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Written By Rohan Wiese
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Updated on February 16th, 2026
Exchange Online is a part of Microsoft 365. It is one of the most widely used cloud-based email solutions for businesses. Also, it provides advanced features to manage emails, calendars, contacts, and files. One powerful functionality is the ability to create shared folders or mailboxes. In this guide, I will explain why shared folders are important, along with different ways to create them in Exchange Online. You will get the detailed step-by-step instructions for each method. To skip all the issues from your shared mailbox, you can simply move to the best practice to create folder in all mailboxes.
With the help of a shared folder, multiple users to access the same emails, documents, or calendars from one central place. So the users do not need to forward emails or create duplicates. All team members can simply open the shared folder and get the required information instantly. It is useful for teams like sales, support, HR, or project groups, where multiple people need to stay updated with the same set of communications.
Before you will proceed with the methods, let us understand that why shared folders are so helpful for an organization:
Now, you know that the benefits are clear. For better ideas, you should compare Microsoft 365 Plans & Features. Let’s explore the different ways to create a shared folder for all Exchange Online mailboxes.
There are three main ways you can create a shared folder or mailbox in Exchange Online:
First, you should be aware of that you need the knowledge of technical terms when you choose this method to complete this task. An individual can use this method for small to medium-sized teams.
After this, the shared mailbox will automatically appear in Outlook and Outlook Web App (OWA) for the assigned users.
The Exchange Admin Center provides more flexibility and options when creating shared folders.
This method is recommended for administrators who need to fine-tune permissions and manage shared mailboxes in detail.
If a user wants to create a shared folder along with access to all their mailboxes at once, then PowerShell is the most efficient option. This approach is quite useful for large organizations with hundreds of employees.
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Connect-ExchangeOnline -UserPrincipalName admin@yourdomain.com |
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New-Mailbox -Shared -Name “TeamSharedMailbox” -DisplayName “Team Shared” -Alias teamshared |
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Get-Mailbox -ResultSize Unlimited | ForEach-Object {Add-MailboxPermission -Identity “TeamSharedMailbox” -User $_.PrimarySmtpAddress -AccessRights FullAccess} |
This script creates the shared mailbox and then automatically gives Full Access to every user in the organization.
Note: Be careful when giving access to everyone. For sensitive or private departments, it’s safer to allow only specific groups.
Even though shared folders are very useful, they also have some limits you should know:
When you create a shared folder in Exchange Online, it can make teamwork easy to connect with. Although this process does not provide complete safety for your shared mailbox data. You should think if your emails are not available in your inbox due to any kind of issue. In that case, you can lose your important email data. At that moment, it is quite difficult to access all the data in your mailbox. To skip all these scenarios, you should simply backup all your shared mailbox data from Office 365. Here, you can depend on the Aryson Office 365 Backup Tool to backup and restore all the shared mailbox data into your local folder.
When you combine the shared folder, it can setup with a reliable backup tool. So, you can make sure both collaboration and security for your Office 365 environment.
To avoid issues and ensure smooth usage, follow these best practices to create a subfolder in all user mailboxes in Exchange Online with PowerShell:
Everyone finds it easy to create a shared folder in Exchange Online to improve communication and teamwork. You can set it up using the Microsoft 365 Admin Center for a quick method, the Exchange Admin Center for more control, or PowerShell if you need to add all users at once. For small teams, the Admin Center works well, while big organizations can save time with PowerShell. By using the best practices shared above, you can keep your shared folder secure, organized, and helpful for your team.
About The Author:
Rohan Wiese is a Technical Writer at Aryson Technologies. He is an expert Email Forensic, Cloud Computing, and a passionate nerd with over 10 years of experience in technical content writing. He writes about Cloud Migration, Database Recovery, Email Backup, Windows, Mac, and Tech.
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