If your nonprofit relies on Microsoft’s free Office 365 or Microsoft 365 licenses, change is coming—and fast.
On July 1, 2025, Microsoft will officially end its free Microsoft 365 Business Premium and Office 365 E1 grant programs for nonprofits. If your organization operates in Austin, TX or anywhere in Central Texas, now is the time to prepare so your team doesn’t face service interruptions, unexpected costs, or lost data.
As an experienced IT company in Austin, we work closely with nonprofit organizations to ensure technology supports your mission, not hinders it. Here’s what you need to know.
What’s Changing with Microsoft’s Nonprofit Licensing?
Microsoft is phasing out the free grant licenses for:
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Microsoft 365 Business Premium
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Office 365 E1
After July 1, 2025, these licenses will not be renewed. If your nonprofit is using them today, they’ll expire on your renewal date after that deadline.
Instead, Microsoft is shifting to:
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Up to 300 free licenses of Microsoft 365 Business Basic
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Deep discounts (up to 75%) for upgraded plans like Microsoft 365 Business Premium
If your team uses advanced security features, desktop apps, or compliance tools, Business Basic may not cover your needs.
What Does This Mean for Austin Nonprofits?
Nonprofits in Austin and surrounding areas need to act before their renewal date to:
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Avoid downtime from expired licenses
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Prevent data loss during the 30-day grace and 60-day deletion period
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Ensure email, file storage, and Teams access remain uninterrupted
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Take advantage of Microsoft’s 75% discounts on advanced plans like Business Premium
The Bottom Line: Don’t Wait Until It’s Too Late
The Microsoft 365 grant helped thousands of nonprofits run secure, cloud-based operations. Losing that grant without a plan could disrupt your communications, data security, and productivity.
At CTTS, we’ve helped dozens of nonprofits across Austin and Central Texas modernize their IT while staying within budget. We’ll help you:
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Review your current Microsoft licensing
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Identify cost-effective upgrade paths
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Transition to the right plan before your grant expires
Get started today with a free Microsoft 365 assessment.
Call us at (512) 388-5559 or visit www.CTTSonline.com to schedule your consultation.
FAQs About Microsoft 365 Nonprofit Licensing Changes
Q1: What happens if my nonprofit does nothing before July 1, 2025?
If you don’t transition, your grant will expire at your next renewal after July 1. You’ll lose access 30 days after that date and risk permanent data deletion after 60 days.
Q2: What’s the difference between Microsoft 365 Business Basic and Business Premium?
Business Basic includes web-based apps and basic cloud tools. Business Premium includes full desktop apps, security, device management, and support for remote teams.
Q3: Can CTTS help nonprofits outside of Austin, TX?
Yes! While we’re based in Austin, we support nonprofits across Central Texas with IT consulting, Microsoft licensing, cybersecurity, and cloud services.
Let’s protect your mission with the right tools before the grant disappears.
Contact CTTS today for IT support and managed services in Austin, TX. Let us handle your IT so you can focus on growing your business. Visit CTTSonline.com or call us at (512) 388-5559 to get started!