Navigating Microsoft’s Nonprofit Grant Changes

What You Need to Know Before Making a Move

Microsoft has announced that, as of July 1, 2025, it will end its nonprofit grant program for Microsoft 365 Business Premium and Office 365 E1 plans.* This change impacts many organizations that have relied on these free licenses to support their work. If you’re a nonprofit currently using these plans, it’s time to start planning your transition—and making informed choices about what comes next.

What’s Changing

After the deadline, Microsoft will no longer offer the free Business Premium and E1 grants. Instead, eligible nonprofits will have access to:

  • Up to 300 free licenses of Microsoft 365 Business Basic
  • Discounted pricing (up to 75% off) on Business Premium, Standard, and Enterprise plans*

While this might sound like a reasonable switch on the surface, not all plans are created equal—and going with the “free” option could leave your organization vulnerable.

Not All Licenses Offer the Same Protection

It’s tempting to default to the free Microsoft 365 Business Basic plan, but here’s the catch: Business Basic includes almost no advanced security features. That means no Microsoft Defender, no advanced threat protection, no mobile device management, and no compliance tools.

In today’s cybersecurity landscape, that’s not optional.

Here’s a brief comparison of common plans nonprofits might consider:

Plan Security Features Office Apps Email Hosting Recommended For
Business Basic ❌ Minimal Web only ✅ Not recommended (no security)
Business Standard ⚠️ Limited Desktop & web ✅ May suit low-risk orgs
Business Premium âś… Full Security Suite Desktop & web âś… Most nonprofit needs
Office 365 E1 ❌ Minimal (being retired) Web only ✅ Discontinued July 2025
Office 365 E3 âś… Enterprise-grade Desktop & web âś… Larger or regulated orgs

*Please consult your IT provider for full feature breakdowns.

While Business Premium and E3 include Microsoft’s most advanced built-in security features, it’s worth noting that some organizations—especially those with sensitive data or compliance requirements—may need even more protection.

Tools like Datto SaaS Protection or Azure/Entra Plan 2 are examples of supplemental solutions being used to guard against more complex threats like token theft and automation-based attacks.

At eKeeper, we’re monitoring this closely and will continue to provide clear guidance as the security landscape evolves.

4 Smart Steps to Get Ahead

  1. Assess your current usage – Take stock of your licenses, user count, and feature needs.
  2. Understand the real differences – Don’t just look at cost—look at the feature set and security implications.
  3. Create a transition plan – Ensure continuity with a timeline and budget before your grant expires.
  4. Get expert help – Work with an IT partner to ensure you’re making informed, secure choices.

eKeeper Is Already Helping Nonprofits Prepare

At eKeeper, we’ve already started reaching out to our nonprofit clients to help them prepare for this shift. Our team can:

  • Review your current licensing setup
  • Recommend the best plan for your needs and budget
  • Help you make the transition with minimal disruption
  • Provide ongoing support as your organization evolves

Final Thoughts

This change may feel frustrating—especially for those who’ve relied on Microsoft’s nonprofit support for years. But with the right plan in place, your organization can come out of this stronger, more secure, and better equipped for the future.

Have questions? We’re ready to help. Reach out to us today to start the conversation.


*Source: Microsoft Partner Center

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