Azure Active Directory B2B best practices

This article contains recommendations and best practices for business-to-business (B2B) collaboration in Azure Active Directory (Azure AD).

Important

Starting March 31, 2021, Microsoft will no longer support the redemption of invitations by creating unmanaged Azure AD accounts and tenants for B2B collaboration scenarios. In preparation, we encourage customers to opt into email one-time passcode authentication. We welcome your feedback on this public preview feature and are excited to create even more ways to collaborate.

B2B recommendations

Recommendation Comments
For an optimal sign-in experience, federate with identity providers Whenever possible, federate directly with identity providers to allow invited users to sign in to your shared apps and resources without having to create Microsoft Accounts (MSAs) or Azure AD accounts. You can use the Google federation feature to allow B2B guest users to sign in with their Google accounts. Or, you can use the Direct federation (preview) feature to set up direct federation with any organization whose identity provider (IdP) supports the SAML 2.0 or WS-Fed protocol.
Use the Email one-time passcode (preview) feature for B2B guests who can’t authenticate by other means The Email one-time passcode (preview) feature authenticates B2B guest users when they can't be authenticated through other means like Azure AD, a Microsoft account (MSA), or Google federation. When the guest user redeems an invitation or accesses a shared resource, they can request a temporary code, which is sent to their email address. Then they enter this code to continue signing in.
Add company branding to your sign-in page You can customize your sign-in page so it's more intuitive for your B2B guest users. See how to add company branding to sign in and Access Panel pages.
Add your privacy statement to the B2B guest user redemption experience You can add the URL of your organization's privacy statement to the first time invitation redemption process so that an invited user must consent to your privacy terms to continue. See How-to: Add your organization's privacy info in Azure Active Directory.
Use the bulk invite (preview) feature to invite multiple B2B guest users at the same time Invite multiple guest users to your organization at the same time by using the bulk invite preview feature in the Azure portal. This feature lets you upload a CSV file to create B2B guest users and send invitations in bulk. See Tutorial for bulk inviting B2B users.
Enforce Conditional Access policies for Multi-Factor Authentication (MFA) We recommend enforcing MFA policies on the apps you want to share with partner B2B users. This way, MFA will be consistently enforced on the apps in your tenant regardless of whether the partner organization is using MFA. See Conditional Access for B2B collaboration users.
If you’re enforcing device-based Conditional Access policies, use exclusion lists to allow access to B2B users If device-based Conditional Access policies are enabled in your organization, B2B guest user devices will be blocked because they’re not managed by your organization. You can create exclusion lists containing specific partner users to exclude them from the device-based Conditional Access policy. See Conditional Access for B2B collaboration users.
Use a tenant-specific URL when providing direct links to your B2B guest users As an alternative to the invitation email, you can give a guest a direct link to your app or portal. This direct link must be tenant-specific, meaning it must include a tenant ID or verified domain so the guest can be authenticated in your tenant, where the shared app is located. See Redemption experience for the guest user.
When developing an app, use UserType to determine guest user experience If you're developing an application and you want to provide different experiences for tenant users and guest users, use the UserType property. The UserType claim isn't currently included in the token. Applications should use the Microsoft Graph API to query the directory for the user to get their UserType.
Change the UserType property only if the user’s relationship to the organization changes Although it’s possible to use PowerShell to convert the UserType property for a user from Member to Guest (and vice-versa), you should change this property only if the relationship of the user to your organization changes. See Properties of a B2B guest user.

Next steps

Manage B2B sharing