What Is Microsoft Teams?
Microsoft Teams is a communication and collaboration platform that combines chat, video meetings, file storage, and app integrations in one place.
If you're paying for Microsoft 365 Business Basic (£4.50/user/month) or higher, you already have Teams included. Many small businesses are paying for it without realising—or without using it properly.
According to Microsoft's 2024 Work Trend Index, Teams has over 320 million monthly active users worldwide. It's become the default collaboration tool for businesses using Microsoft 365.
Why Small Businesses Should Care
You're Probably Already Paying for It
If you have Microsoft 365 Business Basic, Business Standard, or Business Premium, Teams is included. That's software you're paying for but might not be using.
Microsoft 365 plans that include Teams:
- Business Basic: £4.50/user/month
- Business Standard: £9.40/user/month
- Business Premium: £16.60/user/month
It Replaces Multiple Tools
Teams can replace several separate subscriptions:
- Slack or similar: Team messaging
- Zoom or similar: Video conferencing
- Shared drives: File storage and collaboration
- Project boards: Task management (with Planner integration)
Consolidating tools saves money and reduces the friction of switching between applications.
It Integrates with What You Already Use
Teams works seamlessly with:
- Outlook (calendar and email)
- Word, Excel, PowerPoint (edit documents together)
- SharePoint (file storage)
- OneDrive (personal files)
If you're already in the Microsoft ecosystem, Teams is the natural hub.
Setting Up Teams for Your Business
Step 1: Access Teams
If you have Microsoft 365, you can access Teams immediately:
Web version: Go to teams.microsoft.com and sign in with your Microsoft 365 account
Desktop app: Download from microsoft.com/teams (recommended for best experience)
Mobile app: Available on iOS and Android app stores
The desktop app offers the best experience, especially for video calls. Install it on every computer in your business.
Step 2: Create Your First Team
A 'Team' in Microsoft Teams is a group of people working together. For a small business, you might have:
- Company-wide team: Everyone in the business
- Department teams: Sales, Operations, etc.
- Project teams: Specific client projects or initiatives
To create a team:
1. Click 'Teams' in the left sidebar
2. Click 'Join or create a team' at the bottom
3. Choose 'Create team'
4. Select 'From scratch'
5. Choose Private (invitation only) or Public (anyone in organisation can join)
6. Name your team and add a description
7. Add members
For small businesses: Start simple. One company-wide team is often enough initially. Add more as needs become clear.
Step 3: Set Up Channels
Within each team, channels organise conversations by topic. Every team starts with a 'General' channel.
Useful channels for small businesses:
- General (for company-wide announcements)
- Random or Social (for non-work chat)
- Projects (or separate channels per major project)
- IT Help (for tech questions)
- Sales or Client Updates
Channel tips:
- Keep channel names short and clear
- Don't create too many channels initially—you can always add more
- Use channel descriptions to explain what each is for
Step 4: Invite Your Team
Add team members by:
1. Opening the team
2. Clicking the three dots (...) next to the team name
3. Selecting 'Add member'
4. Typing their email address
They'll receive an email invitation and can start using Teams immediately.
Essential Features to Know
Chat vs Channels
Channels: Public conversations visible to everyone in the team. Use for discussions that benefit from visibility and searchability.
Chat: Private conversations between specific people. Use for quick questions, sensitive topics, or conversations that don't need to be public.
Rule of thumb: If others might benefit from seeing the conversation later, use a channel. If it's just for specific people, use chat.
@Mentions
Use @ to get someone's attention:
- @Name: Notifies a specific person
- @Team: Notifies everyone in the team
- @Channel: Notifies everyone who follows that channel
Use @mentions sparingly. If everything is urgent, nothing is urgent.
File Sharing
Every channel has a 'Files' tab where you can:
- Upload documents
- Create new Office documents
- Collaborate in real-time
Files shared in Teams are stored in SharePoint, giving you:
- Version history
- Access control
- Backup and recovery
Tip: Use Teams for collaboration, not just storage. Create documents directly in Teams to enable real-time co-authoring.
Meetings
Teams handles video meetings excellently:
Scheduling meetings:
- From Teams: Calendar > New meeting
- From Outlook: New meeting > Add Teams meeting
- Instant meetings: Click 'Meet now' in any channel or chat
Meeting features:
- Screen sharing
- Recording (with transcription)
- Virtual backgrounds
- Breakout rooms
- Live captions
For small businesses: The meeting quality rivals Zoom, and it's already included in your subscription.
Getting Your Team to Actually Use It
The hardest part of any new tool is adoption. Here's how to make it stick:
Lead by Example
If leadership uses Teams actively, others will follow. Start conversations there, share updates there, ask questions there.
Replace, Don't Add
Teams should replace existing communication, not add another channel to monitor. If you're still sending important updates via email, people will keep checking email and ignore Teams.
Commit to:
- Company announcements go in Teams
- Quick questions go in Teams chat, not email
- Meetings are scheduled with Teams
Set Expectations
Tell your team:
- Which communications should go where
- Expected response times
- How to handle urgent matters
Example guidelines:
- Non-urgent: Post in relevant channel, expect response within 24 hours
- Somewhat urgent: Direct chat message, expect response within 4 hours
- Urgent: Phone call or urgent tag in message
Provide Training
Most people need a bit of guidance. Options:
- Microsoft's free training videos at support.microsoft.com
- A 30-minute team walkthrough
- A written quick-start guide
- Designate a 'Teams champion' who can answer questions
Be Patient
Behaviour change takes time. Expect 2-4 weeks of adjustment. Don't give up after a few days if people forget to check Teams.
Common Mistakes to Avoid
Too Many Teams and Channels
Creating teams and channels for everything fragments conversations. Start minimal and add structure as needed.
Better approach: One team per 10-20 people maximum. Fewer channels, more focused.
Ignoring Notifications
Teams notifications can be overwhelming. Help your team configure them properly:
- Settings > Notifications
- Reduce noise from less important channels
- Ensure important mentions aren't missed
Using Teams for Everything
Teams is excellent for collaboration, but some things are better elsewhere:
- Long-form documents: Write in Word, share via Teams
- Complex spreadsheets: Use Excel with occasional Teams links
- Formal external communication: Email remains appropriate
Forgetting Mobile Users
Some team members may be out of the office frequently. Ensure they:
- Have the mobile app installed
- Know how to receive notifications
- Can join meetings from their phones
Security Basics
Teams security is handled through Microsoft 365, but some basics:
What you should do:
- Ensure all users have strong passwords
- Enable multi-factor authentication (MFA)
- Review who has access to each team periodically
- Don't share Teams meeting links publicly
What Microsoft handles:
- Data encryption in transit and at rest
- Compliance with GDPR and UK data protection
- Security updates and patches
The National Cyber Security Centre provides guidance on securing Microsoft 365 at ncsc.gov.uk.
Costs and Licensing
Teams is included in most Microsoft 365 business subscriptions:
| Plan | Price (per user/month) | Teams Included | Other Features |
|---|---|---|---|
| Business Basic | £4.50 | Yes | Web Office apps, 1TB OneDrive |
| Business Standard | £9.40 | Yes | Desktop Office apps, webinars |
| Business Premium | £16.60 | Yes | Advanced security, device management |
Free version: A free Teams version exists with limitations (no recording, smaller meeting capacity). For business use, the paid versions are worth it.
Tip: If you're currently using Microsoft 365 Apps (£8.25/user/month, formerly Office 365 ProPlus), it doesn't include Teams. Consider switching to Business Standard for similar price with Teams included.
Integration with Other Tools
Teams connects with hundreds of apps. Useful integrations for small businesses:
Built-in Microsoft:
- Planner (task management)
- Forms (surveys and polls)
- Power Automate (workflow automation)
Third-party:
- Trello (if you prefer it to Planner)
- Salesforce (CRM updates in Teams)
- Adobe Creative Cloud (design collaboration)
- Xero/QuickBooks (accounting notifications)
Add apps via the Apps icon in the left sidebar.
Measuring Success
How do you know if Teams adoption is working?
Good signs:
- Email volume decreases
- Fewer interruptions for quick questions
- Documents are being co-edited
- Meetings are happening in Teams
- Team members ask questions in channels
Warning signs:
- Important info still going via email
- Teams messages going unanswered
- People creating separate WhatsApp groups
- Complaints about 'yet another tool'
Microsoft 365 admin centre provides usage reports showing Teams activity across your organisation.
The Bottom Line
Microsoft Teams isn't just another communication tool—it's a platform that can genuinely improve how your small business works together.
The key is thoughtful setup and committed adoption. Start simple, lead by example, and give your team time to adjust.
You're already paying for it. You might as well use it properly.
