What LA Non-Profits Need to Know

As a non-profit leader, you rely on grants and donated services like Microsoft 365 to keep your overhead low so you can maximize your impact. That's why a recent announcement from Microsoft requires your attention.

In short, Microsoft is changing its non-profit grant program. The free grant versions of Microsoft 365 Business Premium (10 free licenses), and Office 365 E1 are being discontinued.

The Microsoft 365 Business Premium and Office 365 E1 grant versions will be discontinued on the next renewal date on or after July 1, 2025.

This will directly affect your organization's budget and security. Here's what this means for you in plain English.

The Bottom Line: What Is Changing?

If your organization is currently using the free grant for Microsoft 365 Business Premium or Office 365 E1, that free ride is over.

To be direct: You will no longer receive those full-featured plans for free. If you want to keep the same level of service—including the desktop versions of Word and Excel and critical security features—you will now have to pay for it.

While Microsoft is offering a significant non-profit discount (up to 75%), this will still be a new, and likely unbudgeted, monthly cost for your organization.

What Are Your Options?

You have two main paths forward, each with significant trade-offs.

Option 1: Downgrade to the New Free Plan (Microsoft 365 Business Basic). Microsoft is now offering up to 300 licenses of its "Business Basic" plan for free. This plan includes email and the web and mobile versions only of Office apps like Word, Excel, and Outlook.

  • The Catch: This plan DOES NOT include the downloadable desktop versions of the Office apps your team likely uses every day. More importantly, it lacks the advanced security and device management features found in Business Premium, potentially leaving your donor data less protected.

Option 2: Pay for a Discounted Premium Plan. To keep the full desktop apps and the essential security features you have now, you will need to pay for a plan like Microsoft 365 Business Premium.

  • The Reality: This is the best option for maintaining security and avoiding disruption. However, it requires you to find room in your budget for a new monthly expense.

Why This Is About More Than Just a New Bill

This change presents three immediate risks to your non-profit:

  1. Security Risk: Downgrading to the free "Basic" plan could strip away security layers that protect you from ransomware and data breaches. For an organization handling sensitive donor information, this is a major step backward.
  2. Operational Disruption: Suddenly removing your team's access to the desktop Office apps they rely on can cause significant frustration and disrupt daily workflows, from grant writing to financial reporting.
  3. Budget Uncertainty: An unexpected monthly bill, no matter how discounted, can create stress and force difficult decisions about where to cut back.

What You Should Do Now: A 3-Step Plan

There's no need to panic, but you do need to act. Here is a clear path forward:

  1. Verify Your Current Plan: The first step is to confirm exactly which Microsoft 365 plan your organization is currently on. We can help you determine this in less than 15 minutes.
  2. Analyze Your Actual Needs: Do you need the advanced security of Business Premium? Do your employees rely on desktop apps? We'll help you conduct a quick, practical needs assessment to ensure you only pay for what is essential to your mission.
  3. Create a Clear Budget and Transition Plan: Based on your needs, we can calculate the exact monthly cost of the best-discounted plan for you. We will then create a smooth transition plan to ensure there is zero disruption to your team's work.

Let Us Handle This For You

We know that changes like this create uncertainty. Our job is to manage the technology headaches so you can stay focused on your mission. We are already helping other Los Angeles non-profits navigate this exact issue.

Contact us today for a free, no-obligation consultation to review your Microsoft non-profit plan and build a clear, responsible path forward.