Microsoft has announced that it will retire the Microsoft 365 Business Premium and Office 365 E1 grant offers for nonprofits.

⏰ What’s Changing?

    • The 10 free Microsoft 365 Business Premium licenses for nonprofits will be discontinued at your next renewal on or after 1st July 2025.
    • These licenses will expire on your renewal date unless action is taken.
    • Microsoft will continue to offer:
      • 300 free licenses of Microsoft 365 Business Basic
      • Up to 75% discounts on most Microsoft 365 nonprofit subscriptions, including Business Premium and Office 365 E1

 ⚠️ Important: Microsoft will not auto-enroll or auto-downgrade your licenses. You must log into your Microsoft 365 Admin Centre and make changes before your renewal date to avoid service disruption or data loss.Microsoft 365 App

đź’ł Payment Model Update

If purchasing directly from Microsoft, nonprofit organisations must pay annually for licenses with an annual commitment—even though pricing is displayed on a monthly basis.

Monthly commitment licenses may still be available through select Microsoft resellers.

âś… What You Should Do

We recommend transitioning from the legacy Business Premium grant to:

    • Microsoft 365 Business Basic, or
    • Another eligible nonprofit offer

This ensures continuity of service and avoids unexpected costs or data access issues.

🔍 Key Feature Differences

Downgrading from Business Premium or Office 365 E1 to Business Basic means losing several advanced features. Here are the most critical:

❌ Features Lost When Downgrading:

    • Desktop Office Apps (Word, Excel, PowerPoint, Outlook)
    • Advanced Security & Device Management (Microsoft Defender, Intune, compliance tools)
    • Power Platform (Power Apps, Power Automate, Virtual Agents)
    • Exchange Online Archiving (additional 50 GB)
    • Teams Features (Live Events, Webinars, Transcription, Retention Policies)
    • Viva Insights, Productivity Score, Delve, Graph API Access
    • Visio Online

These features are essential for nonprofits managing sensitive data or operating with remote teams.

🔄 Shared Features in Both Plans:

    • Web & Mobile Office Apps
    • 50 GB Exchange Mailbox
    • Microsoft Teams
    • 1 TB OneDrive Storage
    • SharePoint Online
    • Forms, Lists, Planner
    • Basic Security & Compliance
    • Multi-Factor Authentication

🤝 Let’s Make the Transition Smooth

We’re here to help you navigate this change. Contact Fentons today to:

    • Review your current licensing
    • Plan your transition
    • Ensure no disruption to your users or data