Suddenly you need a Teams Essentials license
Sign-in worked for years, then suddenly 'no access' or AADSTS7000112. Microsoft has heavily limited the free tier for business.
Last verified:
Affected systems
windows macos ios android web
Quick fixes
- Buy Microsoft Teams Essentials (~$4/month) - Teams only
- Microsoft 365 Business Basic (~$6/month) - Teams + OneDrive + Office on the web
- For families: Teams for Personal remains free
What happened
For years Microsoft offered a generous free tier for small businesses. You could open a tenant with a personal or company email and use Teams for free. With the consolidation of Teams editions, this tier was phased out in waves:
- Teams Free for Small Business was discontinued in late 2023
- Existing users had a transition period of several months
- Today these tenants hit AADSTS7000112 or a similar “deactivated” error
Which license?
| Edition | Price ($/month) | What is included? |
|---|---|---|
| Teams Essentials | ~4 | Teams only, all features |
| Microsoft 365 Business Basic | ~6 | Teams + Office on the web + OneDrive 1TB |
| Microsoft 365 Business Standard | ~14 | Business Basic + Office Desktop |
| Teams for Personal (free) | 0 | non-commercial use only |
For most freelancers and sole proprietors, Teams Essentials is the cheapest path to keep working. If you also need an Office license (Word, Excel, PowerPoint on the web), pick Business Basic.
Buying a license
- Pick the right edition at https://www.microsoft.com/microsoft-teams/compare-microsoft-teams-options
- Buy with your tenant admin account (credit card or invoice)
- In the Microsoft 365 admin center, assign the license to the user
- Within 5-15 minutes, sign-in should work
Common pitfalls
- License bought but not assigned: In the admin center under “Active users”, verify the license is actually assigned. Buying alone is not enough.
- Multiple accounts on the same email: If you have a personal and work MSA, make sure the license is assigned to the work account, not the personal one.
- Transitional offers: Microsoft sometimes runs discounts for existing customers - worth searching when you buy.
Useful links
- Microsoft Teams Compare - all editions
- Microsoft 365 Admin Center - manage licenses
- myaccount.microsoft.com - see your subscriptions
- Teams for Personal - the free edition