Create a governed workforce tenant
In brief
The documentation now specifies paid-account, billing, tenant-creation permission, role, and default governance-policy requirements for creating governed workforce tenants. Free or trial tenants cannot create additional tenants, and EA or pay-as-you-go billing accounts are supported.
What Entra admins need to know
Administrators planning to create a governed workforce tenant should verify these billing, permission, role, and policy prerequisites before starting.
This editorial summary was generated by AI from the documentation changes. Verify important details in the full Microsoft Learn article.
Documentation change
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Create a governed workforce tenant
This article is for IT administrators who need to create an add-on tenant that is governed from an existing Microsoft Entra tenant. Review the prerequisites before you use the secure add-on tenant creation flow.
When you create a tenant using the Governed Workforce option in the Microsoft Entra admin center, the secure add-on tenant creation flow automatically:
- Creates the new workforce tenant
- Establishes a governance relationship between your home tenant and the new tenant based on your governance policy template
- Provisions a Microsoft Entra ID Free billing asset under your selected Azure subscription and resource group
This article doesn't cover creating an external tenant configuration for consumer-facing apps. For customer identity and access management scenarios, see Microsoft Entra External ID for customers.
Prerequisites
Before you create a governed workforce tenant, confirm that you meet these requirements:
- Your organization is a paid customer. Customers using a free tenant or trial subscription can't create additional tenants from the Microsoft Entra admin center. If you need a new tenant, sign up for a free Azure account.
- Your selected Azure subscription is associated with an Enterprise Agreement (EA) or pay-as-you-go billing account. Legacy and modern billing experiences are supported. To identify your billing account type, see View your billing accounts in the Azure portal.
- Your Microsoft Entra tenant allows member users to create add-on tenants. If Restrict non-admin users from creating tenants is set to Yes, your account needs the Tenant Creator role.
- You
musthaveat leastthe required permissions for the selected subscription through the Tenant Contributorpermissions on at least one Microsoft Customer Agreement (MCA) subscription. Enterprise Agreement (EA) subscriptions aren't supported.or Subscription Owner/Creator role.- The governing tenant has a configured default governance policy template
must be configured in the governing tenant.. The tenant creation service uses only the default template (ID:default). If the default template isn't defined, the secure add-on tenant creation flow doesn't establish a governance relationship, even if other templates exist.
Create the tenant
@@ -1,24 +1,37 @@ --- title: Create a governed workforce tenant titleSuffix: Microsoft Entra ID Governance-description: Learn how to create a new Microsoft Entra tenant using the secure add-on tenant creation workflow in Tenant Governance+description: Learn how to securely create a governed Microsoft Entra workforce tenant and establish governance from your home tenant.+author: tafra00+ms.author: tafra00 ms.topic: how-to-ms.date: 03/12/2026+ms.date: 07/29/2026+ai-usage: ai-assisted+ms.custom: msecd-doc-authoring-1018+#customer intent: As an IT administrator, I want to create a governed workforce tenant so that my organization can manage it through a governance relationship. --- # Create a governed workforce tenant +This article is for IT administrators who need to create an add-on tenant that is governed from an existing Microsoft Entra tenant. Review the prerequisites before you use the secure add-on tenant creation flow.+ When you create a tenant using the **Governed Workforce** option in the Microsoft Entra admin center, the secure add-on tenant creation flow automatically: - Creates the new workforce tenant - Establishes a [governance relationship](governance-relationships.md) between your home tenant and the new tenant based on your [governance policy template](governance-policy-templates.md) - Provisions a Microsoft Entra ID Free [billing asset](signals-metrics.md) under your selected Azure subscription and resource group +This article doesn't cover creating an external tenant configuration for consumer-facing apps. For customer identity and access management scenarios, see [Microsoft Entra External ID for customers](~/external-id/customers/overview-customers-ciam.md).+ ## Prerequisites -- You must have at least **Tenant Contributor** permissions on at least one Microsoft Customer Agreement (MCA) subscription.-- Enterprise Agreement (EA) subscriptions aren't supported.-- The **default** [governance policy template](governance-policy-templates.md) must be configured in the governing tenant. The tenant creation service uses only the default template (ID: `default`). If the default template isn't defined, the secure add-on tenant creation flow doesn't establish a governance relationship, even if other templates exist.+Before you create a governed workforce tenant, confirm that you meet these requirements:++- Your organization is a paid customer. Customers using a free tenant or trial subscription can't create additional tenants from the Microsoft Entra admin center. If you need a new tenant, sign up for a [free Azure account](https://azure.microsoft.com/pricing/purchase-options/azure-account?cid=msft_learn).+- Your selected Azure subscription is associated with an [Enterprise Agreement (EA)](/azure/cost-management-billing/manage/understand-ea-roles) or [pay-as-you-go](https://azure.microsoft.com/pricing/offers/ms-azr-0003p?cid=msft_learn) billing account. Legacy and modern billing experiences are supported. To identify your billing account type, see [View your billing accounts in the Azure portal](/azure/cost-management-billing/manage/view-all-accounts).+- Your Microsoft Entra tenant allows member users to create add-on tenants. If [**Restrict non-admin users from creating tenants**](~/fundamentals/users-default-permissions.md#restrict-member-users-default-permissions) is set to **Yes**, your account needs the [Tenant Creator](~/identity/role-based-access-control/permissions-reference.md#tenant-creator) role.+- You have the required permissions for the selected subscription through the **Tenant Contributor** or **Subscription Owner/Creator** role.+- The governing tenant has a configured **default** [governance policy template](governance-policy-templates.md). The tenant creation service uses only the default template (ID: `default`). If the default template isn't defined, the secure add-on tenant creation flow doesn't establish a governance relationship, even if other templates exist. ## Create the tenant 