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Types of Microsoft Office Licenses: Complete Guide for Home, Business, and Enterprise Users

Microsoft Office is one of the most widely used software suites in the world. From personal productivity to enterprise collaboration, it offers tools like Wo...

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Bison Technical Team Enterprise IT specialists
Updated 04 Jul 2025 2 min read 1,206 total views

Microsoft Office is one of the most widely used software suites in the world. From personal productivity to enterprise collaboration, it offers tools like Word, Excel, PowerPoint, Outlook, and more. But when it comes to licensing, Microsoft provides several options to fit different users' needs — whether you're an individual, small business, or large organization.

Here’s a complete guide to the various types of Microsoft Office licenses available:

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? 1. Microsoft 365 Personal

  • License Type: Subscription (Yearly or Monthly)

  • Users: 1 user

  • Devices: Up to 5 devices

  • Includes: Word, Excel, PowerPoint, Outlook, 1 TB OneDrive

  • Best For: Individual users


? 2. Microsoft 365 Family

  • License Type: Subscription

  • Users: Up to 6 users

  • Devices: Each user can install on multiple devices

  • Includes: All Office apps + OneDrive + Family Safety tools

  • Best For: Households and families


? 3. Microsoft 365 Business Basic

  • License Type: Subscription (Cloud-based only)

  • Includes: Online Office apps, Microsoft Teams, OneDrive

  • No Desktop Apps

  • Best For: Businesses needing collaboration tools and cloud email


? 4. Microsoft 365 Business Standard

  • License Type: Subscription

  • Includes: Full Office apps (Word, Excel, Outlook, etc.) + Microsoft Teams

  • Best For: Small to medium businesses


? 5. Microsoft 365 Apps for Business

  • License Type: Subscription

  • Includes: Desktop Office apps only (no email or Teams)

  • Best For: Businesses that already have email and need Office only


? 6. Microsoft Office Home & Student 2021

  • License Type: One-time purchase (Perpetual license)

  • Users: 1 PC or Mac

  • Includes: Word, Excel, PowerPoint

  • Best For: Students or home users without cloud features


? 7. Microsoft Office Home & Business 2021

  • License Type: One-time purchase

  • Includes: Word, Excel, PowerPoint, Outlook

  • Best For: Small businesses and professionals needing Outlook


? 8. Microsoft 365 Enterprise (E1, E3, E5)

  • License Type: Subscription (Enterprise-level)

  • Includes: All apps, enterprise email, security, compliance, Power BI

  • Best For: Large organizations and corporations


? Summary:

License NameSubscriptionApps IncludedCloud FeaturesUsers
Microsoft 365 PersonalFull1
Microsoft 365 FamilyFullUp to 6
Office Home & Student 2021❌ (One-time)Word, Excel, PPT1 PC/Mac
Office Home & Business 2021❌ (One-time)Includes Outlook1 PC/Mac
Microsoft 365 Business BasicWeb apps onlyPer user
Microsoft 365 Business StdFull + CloudPer user
Microsoft 365 Apps BusinessFull onlyPer user
Microsoft 365 EnterpriseFull suiteEnterprise

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