3 Best Microsoft 365 Alternatives for Small Teams (2026)
Microsoft 365 averages $6/user/month. Below are 3 hand-picked alternatives (3 of them free or open-source) with verified pricing and honest pros and cons. Ranked by potential savings.
Quick pick
If you’re short on time, the best free pick is LibreOffice + Nextcloud (Open source) — Full office suite (docs, sheets, slides) with cloud storage via Nextcloud. Collabora Online for web editing.
For a deeper read, scroll the full list below. Each entry covers price, what type of alternative it is, and the official website.
All 3 alternatives, ranked by savings
- #1
LibreOffice + Nextcloud
Open sourceFree · saves 100% vs Microsoft 365Full office suite (docs, sheets, slides) with cloud storage via Nextcloud. Collabora Online for web editing.
libreoffice.org ↗ - #2
ONLYOFFICE
Open sourceFree · saves 100% vs Microsoft 365Open-source office suite with high MS Office compatibility. Self-hosted with real-time collaboration.
onlyoffice.com ↗ - #3
Google Workspace Free
FreeFree · saves 100% vs Microsoft 365Free Google account includes Docs, Sheets, Slides, 15GB Drive, Meet, Chat. Covers most office needs.
workspace.google.com ↗
How to actually pick one
Three-question filter:
- Can you self-host? If yes, the open-source picks usually win on cost and data ownership.
- Will the alternative cover ≥80% of your current use case? Don’t switch for a 50% feature match — the hidden cost of workflow re-learning outweighs the savings.
- What does the renewal math say? Calculate 12 months of cost on the alternative vs. Microsoft 365, then subtract switching cost (estimated at ~1 work week).