If you use Microsoft 365, you have both SharePoint and OneDrive - and you have probably wondered which one to put files in. Getting this right matters more than it seems: it affects collaboration, security, and what happens to files when someone leaves. Here is the simple rule and the reasoning behind it.
The one-line answer
- OneDrive = your personal work files. Like a private drawer at your desk.
- SharePoint = shared business files. Like the team's filing cabinet that everyone can access.
If a file belongs to the business and others may need it, it should live in SharePoint - not in one person's OneDrive.
Why this distinction matters
The classic problem: an important document lives in an employee's OneDrive. They leave, their account is eventually deleted, and the file vanishes with them. Or they're on holiday and nobody else can reach a file the whole team needs.
Storing shared work in SharePoint solves this - the files belong to the business, not the individual, so access and ownership stay intact regardless of staff changes.
How Teams fits in
Here is something many people don't realise: when you share files in a Microsoft Teams channel, those files are actually stored in SharePoint behind the scenes. So for most teams, the easiest way to use SharePoint properly is simply to share files in the right Teams channel.
A simple model that works
- Personal drafts and individual work → OneDrive
- Anything shared with a team or project → SharePoint (via Teams channels)
- Company-wide resources (policies, templates, branding) → a dedicated SharePoint site
Don't assume it's backed up
Whether files live in OneDrive or SharePoint, they are not comprehensively backed up by Microsoft in the way many assume. Accidental deletion, ransomware or a departing employee can still cause data loss. Read does Microsoft 365 back up your data? - and consider the 3-2-1 backup rule.
Get your file structure right
A clear, well-governed file structure prevents data loss and confusion. Our IT Support service helps you design and secure your SharePoint and OneDrive setup. Request a callback to sort your files out for good.
Frequently asked questions
What is the difference between SharePoint and OneDrive?
OneDrive is for your personal work files, like a private drawer, while SharePoint is for shared business files that the whole team can access.
Where should business files be stored?
Anything shared or belonging to the business should live in SharePoint, often via Teams channels, so files stay accessible even when staff are away or leave.
What happens to OneDrive files when someone leaves?
If important files are only in a leaver's OneDrive, they can be lost when the account is removed, which is why shared work should be in SharePoint.
