Understand subscriptions and licenses in Microsoft 365 for business

When you buy a subscription to Microsoft 365 for business, you sign up for a set of apps and services that you pay for on a recurring basis. The applications and services that you receive as part of your subscription depend on which product you purchased, such as Microsoft 365 Apps for Business or Microsoft 365 Business Standard. When you buy a subscription, you specify the number of licenses that you need, based on how many people you have in your organization. After you buy a subscription, you create accounts for people in your organization and then assign a license to each person. As your organizational needs change, you can buy more licenses to accommodate new people or reassign licenses to other users when someone leaves your organization.

If you have more than one subscription, you can assign licenses to different people for each subscription. For example, you can assign all of your users to all Microsoft 365 apps and services as part of a Microsoft 365 Business Standard subscription. You can also assign a subset of users to Visio Online through a separate Visio subscription.

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