SharePoint Costs Breakdown

Apr 2025
5
Mins read

Before deciding if SharePoint is the right solution for your business, it’s important to understand the potential costs involved. This guide will walk you through everything you need to know, including the costs of implementation, customization, and ongoing maintenance, as well as hidden expenses to consider.

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Before you dive in, let’s explore the real numbers—licensing, implementation, customization, ongoing maintenance, and hidden costs—and why they add up so quickly.

How Much Does SharePoint Cost?

Microsoft SharePoint has a tiered pricing structure, but the costs go well beyond the subscription fee. Here’s the starting point:

Plan Cost/User/Month Key Features
SharePoint Online Plan 1 $5 Basic document sharing, mobile apps, and file storage.
SharePoint Online Plan 2 $10 Adds unlimited storage, advanced search, and compliance tools.
Microsoft 365 E3 $33.75 Full Office apps (desktop + mobile) with enhanced security and collaboration features.
Microsoft 365 E5 $54.75 All E3 features + analytics, compliance, and advanced security tools.
Microsoft 365 F3 $8 Designed for frontline workers with web and mobile app access only.

Example: Licensing Costs for a 250-Person Company

  • 50 frontline workers (F3) - $4,800/year.
  • 200 office staff (E3) - $81,000/year.

Total Licensing Cost: $85,800/year.

What Could SharePoint Really Cost?

While SharePoint’s licensing fees may seem manageable, the total cost can skyrocket when you factor in customization, integrations, ongoing support—and time. Let’s break it down:

1. Setup and Implementation

SharePoint requires significant planning and resources for setup, especially for growing organizations.

Business Size Estimated Cost Details
Small to Medium Businesses $25,000–$75,000 Initial setup of workflows, permissions, and basic integrations.
Larger Organizations $75,000–$150,000 For complex needs and enterprise-scale rollouts.

This includes workflow mapping, setting up permissions, and tailoring the platform to your business needs.

2. Ongoing Maintenance Costs

Maintaining SharePoint is an ongoing expense. Here’s what a typical year might cost:

Category Estimated Annual Cost Details
IT Staff $75,000–$150,000 A SharePoint administrator or external consultant to manage updates, permissions, and troubleshooting.
Training $5,000–$20,000 Onboarding new hires and keeping employees updated on new features.
Storage Costs $2/GB/month Additional storage if your organization exceeds the included limit (e.g., for large file libraries).
Customizations/Updates $20,000–$50,000 Fixing or upgrading workflows and integrations as SharePoint evolves.

Example: Annual Maintenance for a 250-Person Company

  • IT Staff - $100,000/year for an in-house SharePoint admin.
  • Training - $10,000/year for ongoing employee education.
  • Storage - 5TB over the free limit at $2/GB/month = $10,000/year.
  • Customizations - $30,000/year for periodic updates and fixes.

Total Ongoing Maintenance: $150,000/year.

3. Customization

Customization needs can vary widely, from simple branding changes to complex integrations with enterprise systems.

Why Costs Vary

Scope of Customization: A small set of workflows might cost around $50,000+, but a fully integrated intranet connected to enterprise tools (e.g., Salesforce or Workday) can run into hundreds of thousands.

Consultant or Specialist Rates -

Freelancers - $75–$150+/hour.

Small Firms or Independent Teams - $150–$250+/hour.

Large Consulting Firms - $500–$1600+/hour.

Industry Complexity - If your business operates in a highly regulated sector like healthcare or finance, compliance requirements can add significant costs. These advanced features don’t come cheap.

Task Estimated Cost Details
Workflow Automation $50,000–$150,000 Automating complex processes like approvals, compliance tracking, and notifications.
Advanced Integrations $75,000–$200,000 Connecting SharePoint to systems like Salesforce, Workday, or SAP.
Custom Reporting & Governance $25,000–$75,000 Dashboards and tools for leadership visibility and data compliance.
End-to-End Rollout $100,000–$400,000 Multi-department deployment with user adoption strategies and ongoing support.

If you're considering SharePoint for your business, it’s natural to ask, “What’s this really going to cost?” The truth is, SharePoint isn’t just a subscription fee—it’s an investment, and the actual costs can add up fast.

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4. Considering Time and Potential Delays

Time can be one of the biggest hidden costs of implementing SharePoint, especially for organizations of 250+ employees.

Category Estimated Hours Details
IT Team 360–480 hours Configuring workflows, user permissions, and integrations over six months (15–20 hours per week).
Department Leads 240 hours Testing workflows, refining processes, and participating in planning meetings (10 hours/week).
Employee Training 500–1,250 hours 2–5 hours of training per employee, depending on role (for 250 employees).

Total Time Investment: 1,000–2,000 hours over six months.

Delays and Rework:

Organizations may encounter:

  • Customizations Requiring Refinement - Some workflows or integrations might need further adjustments to align with business goals.
  • Adoption Challenges - Employees may need additional training or usability improvements.

5. Hidden Costs to Watch Out For

Hidden Cost Potential Expense Details
Time Delays Project overruns Extended setup or rework delays your go-live date by weeks or months, stalling critical projects and impacting momentum.
False Starts $10,000–$50,000+ Failed workflows or underused customizations often need rebuilding, burning through budgets and time.
Storage Overages $2/GB/month Exceeding included storage limits adds ongoing monthly charges that quickly add up.
Training Costs $5,000–$20,000/year Teams often need extra training just to use SharePoint effectively — adding unplanned yearly costs.
Integration Repairs $10,000–$30,000/year SharePoint updates risk breaking integrations, leading to expensive repairs just to keep systems connected.

6. Time-to-Value: How Long Until You See ROI?

With SharePoint, ROI often depends on:

  • Customization Complexity - Highly tailored solutions can take 6–12 months to implement fully.
  • Adoption Rates - Employees need time to learn the platform, which can delay efficiency gains.
  • Integration Needs - Connecting SharePoint to enterprise tools (e.g., Salesforce, Workday) can extend time-to-value.

Example

A 250-person company may not achieve full adoption or measurable ROI for 12–18 months, depending on the complexity of their setup.

Why CentricMinds Might Be a Better Fit

Feature CentricMinds SharePoint
Setup Time Days Weeks or months.
Customization Costs None—already included. $100,000–$400,000+.
Ongoing Costs Minimal, handled for you. $150,000/year for IT support.
Ease of Use User-friendly from Day 1. Requires training and admin help.

Is SharePoint Worth It?

SharePoint is a robust collaboration tool, but it’s not for everyone. If SharePoint’s complexity and high costs feel like a barrier, CentricMinds offers a simpler, faster, and affordable alternative for intranet and workplace collaboration.

What CentricMinds Offers

If you're considering an alternative to SharePoint, CentricMinds delivers exceptional value by offering the following:

  • Built-in Features - Chat, Page Content, Setup Multiple Intranet Sites, Forms, workflows, task management, and employee engagement tools included at no additional cost.
  • Ease of Use - Designed for non-technical users, eliminating the need for extensive training or IT support.
  • Quick Setup - Get up and running in days, compared to the weeks or months often required for SharePoint.
  • Affordable Pricing: Transparent and predictable pricing without hidden fees.
  • Employee App: Chat, News, Task Management, Wellbeing Check-ins, and more makes it easy for your teams to connect anytime.
  • Personalized Feeds: Help teams stay informed and engaged with targeted content.

Still comparing options?

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FAQs: SharePoint Costs & Alternatives
Will I need ongoing IT support to manage SharePoint? +
Yes — most of the time, you will. SharePoint setups, workflows, permissions, and maintenance often require a dedicated IT team or external consultants. If you don’t have in-house resources, it can quickly feel overwhelming.
What is a simpler, more cost-effective alternative to SharePoint? +
CentricMinds is a strong alternative to SharePoint. It’s built for ease of use, with built-in workflows, forms, and collaboration tools — without needing a complex IT setup. If you’re looking for something simple, fast to deploy, and cost-effective, CentricMinds is worth a close look.
Is SharePoint still the right choice for my business today? +
It depends on your goals. SharePoint is powerful but comes with complexity and hidden costs. If you have an in-house IT team, it might work. But for many businesses, SharePoint becomes a heavy lift. CentricMinds gives you enterprise level capability, without the enterprise price tag or IT overheads.