Microsoft 365 E3 vs Business Premium

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Let’s start with a key question:

How many users does your organization have?   

If you are under 300 users, then Business Premium is a no-brainer.  For 40% less cost, you get more functionality!  Microsoft knows that they must compete with Google in smaller clients, so they offer a better package for them than for their Enterprise clients. 

If you have more than 300 users, then Microsoft 365 E3 is going to be the way to go as Microsoft will only allow you to license 300 users of Business Premium.  Also, Business Premium is not even available in Microsoft Enterprise Agreements.    

Regardless of size, many clients will choose to move up to Microsoft 365 E5 as it offers the most advanced security packages, tons of compliance functionality, and features like phone system and business intelligence. 

The best news is that both options make you ready to Microsoft 365 Copilot and AI!

The Packages are extremely similar:

Business Premium and E3 bundles have a ton of functionality in them which includes productivity, security, management, and collaboration. 

  • Office packages – including Word, Excel, PowerPoint, etc – including mobile and web functionality
  • Office 365 functionality – including Exchange, Teams, OneDrive, SharePoint
  • Security functionality – including Intune, antivirus, anti-malware, multifactor authentication with conditional access, and Purview Information Protection
  • Management tools like – Bitlocker and Windows Autopilot Deployment, email archiving and legal discovery
  • Financially backed Service Level Agreement
  • Included audio conferencing for meetings
  • PowerApps and Power Automate functionality
  • Microsoft Defender for Endpoint Plan1 – next-generation antivirus and malware protection that comes with E3.

What's is better about Business Premium or E3?

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So which Plan is best for you? 

Determining which plan is the best fit for your organization depends on your specific needs and priorities. Here are some factors to consider when making your decision:


Company Size

If your organization has fewer than 300 users and requires a comprehensive productivity suite with built-in security and device management features, Business Premium is likely the better option. However, if you have more than 300 users or anticipate rapid growth, E3 may be a better fit. 

Security and Compliance

If your organization has strict compliance requirements or needs advanced security features, Business Premium has a stronger set of included tools, but E3 provides a more viable upgrade path to E5 security and compliance. 




Business Premium is generally more affordable than E3, making it an attractive choice for cost-conscious SMBs. However, weigh the benefits of E3's advanced features against the additional cost to determine the best value for your organization.
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Request a 1-hour briefing with Interlink to determine which Microsoft 365 Plan

may be the right solution for your organization!