How much does Copilot cost for a small business?
By the InTheory team · Updated November 2026
Microsoft 365 Copilot Business is listed at $21 per user per month on an annual commitment, or about $25.20 on a monthly commitment, for businesses up to 300 users. It requires a qualifying Microsoft 365 business plan, and Microsoft runs promotions at times, so check current pricing. Copilot Chat is included with eligible subscriptions at no extra cost.
What the license covers
The paid license adds Copilot inside Word, Excel, PowerPoint, Outlook and Teams, grounded in your work data, plus prebuilt agents and usage analytics. The free Copilot Chat option covers web-based chat with enterprise data protection but without the deeper connection to your files and email. Microsoft also sells bundles that combine a business plan and Copilot.
Budgeting sensibly
You do not need to license everyone on day one. For example, a 40-person firm might license 8 people who write and summarize most, measure time saved for 60 days, then decide on more seats. At list price that pilot costs about $2,000 a year in licenses.
Budget time for preparation too. Copilot can surface any file a user has permission to see, so review SharePoint and OneDrive sharing before rollout. Then train users on real tasks and check usage reports. InTheory can lead that pilot, from permissions review to the day-90 comparison.