Guide
Microsoft Copilot, ChatGPT or Claude: which should a small business use?
IN SHORTStart with what you already pay for. If your team lives in Microsoft 365, try the Copilot Chat you already have before buying anything. If you need a general assistant, ChatGPT Business has the widest range of features and Claude Team suits teams that write a lot. Pick one, on a business account you control.
A small business should choose between Copilot, ChatGPT and Claude based on the software it already pays for, not on league tables. If you run on Microsoft 365, Copilot Chat is already included, so try it first. Beyond that, ChatGPT Business and Claude Team are close, and the deciding factor is the work your team does most.
Much of what ranks for this question compares two tools, not three, and a lot of it is Reddit threads or IT firms' blogs written for larger companies. This guide is for a team of three to twelve people, with UK prices checked on the date in the note below.
What is the difference between Copilot, ChatGPT and Claude?
Copilot is Microsoft's AI, built into Microsoft 365; ChatGPT is OpenAI's standalone assistant; Claude is Anthropic's. All three draft, summarise and work with documents. They differ mainly in where they live and what they are best at.
| Microsoft Copilot | ChatGPT | Claude | |
|---|---|---|---|
| Where it lives | Inside Outlook, Word, Excel and Teams, and its own app | Its own app and website | Its own app and website |
| Best at | Working with your Microsoft emails, files and meetings | The widest range of features in one place | Long documents and detailed written work |
| Team plan | Microsoft 365 Copilot Business, an add-on | ChatGPT Business | Claude Team |
Which Copilot is which?
Microsoft uses the name Copilot for several products, which is why comparisons get muddled. Three matter to a small business.
- Copilot Chat comes at no extra cost with eligible Microsoft 365 business plans. It is an AI chat that searches the web, and it includes Copilot in Outlook and the Microsoft Copilot app. When staff sign in with their work account, Microsoft's enterprise data protection applies.
- Microsoft 365 Copilot, sold to small businesses as Microsoft 365 Copilot Business, is the paid version. It adds Copilot inside Word, Excel, PowerPoint and Teams, answers grounded in your own emails, files and meetings, and ready made agents for research and analysis.
- The free Copilot app on a personal account is the consumer product. Keep client work out of it.
Do you need ChatGPT if you already have Copilot?
You may not need ChatGPT if you already have Copilot, or you may need it for fewer people. Check what your existing software includes before buying anything: the cheapest tool is the one you have already paid for.
| If you already use... | Start with | Then consider |
|---|---|---|
| Microsoft 365 | Copilot Chat, included | Microsoft 365 Copilot, if the team needs AI inside Word, Excel and Teams with your own files |
| Google Workspace | Gemini, included in business plans | ChatGPT Business or Claude Team for heavier writing and research |
| Neither | One standalone tool on a business plan | A second tool only if the first clearly falls short |
My guide to what AI really costs a small UK business works through these layers in more detail.
When is Microsoft Copilot the right choice?
Copilot is the right choice when your team's working day happens in Outlook, Word, Excel and Teams. Its advantage is not that it is cleverer; it is already where the work is.
The paid version earns its keep on jobs like summarising a long email thread, drafting a reply from a document in SharePoint, or pulling the actions out of a Teams meeting. Compared chat window to chat window, ChatGPT and Claude offer more features, so if the team mostly copies text in and out of a chat, the included Copilot Chat or one of the others may suit you better.
When is ChatGPT the right choice?
ChatGPT is the right choice when you want one app that does a bit of everything: writing, research, image creation, voice, and custom GPTs the whole team can share. ChatGPT Business connects to Google Workspace, Microsoft 365, Slack and more through OpenAI's official connectors.
For a team, that means ChatGPT Business, not several personal Plus accounts, as my guide on which ChatGPT plan a small UK team should use explains.
When is Claude the right choice?
Claude is the right choice when much of your work is long writing: proposals, reports, tenders or careful client letters. It handles long documents well, and you can give it a detailed brief and a house style to follow across a whole team.
Claude Team connects to Microsoft 365 and to Gmail, Google Calendar and Google Drive through Anthropic's official connectors, which an owner switches on for the team, so nobody needs to paste in passwords.
How do the prices compare for a team of five?
On their business plans the three cost about the same, roughly £15 to £22.50 a person a month, as shown to UK visitors on 24th October 2026.
| Plan | Per person, per month | A team of five, per month |
|---|---|---|
| Copilot Chat in Microsoft 365 | £0 extra | £0 extra |
| Microsoft 365 Copilot Business, add-on | £16.10 paid yearly, before VAT (on offer at £13.80 when I checked) | £80.50, before VAT |
| ChatGPT Business, Standard seat | £15 billed annually, £18 monthly | £75 to £90 |
| Claude Team, Standard seat | £18 billed annually, £22.50 monthly, including VAT | £90 to £112.50 |
If you are buying Microsoft 365 anyway, Microsoft also sells Microsoft 365 Business Standard with Copilot built in at £18.10 a user a month, paid yearly, before VAT.
At £15 an hour, the honest cost of delegating admin, a seat at around £18 a month pays for itself if it gives back just over an hour a month. One hour a week back, across 48 working weeks, is worth £720 a year.
A note on dates: AI plans, plan names, prices and data terms change often. Everything in this guide was accurate when I checked it on 24th October 2026, using the prices Microsoft, OpenAI and Anthropic show to UK visitors. If you are reading this later, some of it may have changed, so check the vendors' own pages before you buy.
Is Copilot, ChatGPT or Claude safer for client data?
On their business plans, all three keep your data out of model training by default and come with the data terms UK GDPR expects of a supplier. None is meaningfully safer than the others when it is set up properly.
The real risk is staff using personal or free accounts for work. My guide on whether it is safe to put client data into ChatGPT covers what UK GDPR asks of you, and the same principles apply to Copilot and Claude.
Should a small team use more than one?
A small team should usually start with one. Two subscriptions mean two sets of logins, two bills and two homes for shared templates.
A sensible exception is Copilot Chat for everyone's email, because it is already included, plus ChatGPT Business or Claude Team for the people who do the heavier writing.
How should you test them before choosing?
The fairest test is one real, repetitive task, run in each tool for a week by the person who normally does it, with the same instructions, noting the time taken and the corrections needed.
A client follow up email, a quote from a few notes or a summary of a long document all work well. The free tiers mean the test can cost nothing but time, as long as client details stay out of them.
Who is this for, and who is it not for?
This guide is for owners of businesses with three to twelve people choosing one AI tool for the team, or who suspect staff already use personal accounts for work. It assumes no technical background.
It is not for larger organisations comparing enterprise contracts, or for regulated firms such as solicitors or financial advisers, who should check their regulator's guidance first.
What should you do next?
Check what your existing software includes, test one task in each tool, then put the whole team on one business account you control.
If you are not sure which task to start with, the free Mini Assessment is a ten minute call with Danni, our AI business analyst, then a fifteen minute call where I hand you one fix.
Related guides
Read which ChatGPT plan a small UK team should use for ChatGPT's plans in pounds, and whether it is safe to put client data into ChatGPT before anyone pastes in a client's details. Or browse the rest of our guides.
Not sure which task to test them on?
Start with the free Mini Assessment: ten minutes with Danni, our AI business analyst, one task and one fix you keep either way.