An honest comparison of Microsoft 365 and Google Workspace for small businesses, covering apps, collaboration, security, cost, migration and how to choose.
Microsoft 365 and Google Workspace are the two platforms most small businesses run on. Both give you professional email on your own domain, calendars, file storage, video meetings and document editing. Both are secure and reliable when set up properly. So which should you choose?
We support businesses on both, and we don’t have a favourite. The right choice depends on the software your team and clients use, how you like to work and what you already have. Here’s how they compare in practice.
The short answer
- Choose Microsoft 365 if your team relies on the desktop versions of Excel, Word or Outlook, exchanges complex Office files with clients, uses industry software that integrates with Microsoft, or wants strong built-in device management.
- Choose Google Workspace if your team works mostly in a web browser, values simplicity and real-time collaboration, uses Chromebooks, or doesn’t depend on advanced Office features.
If you’re already on one and it’s working, switching is rarely worth the disruption unless there’s a clear reason.
Core apps
Microsoft 365
Microsoft 365 includes the familiar Office apps (Word, Excel, PowerPoint and Outlook) as full desktop applications on most business plans, plus web and mobile versions. It also includes Teams for chat and meetings, OneDrive for personal files, SharePoint for shared document libraries and Exchange Online for email.
The desktop apps are the big differentiator. Advanced Excel models with macros, Power Query and complex formulas, heavily formatted Word documents, and Outlook’s email handling all work best in the desktop versions.
Google Workspace
Google Workspace is built for the browser. Gmail, Calendar, Drive, Docs, Sheets, Slides and Meet all run on the web, with mobile apps as well. There’s nothing to install and everything updates automatically.
Docs and Sheets handle most everyday business work well, and they’re excellent for collaboration. However, very complex spreadsheets or documents with detailed formatting can lose fidelity when converted from Office formats.
Collaboration
Both platforms let multiple people edit the same document at the same time.
Google was built around real-time collaboration from the start, and it shows. Sharing a document and editing together feels natural, comments and suggestions are simple, and there’s less confusion about which version is current.
Microsoft 365 has closed much of the gap. Co-authoring works well in Word, Excel and PowerPoint, especially when files live in OneDrive or SharePoint. Teams also brings chat, meetings and files together in one place, which suits businesses that want a central hub for projects and departments.
Email and calendar
Outlook is powerful and familiar to many people, particularly anyone who has worked in a corporate office. It handles large mailboxes, shared mailboxes, delegated calendars and rules very well.
Gmail’s search is excellent, and its labels and filters work well for people who like to organise that way. Some people who are used to Outlook find the change takes a little adjustment. Gmail can also be used through Outlook if needed, though that works best as a transition rather than a long-term setup.
File storage and organisation
In Microsoft 365, personal files live in OneDrive and shared company files usually live in SharePoint document libraries, often surfaced through Teams. This structure is flexible and powerful, and it can replace a traditional office file server. It does need thoughtful setup, or it becomes confusing.
In Google Workspace, shared drives hold company files and belong to the organisation rather than to individuals, which is useful when staff leave. Drive’s simplicity is a strength, though very large or deeply structured file collections can be harder to manage.
Security and management
Both platforms offer strong security when configured properly, including multi-factor authentication, alerting, data loss prevention and retention on appropriate plans.
Microsoft’s business plans that include Intune and Defender provide deep management of Windows laptops, phones and apps, plus advanced threat protection, which is a real advantage for businesses that want to manage devices centrally. Google offers endpoint management too, and pairs particularly well with Chromebooks.
On either platform, the biggest risk is poor configuration: MFA not enforced, admin accounts unprotected, external sharing wide open. The platform matters less than how it’s set up and maintained.
Cost
Both platforms are priced per user per month, with several plan levels. Prices change over time and vary by plan, so compare current pricing directly on each provider’s website. In practice:
- The lowest plans on both platforms are close in price but differ in what’s included, especially desktop apps and storage.
- Microsoft plans that include device management and advanced security cost more but can replace separate tools you’d otherwise buy.
- Many businesses can mix plan levels, giving different people different licences based on what they need.
Eligible nonprofits can often get free or discounted licences on both platforms.
Backups: the same answer for both
Neither Microsoft nor Google is a replacement for your own backups. Both keep their services running, but deleted or overwritten data is only recoverable for a limited time. A separate cloud-to-cloud backup protects against accidental deletion, departing employees and ransomware on either platform. Read more in our guide to the 3-2-1 backup rule.
Migrating between them
Moving from one platform to the other, or from an old email host, is very doable. Email, calendars, contacts and files can all be migrated, usually in the background, with a final switch outside business hours.
The trickier parts are usually not the data itself but everything around it: training people on the new tools, reconnecting third-party apps that log in with your old accounts, converting complex documents and updating phones. Planning those details is what makes a migration go smoothly.
How to decide
Ask yourself these questions:
- Do people rely on advanced desktop Excel, Word or Outlook features? If yes, lean toward Microsoft 365.
- Do your clients or partners send you complex Office files that must stay perfectly formatted? If yes, lean toward Microsoft 365.
- Does your industry software integrate with one platform? Check with the vendor.
- Does your team mostly work in a browser, or use Chromebooks? If yes, Google Workspace is a strong fit.
- Do you want central management of Windows laptops and phones? Microsoft 365 business plans with Intune are very capable.
- What are people already comfortable with? Familiarity reduces training time and frustration.
Need help choosing or switching?
We set up, migrate and manage both platforms for businesses across Metro Vancouver, and we’ll give you a straight recommendation for your situation. Learn more about our Microsoft 365 and Google Workspace services or get in touch.
