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Small and medium business | Business Central, N...
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Microsoft Dynamics 365 Business Central Licensing Inquiry

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Posted on by 6

I am in the process of implementing Microsoft Dynamics 365 Business Central for my organization and would like clarification regarding the licensing requirements.

As per our discussion, I understand that mixing Essential and Premium licenses within the same Business Central tenant is not permitted. Specifically, if we require access to the Manufacturing or Service Management modules, all users (except Team Members) must be upgraded from Essential to Premium licenses.

However, I would like further confirmation on the following:

I appreciate your guidance on this matter and look forward to your response.

  1. Impact on Non-Premium Users – If certain employees, such as accountants, do not require Premium features, are they still required to have a Premium license if the organization opts for Premium?

  2. Alternative Solutions – Are there any cost-effective alternatives or role-based licensing models to minimize licensing costs while maintaining compliance?

I appreciate your guidance on this matter and look forward to your response.

 
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  • Verified answer
    Ben Baxter Profile Picture
    6,360 Super User 2025 Season 2 on at
    Microsoft Dynamics 365 Business Central Licensing Inquiry
    Verbiage is key here.  The rule is Users within a single Company (not Tenant) cannot split license types.
     
    If a Business Central environment has two companies within it:
    • The first company which is using Manufacturing with the Premium capabilities enabled can only be accessed by Users with a Premium license.
    • If the second company, on the same tenant, same environment, is only using the accounting (Essentials) capabilities and DOES NOT have Premium enabled, can be accessed by users with either Essentials OR Premium license.
    So unfortunately, the accounting only Users cannot utilize the Manufacturing enabled company.  That being said, if you have users doing analytics or reporting, a Team Member license would enable them to access both companies, but they would not be able to input data.
     
    If it is a single company environment, if Premium is enabled all Users need to have a Premium or Team Member license.
     
    Best Regards,
    Ben Baxter
    Accent Software Inc
  • Suggested answer
    Steven Renders Profile Picture
    5,658 Moderator on at
    Microsoft Dynamics 365 Business Central Licensing Inquiry
    For information about the different types of licenses and how licensing works in Business Central, see the Dynamics 365 Licensing Guide, which you can download from https://go.microsoft.com/fwlink/?LinkId=866544
     
    Here's some documentation:

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