Cloud migration for small teams.
"Move everything to the cloud" is bad advice. "Stay on-prem" is worse. Here is the framework we use with Ottawa customers — workload by workload, with real numbers.
Every IT vendor pitches cloud migration as a no-brainer. The reality is messier — and the answer depends on the specific workload, not on a corporate strategy.
The workload-by-workload framework
Email and collaboration → cloud, almost always
Hosting your own Exchange server in 2025 is hard to justify under 500 mailboxes. M365 or Google Workspace is cheaper, more reliable, more secure, and includes mobile sync that on-prem cannot match. This is the easy decision.
Identity → cloud
Entra ID (formerly Azure AD) is the centre of gravity for modern identity. Most SMBs end up with Entra Connect syncing from on-prem AD, then progressively retiring the on-prem domain controllers as workloads migrate. Some end up cloud-only. The destination is cloud-first identity.
File shares → usually cloud, but think before you leap
SharePoint and OneDrive replace traditional file servers for most use cases. Two situations that complicate it:
- Massive datasets accessed locally. A 5 TB CAD-design archive accessed daily by ten engineers at one office may be cheaper and faster on a local NAS, with cloud backup.
- Specialty apps that expect a UNC path. Older line-of-business software sometimes assumes \\server\share. Lift-and-shift to cloud breaks them.
Line-of-business apps → it depends
If the vendor offers a SaaS version, that is usually the right choice when contract renewal comes around. If you are running self-hosted software with no SaaS option, lifting it to Azure is sometimes worse than leaving it on-prem with good backup. Run the numbers.
Servers running specialty software → often last, sometimes never
Imaging servers, lab instruments, dental practice-management systems, manufacturing controllers. Many of these have valid reasons to stay on-prem — latency, hardware integration, vendor support requirements. There is no shame in a hybrid environment.
The economics
For a typical 25-person Ottawa business already running M365 Business Standard ($15.20 USD/user/month) and considering Business Premium ($26.40 USD):
- Pure license delta: ~$13/user/month, or $325/month for 25 users.
- What you get: Intune (device management), Defender for Office (anti-phishing), Defender for Endpoint (EDR), Entra ID P1 (Conditional Access), Information Protection (DLP).
- Equivalent third-party stack: $25-40/user/month for similar capabilities purchased separately.
For most SMBs the upgrade pencils out within months. The mistake is not running the math.
The migration, briefly
- Inventory. Every system, every shared file, every user account. Most clients underestimate how many forgotten apps live in their environment.
- Plan. What moves, what stays, in what order. Identity first, email second, files third, apps last.
- Pilot. Five to ten users, one full month. Find the surprises before they hit everyone.
- Cutover. Usually staged. Email cutover with a Friday-evening MX record change is still the standard playbook.
- Decommission. Old servers stay in standby for 30 days, then go. Document everything you removed.
Talk to us about a no-pressure cloud assessment for your environment.
Sources: Microsoft 365 plan comparison (pricing in USD as of mid-2025; CAD pricing varies by reseller and region).
// Frequently asked questions
Is cloud always cheaper than on-premises?
No. For predictable, steady workloads, on-prem hardware amortised over 5 years is often cheaper than equivalent cloud spend. For variable workloads, dev environments, and remote-access scenarios, cloud usually wins. Run the math both ways before deciding.
What workloads should an SMB migrate first?
Email and collaboration (M365 / Google Workspace) — almost always. Identity (Entra ID) — yes. File shares — usually, if SharePoint/OneDrive fits the access pattern. Line-of-business apps — case by case. Servers running specialty software — often last, sometimes never.
What does cloud migration cost?
For a typical 25-person Ottawa business migrating to M365 Business Premium with SharePoint file storage, expect $25–35 CAD/user/month for licenses plus a one-time migration project ($5K–$15K depending on data volume and complexity). Larger or more complex environments scale up from there.
Will moving to the cloud make me more secure?
Not automatically. Cloud platforms have strong default infrastructure security, but configuration is on you. The cloud shared-responsibility model means Microsoft / AWS / Google secure the platform; you secure the configuration, identity, and data. Most cloud breaches are misconfiguration, not platform failures.
What about data residency in Canada?
Microsoft 365 lets you provision your tenant with Canadian data residency for core services (Exchange, SharePoint, OneDrive). Confirm at provisioning time. For PHIPA, PIPEDA, and most provincial privacy laws, Canadian residency simplifies compliance significantly.