Which Microsoft 365 license is right for SMEs?

Guides & checklists5 min read
Pascal Marquis
Pascal Marquis
Owner and Managing Director, baselnetgroup ag · Basel
Last checked: November 9, 2026

The most important points at a glance

There is not a single correct Microsoft 365 license for SMEs. What matters is which employees work remotely, which devices should be centrally managed, and how strong your IT security must be. In many cases, a mixed combination is better than a uniform license for everyone.

At baselnetgroup we repeatedly see the same pattern in practice: It is not the headcount that decides, but the role in the company. Someone who only needs email and Office needs something different from someone with centrally managed laptops, sensitive data, or a specialized application running in the background.

When does Microsoft 365 actually fit your SME?

Microsoft 365 is sensible when collaboration, email, Office applications and cloud storage should work together smoothly. For SMEs with about 50 employees this is especially relevant if not everyone works the same and if IT infrastructure and ICT infrastructure are already growing. Exactly then, first a clean classification is needed before choosing a license.

  • Employees work remotely and in the office.
  • Devices should be centrally managed.
  • Security requirements differ by role.
  • Specialized applications remain in use alongside Microsoft 365.
  • The existing IT should not be rebuilt unnecessarily.

What differences are decisive for license selection?

TopicWhat to pay attention toPractical significance
Working styleOffice, mobile or mixedDetermines how important cloud access and collaboration on the go are
Device managementIndividual or centrally managedDetermines whether administrative functions are needed
SecurityStandard or enhancedAffects whether additional protection and control features are needed
Specialized applicationsCloud-enabled or locally boundDetermines whether Microsoft 365 alone suffices or must be embedded in a larger environment
What the practical selection often boils down to

The common misconception is that you can simply license all employees the same and be done with it. In projects with grown environments, the opposite often shows: too simple a standard solution creates unnecessary costs, too many exceptions or security gaps.

What does Business Standard cover, and when is it enough?

Microsoft 365 Business Standard covers desktop Office applications, business email, Teams and cloud storage. This is especially suitable for employees who should work productively without special requirements for central device management or advanced security features. For simple user groups, this is often the pragmatic entry point.

When is Business Premium the better choice?

Business Premium adds security and management features. This becomes relevant when notebooks are centrally managed, sensitive information is processed, or when IT should not only function but also be better controllable. For SMEs with mixed roles, this is often the license for key people, not for everyone.

From our consulting at baselnetgroup, this is exactly the point where many decisions turn: not every person needs the same license, but every role needs a suitable working environment. An engineering firm with around 45 employees is a typical example because central device management, specialized applications and different user profiles come together.

How do you proceed with the selection in the right order?

  1. First check the user groups and their tasks.
  2. Evaluate mobility, devices and security needs per role.
  3. Clarify which systems belong in the cloud and which must stay local.
  4. Then compare licenses for the individual groups.
  5. Plan the operation of specialized applications and device management only at the end.

If you reverse this sequence, you quickly buy too much or too little. In practice, the license question is also an infrastructure question, which is why Baselnetgroup includes it in the same analysis as workspace, cloud and security.

What mistakes do we see most often in SMEs?

  • All employees receive the same license, although requirements vary greatly.
  • The existing IT is not analyzed in advance.
  • Security is considered only later.
  • Specialized applications are forgotten in planning.
  • The transition is viewed only as a licensing issue and not as an operating question.

What you should particularly pay attention to

The license is only one building block. If devices, security and specialized applications are not considered, you get a solution that looks right on paper but becomes unnecessarily complicated in everyday use.

Should you not make the selection alone?

As soon as several user groups, central device management or local specialized applications come into play, an external analysis pays off. This is exactly where baselnetgroup starts with IT consulting and digital transformation, because the license question is rarely answerable in isolation. If you want to make the decision cleanly, you need the view of the whole working environment.

Frequently asked questions

Isn't the cheapest license enough for a small SME?
Only if the employees really work almost identically and there are no additional security or management requirements. Once there are different roles, a purely blanket solution is often more expensive because it does not fit daily life. So the cheapest license is not automatically the most economical.
What should I do with employees who are only rarely in the office?
For mobile users, cloud access, collaboration and clean device management are more important than for office-only workplaces. That is why this group should be considered separately. Often it needs a different combination than back-office.
Do I have to choose a separate license type for every person?
Not necessarily. In many SMEs a mixed licensing approach makes sense because tasks and risks differ. It is important that each group is adequately covered, not that everyone is treated the same.
How do I tell that our existing IT must be checked first?
If you use specialized applications, centrally manage devices today or cover multiple working styles simultaneously, the environment should be analyzed before the license decision. Then it is not just about software, but about the entire IT workspace. That is where most wrong decisions arise.

For SMEs with around 50 employees, the right Microsoft 365 license is almost never a one-size-fits-all answer. If you first clarify the user groups, devices and security requirements, you will make a better decision and avoid detours later.

If you want to structurally review the mix of Microsoft 365, device management and IT infrastructure, an individual analysis is the most sensible next step. Baselnetgroup accompanies such decisions for SMEs in Basel and the region with a view of the entire operation.

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