How Much Does It Cost To Get A SharePoint License?

How Much Does It Cost To Get A SharePoint License

Wondering how much does a SharePoint license cost? You have landed in the right place. SharePoint is an amazing product from Microsoft and offers a plethora of features and benefits for businesses of all sizes. But before you use it, it’s important to learn the associated expenses, including license fees, hardware costs, and the price of any additional tools you may be using.  

First, let’s see how much it will cost you to get a license for MS SharePoint. 

1. SharePoint Online Plans

SharePoint Online is often bundled with Microsoft 365 subscriptions. Here are some key plans:

Microsoft 365 Business Basic:

  •   SharePoint Online (Plan 1) included.
  •   Core collaboration features.
  •   Costs start at $5 per user per month.

Microsoft 365 Business Standard:

  •   SharePoint Online (Plan 1) included.
  •   Additional business productivity tools.
  •   Costs start at $12.50 per user per month.

Microsoft 365 Apps for Business:

  •   SharePoint Online (Plan 1) included.
  •   Full Office applications.
  •   Costs start at $8.25 per user per month.

Microsoft 365 Enterprise Plans:

  •   SharePoint Online (Plan 1 or 2) is included, depending on the specific plan.
  •   Advanced security and compliance features.
  •   Costs vary based on the specific Enterprise plan chosen.

2. SharePoint Server Licensing

In-house and On-premise SharePoint are two terms used for the same thing, and they represent a scenario where your data center resides within your office premises. To set up an in-house SharePoint, you will need to buy and install a server and configure it with your preferred SharePoint version. Here’s a breakdown of the SharePoint Server Licensing costs:

SharePoint Configuration:

  • SharePoint Foundation License: Free of charge
  • Standard CAL (Client Access License): $180 per license
  • Enterprise CAL (Client Access License): $90 per license (One-Time Purchase)
  • SharePoint Server License: $5,000 per Virtual Machine/Server

Here’s how you can calculate the cost of SharePoint on-premise installation.

If you opt for SharePoint Foundation, you won’t have to spend a penny on the license since it’s free for all, and unlimited users can access it.  

But, if you choose SharePoint CAL you will need to specify the number of servers you will need in your farm. The least number of servers is 2, and it is the basic configuration for a SharePoint farm, where you have a two-tier architecture with a web front-end (WFE) server and a database server. However, if you want superior performance, you can always add more servers. 

   Optimizing Farms and Users:

  • Let’s consider a SharePoint Server deployment with 4 servers in your farm.
  • For a small to medium-sized enterprise, we can assume 50 users accessing SharePoint.

Cost Breakdown:

  • SharePoint Server Cost (for 4 servers): $5,000 multiplied by 4 = $20,000
  • Enterprise CAL Cost (for 50 users): $180 multiplied by 50 = $9,000

Combined Cost:

Summing up SharePoint Server and CAL Costs: $20,000 (Servers) + $9,000 (CALs) = $29,000

This example illustrates how you can manage your SharePoint licensing cost by adjusting the number of servers and users. 

3. SharePoint Managed Services

Another great way to leverage SharePoint is to get SharePoint-managed services from a third-party vendor. This way, you can enjoy hassle-free installation, management, and guidance from SharePoint experts. The best thing about using this type of SharePoint is it is completely secure and gives you full authorization of your database. Costs will differ for each vendor, so we advise you to do a thorough research to get the best of best.  

Are There Any Hidden Costs?

Learning just about the SharePoint licensing cost isn’t enough to finalize your budget. Once you plan to implement an on-premise SharePoint platform or use SharePoint online, there are other expenses that will incur, and you should be aware of them. Here is a list of some additional costs that you will need to take into account before you finalize the total project cost:   

  • The cost of hardware
  • Backup and disaster recovery 
  • SharePoint Administrator
  • Licenses for SQL
  • Add-ons from third parties
  • Other tools for management

We’re here to help you

Using SharePoint can be expensive or affordable, depending on your specific requirements and the organization’s workflows. You have to decide what features or options are essential for your organization and which ones you’re willing to give up. You can consult with different vendors for SharePoint license costs to make things easy for yourself. But remember that the pricing can vary from vendor to vendor, depending on their licenses and agreements with Microsoft.

Implementing SharePoint can turn out to be quite complicated, and since it’s a one-time job, it’s essential to make the right decision. Awesome Technologies Inc. is well-known in the industry for its SharePoint services. We offer SharePoint development, branding, customization, and automation. Get help from our SharePoint geeks and ensure your business gets the right service every time. To connect, call 877-284-4968.


Also Read: 15 Benefits and Features of Microsoft SharePoint



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