How can I create a shared folder in OneDrive?

How can I add a shared folder in OneDrive?

How can I sync OneDrive shared folders to my local computer?

What is Direct and Indirect access in OneDrive

Why and How can I backup my OneDrive data?

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Following best practices for OneDrive shared folders ensures efficient collaboration and data security:

Set clear permissions and access levels to control who can view, edit, or share files.

Regularly review shared folders and access permissions to prevent unauthorized access.

SysCloud provides automated backup and recovery for OneDrive, ensuring all shared folder data is securely backed up and easily recoverable, protecting against accidental deletions and data loss.

Have you ever used OneDrive shared folder and files?

Over the past decade, Microsoft OneDrive has become a trusted platform for file storage and sharing. As of October 2024, OneDrive is utilized by 94% of Fortune 500 companies, reflecting its widespread adoption in the corporate world. ​

So, what exactly is a OneDrive shared folder, and how can you create and share them with your team? Let's find out.

OneDrive is a cloud service from Microsoft that lets you create, store, and protect your files in the cloud. You can share them with others and access everything from any device, it can be a laptop, desktop, or mobile phone.

A shared folder in OneDrive is a folder that someone has shared with you, or that you've shared with others. These folders usually contain files and subfolders meant for collaboration, especially within teams or departments. Everyone who has access can view, edit, or contribute to the content, depending on the permissions set.

If you're using OneDrive through your work or school account, it's called OneDrive for Business. In this article, we are discussing only OneDrive for Business.

As of 2025, OneDrive for Business works closely with Microsoft Teams, SharePoint, and Loop, making it easier to collaborate in real time across your organization. You can learn more about it in Microsoft’s official OneDrive for Business documentation.

Follow these steps to create a shared folder in OneDrive:

Step 1: Click on the File Explorer icon on your system and navigate to the local OneDrive folder.

Step 2: Right-click on the folder you want to share and select the “Share” option.

Step 3: Mention the email addresses of the people with whom you want to share the folder.

Step 4: Click on the “gear” button to further customise and select the users you want to share the file with.

Step 5: By default, the added user is given access to only view OneDrive shared folder or file. You can give them view, edit access or download access by selecting the option as given below.

Step 6: You can either copy the link for the folder that you want to share or press the “Send” button to send the selected people an email notifying them that the file is shared with them along with the access link.

Adding a shared folder to your own OneDrive makes it easier to edit and work with the folder and its content. 

Note: Shared folders added to your OneDrive do not use any of your OneDrive storage space. They only count against the folder owner’s storage space.

Here is how you can add a shared folder to your OneDrive:

Step 1: Login to your Microsoft 365 account and click on ‘OneDrive’.

Step 3: Locate the folder that you want to add and click on ‘Add shortcut to My files’.

Note: You can’t add multiple shared folders to your OneDrive at a time.

The ‘Shared’ > ‘With You’ section shows you files that others have shared with you. When a user shares one of his file/folders with you, it automatically appears in the ‘Shared With You’ list.

Here’s how you can see files or folders shared with you:

Step 1: Log in to your Office 365 account. 

Step 3: In the navigation panel, click on ‘Shared’ > ‘With You’ to view files that are shared with you.

Step 4: You can use either the ‘Sort’ option or filter option to easily find the file that is shared with you.

Note:  Any items shared with you for which the permission was set to ‘Anyone’ with the link can view and edit won’t appear in your ‘Shared with me’ view, even if the person entered your email address when they shared the item.

Yes, you can move shared files in OneDrive. When you move files between shared folders, it loses its existing permissions and acquires the permission of the folder to which it is moved to. For example, if a file in a shared folder is moved to an unshared folder, it means that the file is not shared with anyone else.

It is also important to note that you can only move shared files and not move shared folders on OneDrive.com. If you sync OneDrive to your computer, any shared folder you move is copied to the destination location and then removed from your OneDrive. It is still available in your Shared list.

If you don’t want to access a file or a folder that is shared with you, you can remove them from the shared folder. Only the owner of the shared file/folder has the permission to delete it. 

Note: Removing an item from your shared list doesn’t take away your permissions from the item. You can always access the file again using its link.

Step 1: Log in to your Office 365 account.

Step 2: Click on ‘OneDrive’ > ‘Shared’ > ‘With Me’.

Step 3: Select the file that you want to remove.

The file also gets removed from your shared folder if the owner of the file either deletes the file or revokes your permission.

Follow these steps to sync OneDrive shared folder to your local computer:

Step 1: Click on the Cloud icon on your desktop.

Step 2: Click on the “Sign in” button.

Step 3: Enter your login credentials in the dialog box and click on the “Sign in” button.

Step 4: After entering the credentials, click on the “Next” button.

Step 5: Click on the ‘Next’ at the bottom right-hand corner of the window till you finish the launch.

Step 6: You will find all your files to be synced with the local system.

Step 7: You can confirm the sync status by clicking the blue cloud button in the right side of the taskbar.

The downside to this feature is that if you delete a file or folder by mistake, it will be deleted from your local storage too. Once deleted from the recycle bin, the folder or file would be lost forever!

Follow these steps to share OneDrive files:

Step 1: Log in to your Office 365 account using your credentials.

Step 2: Once you log in, click on the “OneDrive”.

Step 3: You will see a list of files and folders in your OneDrive. Select the required file or folder that you want to share and click on the ‘Share’ icon at the top left-hand side of the window.

Note: You can only share one file or folder at a time. If you want to share multiple files or folders, you have to repeat this step as many times as required.

Step 4: Enter the email address of the recipient and click on the “Send” button.

Step 5: Alternatively, you can also use the link to the file or folder in OneDrive to share it. Select the “Copy link” option after pressing the share icon. You will get a shareable link to the OneDrive file or folder.

Step 6: You can also limit the access when you share. Click on the tab as shown below. From this list, you can select who can access the OneDrive shared folder or file with its link.

Step 7: Click on the “Apply” button to confirm the changes.

Follow these steps to stop sharing a document on OneDrive:

Step 2: Click on the “Shared” option in the left pane of the OneDrive application.

Step 4: Select the shared file or folder and click on the “Manage Access” option.

Step 5: To stop sharing the file entirely, click “Stop sharing”.

Step 6: To stop sharing with specific people, expand the list under a specific people link and click the ‘trash bin’ icon to remove someone.

When sharing files and folders in OneDrive, it's helpful to understand the difference between Direct access and Indirect access (also known as link-based sharing). This ensures that you maintain control over your content, especially when managing sensitive or collaborative files.

Direct access is typically used within organizations, giving people or groups clear, identity-based access to files. Indirect access, on the other hand, is more flexible and link-driven, ideal for external or temporary sharing.

Direct vs Indirect access

When to Use Direct and Indirect Access

By understanding the difference between these access types, you can better manage who sees your files, how long they can access them, and how securely your data is shared. Whether you're using OneDrive for business or personal purposes, setting the right kind of access ensures you're always in control.

If you're storing important business documents or shared content, it's a good idea to have a proper backup strategy in place. Let’s take a look at why backing up your OneDrive data matters and how you can actually do it.

Data is the most important asset for any organization. Hence, it is important to keep your critical business data safe. OneDrive does help with things like version history and recycle bin recovery, but that doesn’t always mean your data is completely safe from accidental deletions, sync issues, or permission mistakes.

You might be wondering, can shared folders and files in OneDrive actually be backed up? The answer is yes, but the options are limited.

Currently, OneDrive users have only two options for creating a backup:

1. Use OneDrive Sync Client to create a local copy of data, or

Want a Step-by-Step Guide to Backing Up OneDrive for Business?
Learn how to back up OneDrive for Business and see how SysCloud makes it easy in this complete guide for admins.

Follow these steps to troubleshoot OneDrive file sync issue:

Step 1: Check if the auto-sync feature is enabled on your system.

Step 2: Click on the OneDrive cloud icon on your desktop and see if your account’s OneDrive is up to date.

Step 3: Check if syncing has been paused on your system – this will be indicated by a pause sign on your OneDrive cloud icon. Tap or click on the pause notification to resume syncing.

Step 4: Check if your internet connection is working properly.

Step 5: Check if the application has any new update in your system’s action center.

Step 6: Try to sync the files and folders from the online drive by clicking on the “Sync” option.

OneDrive files are stored locally under the following conditions:

1. If the local system is automatically synced to the online OneDrive, the latest version of the files and folders will be available offline.

2. However, if the files and folders are not synced, the files and folders would still be available, but would not be updated.

Follow these steps to uninstall OneDrive for Business:

Step 1: Press Windows + R to open the run command.

Step 2: Click on “uninstall a program” or “add/remove programs” option under the “Programs” section.

Step 3: Right-click on “Microsoft OneDrive” and select the “Uninstall” option.

Actionable insights, best practices and tips for IT admins to protect SaaS data.

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Admin's Guide to Using OneDrive Shared Folder and Files

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Learn how to create, manage, and securely share OneDrive folders and files in Microsoft 365. This admin guide covers sync settings, sharing permissions, direct vs indirect access, and best practices for using shared folders.

An in-depth guide on how to use OneDrive shared folders and files.

Admin's Guide to Using OneDrive Shared Folder and Files

What is OneDrive shared folder?

How can I create a shared folder in OneDrive?

How can I add a shared folder in OneDrive?

How can I find a shared folder in OneDrive?

Can I move files and folders in OneDrive?

How can I remove a file from the shared folder?

How can I sync OneDrive shared folders to my local computer?

How can I share Onedrive files and folders?

How can I unshare a document in Onedrive?

Direct and Indirect access in OneDrive

Direct vs Indirect access

When to Use Direct and Indirect Access

Why should I backup my OneDrive data?

How can I backup my OneDrive data?

Frequently asked questions on OneDrive

1. What to do if my OneDrive files are not syncing?

2. Are OneDrive files stored locally?

3. How do I remove/uninstall OneDrive for Business?

4. Can anyone see my OneDrive files?

5. How do I upload files to OneDrive?

6. How to restore deleted files and folders on OneDrive?

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