Charities and nonprofit organisations operate under tight budgets yet manage critical services, sensitive data, and stakeholder expectations. Securing and enabling productivity tools—without overspending—is essential. Fortunately, Microsoft offers special licensing programs tailored for nonprofits that deliver access to Office apps, cloud services, and enterprise features at greatly reduced cost—or sometimes free.
In this post, we explain how Microsoft nonprofit licensing works, eligibility criteria, the most useful offerings, and best practices for charities to get the most value.
Why Microsoft offers Nonprofit Licensing
Microsoft recognises that not all organisations have equal financial resources, causing many to struggle with licensing costs. By offering discounted or donated licenses to eligible Registered Charities and Nonprofit Organisations, Microsoft enables access to the same enterprise-grade tools used by corporations—helping them operate efficiently, securely, and competitively.
Key goals behind these programs are:
- Ensuring smaller organisations can maintain modern IT infrastructure
- Promoting digital inclusion in community and social sectors
- Supporting transformation and innovation in fields such as education, healthcare, and social services
Who qualifies and how to become eligible
Not every organisation automatically qualifies. To get nonprofit or charitable pricing, an organisation generally must:
- Be registered as a charity or nonprofit in its jurisdiction (e.g., recognized by HMRC in the UK, IRS in the US).
- Meet Microsoft’s eligibility guidelines (nonprofit status, not-for-profit mission, appropriate documentation).
- Apply through Microsoft’s Nonprofit Portal or an authorised Microsoft partner.
- Maintain ongoing compliance (e.g. use licenses only for nonprofit purposes, periodic verification).
Once accepted, your organisation gains access to discounted, donated, or subsidised Microsoft licenses.
Key Microsoft nonprofit licensing offers
Microsoft Plan | What’s Included | Use Cases & Tips |
Microsoft 365 Business Basic (Nonprofit / Donated Tier) | Web & mobile Office apps + Exchange email + OneDrive storage | Excellent for small organisations or remote staff needing email and collaboration without full desktop Office |
Microsoft 365 Business Standard (Nonprofit discounted) | All Basic features + Desktop Office apps (Word, Excel, PowerPoint, etc.) | Ideal for organisations requiring local Office applications on devices |
Microsoft 365 Business Premium (Nonprofit discounted) | Standard features + Intune, Defender, device management | Useful for nonprofits with tighter security, device management, or remote/mobile staff |
Office 365 E1 / E3 / E5 for Nonprofits | Enterprise-class features, compliance tools, advanced security | Appropriate for large nonprofits with complex IT or regulatory needs |
Dynamics 365 Nonprofit Deals / Power Platform | Tools for fundraising, CRM, data analytics | Great for managing donor databases, program tracking, and data insights |
Note: Some licences are donated (free) for eligible nonprofits, especially at lower tiers. Others are offered at heavily discounted rates. Microsoft’s nonprofit pricing sometimes allows up to 300 users for donated tiers.
Key Microsoft Nonprofit Licensing Offers
Licence Plan | Nonprofit / Charity Price* | Key Features / Notes |
Microsoft 365 Business Basic (Nonprofit Grant / Donated) | Free for up to 300 users | Web & mobile Office apps, Exchange email, OneDrive storage, Teams, SharePoint; no desktop Office apps |
Microsoft 365 Business Standard (Nonprofit Discounted) | £2.30 per user / month (UK) | Includes everything in Basic + desktop Office apps (Word, Excel, PowerPoint, Outlook, etc.) |
Microsoft 365 Business Premium (Nonprofit Discounted) | £4.20 per user / month (UK) | Standard features + device management (Intune), advanced security tools, endpoint protection |
Microsoft 365 Business Standard (US Nonprofit Rate) | $3.00 per user / month | Similar to UK Standard plan but US pricing; includes desktop apps, cloud services |
Microsoft 365 Business Premium (US Nonprofit Rate) | $5.50 per user / month | Adds security and device management features on top of Standard set |
*Prices exclude VAT / tax and are based on publicly available nonprofit rates as of 2025.
Benefits beyond cost savings
Choosing nonprofit licensing provides more than just financial relief.
Some added advantages are:
- Access to enterprise-level security and compliance features (e.g., data loss prevention, encryption, audit logs)
- Scalability as your organisation grows
- Support and training offers from Microsoft or partner networks
- Integration with other Microsoft services (Power Platform, Teams, SharePoint) using consistent licensing
These benefits help nonprofits behave more like professional enterprises—but at a reduced cost.
Best practices when using nonprofit Microsoft licences
To get the most from your nonprofit licensing:
- Audit existing usage before applying: know how many users, what workloads, and future needs
- Choose the right mix: mix donated and paid licences if necessary (e.g., advanced security features may require paid tiers)
- Stay compliant: only use the licenses for nonprofit operations; avoid mixing for-profit usage
- Document validation and renewal: Microsoft may require re-verification or audits periodically
- Train your staff: make sure users know how to access features and avoid underutilising paid tools
- Plan upgrades thoughtfully: as your organisation scales, you may need to move to higher tiers
How Creative Networks helps nonprofits
At Creative Networks, we specialise in guiding charities and nonprofit organisations through Microsoft licensing, adoption, and management.
Our services include:
- Eligibility review and Microsoft nonprofit registration assistance
- Licensing advisory: choosing the right mix of donated vs discounted licences
- Deployment and migration of Microsoft 365, Office 365, Dynamics, Teams, SharePoint
- Training, support, and change management for staff
- Security & compliance alignment (GDPR, nonprofit regulatory frameworks)
- Ongoing license monitoring and renewal handling
Let us take the complexity out of nonprofit licensing so you can focus on mission, not IT overhead.
