Microsoft 365 vs Google Workspace: Which Is Right for Your Small Business?
3 March 2026
Microsoft 365 or Google Workspace? It's one of the most common questions small business owners ask when setting up their IT. Both platforms provide email, file storage, collaboration tools, and video conferencing. Both work. The differences are in the details.
Where Microsoft 365 Wins
Desktop applications. If your team uses Word, Excel, and PowerPoint regularly — real documents with complex formatting, spreadsheets with macros, presentations with precise layouts — Microsoft 365's desktop apps are significantly more capable than Google's web-based equivalents. Google Docs is fine for simple documents. For anything complex, Microsoft Office is still the standard.
Device and security management. Microsoft 365 Business Premium includes Intune (device management), Defender (endpoint protection), Conditional Access, and Microsoft Entra ID. That's a full security and management platform included in the licence — see our step-by-step Microsoft 365 setup guide. Google Workspace requires third-party tools for equivalent device management and endpoint protection.
Enterprise integration. If your clients, suppliers, or partners use Microsoft, you'll spend less time dealing with compatibility issues. Shared documents, Teams meetings, and email just work. Cross-platform collaboration between Google and Microsoft is possible but occasionally clunky.
Hybrid and on-premise. If you have any on-premise infrastructure (servers, Active Directory), Microsoft 365 integrates natively. Google Workspace was built cloud-first and doesn't have the same hybrid capabilities.
Where Google Workspace Wins
Simplicity. Google Workspace is easier to set up, easier to administer, and easier for non-technical users. The admin console is cleaner than Microsoft's, which is spread across multiple portals (Microsoft 365 admin centre, Entra admin centre, Defender portal, Intune, Exchange admin centre...).
Real-time collaboration. Google pioneered real-time document editing, and it still does it better. Multiple people editing a Google Doc simultaneously feels seamless. Microsoft's real-time co-authoring in Word has improved but still isn't as smooth.
Price. Google Workspace Business Starter is cheaper than Microsoft 365 Business Basic. For a team that only needs email, basic file storage, and video calls, Google is the more affordable option.
Chrome-based teams. If your team works entirely in a web browser and doesn't need desktop applications, Google Workspace feels more natural. It was designed for the browser first.
Our Recommendation
For most small businesses in the UK with 5-30 staff, Microsoft 365 Business Premium is the better choice — the security and management tools included in the licence would cost extra on Google, and compatibility with the wider Microsoft ecosystem matters for most business contacts.
The main exceptions:
- Very small teams (1–5 people) with no complex document needs and a tight budget: Google Workspace Business Starter is simpler and cheaper.
- Creative and design teams that work primarily on Macs and use Google's creative tools: Google Workspace often fits more naturally.
- Businesses already on Google with everything working well: switching costs time and money. If it's not broken, the case for migration needs to be strong.
Whichever you choose, the principles are the same: configure it properly from the start, enforce MFA, manage devices, and have a backup strategy. The platform matters less than how you use it.
Not sure where to start? Our IT support team can set either platform up properly for you.
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