t included in all of the Office 365 Enterprise plans; your decision will also depend on whether or not you want to install the applications on your computer. You can read more here, or you can of course try out the recommendation tool.

O365 Business vs Enterprise: Comparison Table

Feature Business Enterprise
Maximum Seat Count 300 Unlimited
Email/Calendars Some Plans All Plans
Online Office Apps All Plans All Plans
Install Office Apps Some Plans Some Plans
Advanced Admin and Security Features Some Plans
Advanced Skype Features Some Plans
Price ($/User/Month) $5 – $12.50
Buy Now
$8 – $35
Buy Now


Which One Is Right For You?

Once you establish how many seats you need (more or less than 300), and you decide on your budget, your options can narrow down pretty quick. The next thing to determine is whether or not you want to install the applications on your PC (most do). Then, take a look at the extra features available in the Office 365 Enterprise plans, and decide if the additional functionality is worth the extra cost. Most companies that need to install the O365 applications end up going with Office 365 Business Premium or Office 365 E3, depending on their seat count or budget.

For a personalized recommendation, check out my recommendation tool. It consolidates all of the decision-making criteria across all seven Office 365 versions, and provides you with your best fit. There is a lot to consider, so if you have any questions please feel free to contact me.

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