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Copy file name to clipboardExpand all lines: docs/embedded/concepts/admin-exp/billing/billing.md
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# SharePoint Embedded billing
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SharePoint Embedded is a consumption-based Pay-as-you-go (PAYG) offering meaning you pay only for what you use. SharePoint Embedded provides two billing models which the tenant developing the SharePoint Embedded application can select for each specific container types, tailoring it to their unique business requirements. The two billing models are
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SharePoint Embedded is a consumption-based Pay-as-you-go (PAYG) offering meaning you pay only for what you use. SharePoint Embedded provides two billing models which the tenant developing the SharePoint Embedded application can select for respective container types, tailoring it to their unique business requirements. The two billing models are
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1)**Standard:** With this model, all consumption-based charges are directly billed to the tenant that owns/develops the application. Admin in the developer tenant must establish a valid billing profile when creating a standard container type.
With the standard billing model, all consumption-based charges are directly billed to the tenant that owns/develops the application. The admin in the developer tenant must establish a valid billing profile when creating a standard container type.
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**Pass-through (Coming Soon):** With this model, consumption-based charges are billed directly to the tenant registered to use the SharePoint Embedded application. Admin in the developer tenant don't need to set up a billing profile when creating a pass-through SharePoint Embedded container type. Once the container type is registered in the consuming tenant, the consuming tenant admin (SharePoint Admin or Global Admin) needs to set up the billing profile in the consuming tenant to use the SharePoint Embedded application.
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### Pass-through (Coming Soon)
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With pass-through billing, consumption-based charges are billed directly to the tenant registered to use the SharePoint Embedded application. Admins in the developer tenant don't need to set up a billing profile when creating a pass-through SharePoint Embedded container type. Once the container type is registered in the consuming tenant, the consuming tenant admin (SharePoint Admin or Global Admin) needs to set up the billing profile in the consuming tenant to use the SharePoint Embedded application.
## Prerequisites to set up Pay-as-you-go for SharePoint Embedded
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To enable PAYG on SharePoint Embedded, you need:
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1. Existing SharePoint tenancy
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2. An Azure subscription in the tenancy
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3. A resource group attached to the Azure subscription
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1. An Azure subscription in the tenancy
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1. A resource group attached to the Azure subscription
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### Roles and Permissions
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- Admin who sets up billing relationship for SharePoint Embedded needs to have owner or contributor permissions on Azure subscription.
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- Admin needs to have a SharePoint Embedded Administrator or Global Admin role to operate billing cmdlets.
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## Set up a Standard Billing container type:
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For standard billed container types, developer admin should set up billing in their tenant. Microsoft 365 SharePoint Embedded Administrator serves as the developer admin. Global Administrators in Microsoft 365 can assign users the SharePoint Embedded Administrator. The Global Administrator role already has all the permissions of the SharePoint Embedded Administrator role. A SharePoint Administrator can assign themselves the SharePoint Embedded Administrator role to act as a Developer Admin for SharePoint Embedded. The SharePoint Embedded Admin role is available in Microsoft Entra and Microsoft 365 Admin Center.
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Here are the step-by-step instructions on how to create a standard billing container:
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1. Download and install the [latest version of SharePoint Online Management Shell](https://www.microsoft.com/download/details.aspx?id=35588)
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2. Open SharePoint Online Management Shell from **Start** screen, type **sharepoint**, and then select **SharePoint Online Management Shell**.
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3. Connect to SPO service using `Connect-SPOService` cmdlet by providing admin credentials associated with tenancy. For information on [how to use Connect-SPOService](/powershell/module/sharepoint-online/connect-sposervice), refer the linked documentation.
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4. Create container type using `New-SPOContainerType` cmdlet by providing an **azure subscription**, **resource group** associated with the subscription and a **region**.
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1. Open SharePoint Online Management Shell from **Start** screen, type **sharepoint**, and then select **SharePoint Online Management Shell**.
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1. Connect to SPO service using `Connect-SPOService` cmdlet by providing admin credentials associated with tenancy. For information on [how to use Connect-SPOService](/powershell/module/sharepoint-online/connect-sposervice), refer the linked documentation.
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1. Create container type using `New-SPOContainerType` cmdlet by providing an **azure subscription**, **resource group** associated with the subscription and a **region**.
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1. If you don't have an Azure subscription, you can create on by following steps here to [create an Azure subscription in your tenancy](/azure/cloud-adoption-framework/ready/azure-best-practices/initial-subscriptions)
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2. If you don't have a resource group, you can create on by following steps here to [create a resource group](/azure/azure-resource-manager/management/manage-resource-groups-portal)
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1. If you don't have a resource group, you can create on by following steps here to [create a resource group](/azure/azure-resource-manager/management/manage-resource-groups-portal)
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