Your Microsoft 365 Nonprofit Grant Is Changing: Here’s How to Prepare
Why Does This Matter?
Starting July 1, 2025, Microsoft is retiring its free grants for Microsoft 365 Business Premium and Office 365 E1. If your nonprofit relies on these licenses, you could face serious disruptions unless you take action now.
We’ve broken down what’s changing, what to do, and how to plan your transition – or better yet, join our free webinar on July 30 to get expert guidance.
What’s Changing? When?
- Microsoft will no longer offer free grants for: Microsoft 365 Business Premium (previously free for up to 10 users), or Office 365 E1 (previously available for thousands of users under enterprise agreements)
- Transition timing depends on your current renewal date. Changes take effect at your next license renewal after July 1, not immediately.
- You’ll have 30 days of access, 60 days of read-only mode, and then data deletion if no paid license is added.
- You can still access Business Premium and E1 at deep nonprofit discounts (up to 75% off)—but they’re no longer free.
Who’s Affected & What’s at Stake
- Roughly 400,000 nonprofits globally are expected to be impacted, with over 4 million users currently receiving these grant licenses.
- Smaller nonprofits (budgets <$500k/year) are most vulnerable, especially if they rely heavily on desktop Office apps, Outlook, and Teams.
You Could Lose:
- Access to Microsoft Word, Excel, PowerPoint desktop apps
- Microsoft Teams meetings and collaboration tools
- Device and app management (Intune, Defender)
- Data loss prevention, compliance, and security controls
What’s Still Free or Discounted
Still Free:
- Microsoft 365 Business Basic (up to 300 users) Includes Teams, Outlook Web, Office web apps, OneDrive, SharePoint.
Discounted:
- Microsoft 365 Business Premium
- Office 365 E1, E3, or E5 (under nonprofit pricing)
Choosing the Right Plan
Use your licensing based on need:
- Business Basic: For users who only need web/email access
- Business Premium: For staff who need desktop apps, enhanced security, or device management
- Office 365 E1: For larger orgs needing enterprise-scale functionality
- Mix licenses to reduce cost – assign premium licenses only where needed
What to Do Now
- Audit your current licenses and renewal dates
- Segment users by needs – not everyone requires full desktop functionality
- Estimate costs using nonprofit pricing
- Prepare for data backup and migration
- Build a hybrid license strategy
- Book a free consultation to guide your plan
Join Our Free Webinar
- 📅 Date: July 30
- 🕑 Time: 2:00–3:00 PM ET
- 🎯 Topic: “Your Microsoft 365 Nonprofit Grant Is Changing – Now What?”
- 🎤 Speakers: Experts from Maureen Data Systems & Ingram Micro
- 🎁 Bonus: Free 1:1 consultations + live competition and giveaway
