Understanding Base and Attach Licensing in Dynamics 365

1. Understanding Base and attach Licensing in Dynamics 365
   1. What is Base License
   2.  What is Attach License
   3. Why this matters for cross functional Teams
   4. Cost Optimization Through Licensing Strategy

January 2026 marks a major shift in the compliance of Dynamics 365 Finance & SCM licenses. Microsoft enforces stricter compliance rules for the entire Microsoft Dynamics 365 Finance & SCM starting from January 2026.

Organizations with undersized, oversized, incorrect or non-compliant licenses face unforeseen costs, forced updates and audit risks.

Here is the reality we see in our customers:

• Licenses assigned without clear definition of roles
• Use of Premium licenses while basic licenses are sufficient
• Licenses misused
• Lack of visibility on actual usage vs cost.

The objective is to help organizations prepare upstream for these measures:

• Validation of the use of licenses in relation to the actual behavior of users
• Alignment of business roles with the appropriate Dynamics 365 Finance & SCM licenses
• Elimination of license waste and non-compliance risks
• Optimization of license expenses before renewals and audits
• Implementation of a scalable licensing model for future growth

License optimization is not an option: it’s risk management and cost control exercise.

If your company uses Dynamics 365 Finance & SCM: it’s time to act.

Understanding Base and attach Licensing in Dynamics 365

Microsoft Dynamics 365 Licensing Model is built to support organizations that require flexibility across finance, supply chain, services, sales and other workloads Many Businesses rely on multiple applications, and the base + Attach licensing structure ensures they can scale without unnecessary cost.

What is Base License

A base license is the primary application assigned to each user. It reflects the user’s core functional area. The base license must be the highest priced app a user needs, ensuring compliance with the licensing structure. Examples :

• Finance
• Supply Chain Management
• Sales
• Customer Service

 What is Attach License

Many users require access to additional Dynamics 365 Finance & SCM apps because their role span multiple functions. Instead of purchasing full-price licenses again, organizations can assign attach licenses which:

• Provide the same capabilities as the base license
• Are priced lower
• Depending on the user having a qualifying base license

This model prevents unnecessary duplication of full licenses.

Why this matters for cross functional Teams

Organizations today often blend responsibilities across Finance, sales, Operations, and service. The Base + Attach structure supports role such as :

• Finance users collaborating with supply chain
• Customer Service agents working with sales
• Operations personnel needing limited Finance access 

Users get the right access, and businesses avoid paying full price twice

Cost Optimization Through Licensing Strategy

A Well-planned licensing strategy ensues:

• Reduced subscription overhead
• Access Alignment with job responsibilities
• Simplified license tracking
• Scalability for future workloads

The Base + Attach model is an essential tool for optimizing budgets whilst supporting digital growth.