Which Dynamics 365 Licence
Do You Actually Need?
Microsoft's licensing structure is genuinely confusing. Names change, modules overlap, and most SMBs end up either overpaying for capabilities they don't use or under-licencing in ways that create compliance risk.
Independent advice only.Clearpath CRM is not a Microsoft reseller and earns no commission on licence recommendations.
Constant Renaming
Microsoft renames products regularly. Dynamics CRM became Dynamics 365, which then split into multiple specialized modules.
User Type Confusion
The 'Full User' vs 'Team Member' distinction is often misunderstood, leading businesses to buy expensive licences for read-only users.
Module Overlap
Sales, Customer Service, and Customer Engagement overlap significantly. Choosing the wrong starting point can double your costs.
The Licences Most SMBs Actually Need
Dynamics 365 Sales Professional
Full CRM for sales users. Core lead and opportunity management.
Dynamics 365 Sales Enterprise
Advanced AI features, sequence automation, and custom entities.
Dynamics 365 Customer Service Professional
Case management, knowledge base, and basic service portals.
Dynamics 365 Team Member
Read-only access + limited actions across app modules. Often overlooked.
Power Apps per-user plan
Full Dataverse access without a specific D365 app licence.
Licence prices change. Always verify current pricing at microsoft.com/en-gb/dynamics-365/pricing. View official Microsoft Dynamics 365 pricing (UK). The right licence depends on what each user actually does, not their job title.
Five Mistakes UK SMBs Make With D365 Licensing
Giving everyone a full Sales licence when half the team only needs to read records (Team Member covers this)
Paying for Dynamics 365 Sales Enterprise when Professional features are sufficient for their sales process
Overlicensing inactive or occasional users instead of reviewing quarterly
Not realising Power Apps per-user plan can replace a full D365 licence for some use cases
Missing the April 2026 Microsoft licensing changes. Structures are shifting and now is a good time to review
Independent Licensing Advisory
We are not a Microsoft reseller. We earn zero commission on licence sales. Our licensing advisory service exists because overspending on the wrong licences is one of the most common hidden costs we see in underperforming Dynamics 365 environments.
What We Do
- Audit your current licence assignment
- Identify users on wrong licence tier
- Model right-sized alternatives
- Provide a written recommendations report
- Liaise with your Microsoft reseller or CSP
Pricing
Licensing advisory is delivered through Enhancement Hour Banks, typically 2 to 4 hours.
Licensing Questions, Answered
Stop Overpaying for Licences You Don't Need
Get a clear, independent view of your Dynamics 365 licensing. Most reviews pay for themselves in the first month of savings.
Written and maintained by Martin Prosser, Microsoft Dynamics 365 specialist with over a decade of hands-on experience. Last reviewed: February 2026.