Power Automate or n8n: which fits a Microsoft 365 company?
Power Automate fits companies that live in Microsoft 365; n8n fits workflows across many SaaS tools, custom code and self-hosting. A verdict table, licensing, connectors and governance.
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In short: If your company lives in Microsoft 365 and most automations move data between Outlook, Teams, SharePoint, Excel and Dynamics, Power Automate is usually the better fit because it is built into that environment and its admin controls. Choose n8n when your workflows mostly connect non-Microsoft tools, need custom code or complex logic, or must run on infrastructure you control. Many companies use both.
Verdict by situation
| Situation | Better fit |
|---|---|
| Approvals in Teams and Outlook | Power Automate |
| Files and lists in SharePoint and OneDrive | Power Automate |
| Desktop automation of legacy Windows apps | Power Automate (desktop flows) |
| Many SaaS tools outside Microsoft | n8n |
| Custom APIs, loops and code-heavy logic | n8n |
| Data must stay on your own servers | n8n (self-hosted) |
| IT wants central governance in the Microsoft admin centre | Power Automate |
Licensing
Power Automate is licensed per user or per flow, with some capabilities included in Microsoft 365 plans and premium connectors requiring a paid plan. Check Microsoft's Power Automate pricing page for current terms.
n8n offers a cloud service and a self-hosted option; self-hosting moves the cost to hosting and maintenance. See n8n pricing.
Compare on your real usage: number of users who build flows, number of runs, and which connectors are premium.
Connectors
- Power Automate has deep connectors for Microsoft products and many third-party apps; some are premium.
- n8n has a large library of integration nodes and a generic HTTP Request node for any API, plus code nodes in JavaScript and Python.
If an app you depend on lacks a connector in one tool, check whether its API is simple enough to call directly.
Governance and security
| Area | Power Automate | n8n |
|---|---|---|
| Identity | Microsoft Entra ID | n8n users; SSO on paid plans |
| Data policies | Data loss prevention policies in the Power Platform admin centre | Instance and project permissions; network controls if self-hosted |
| Environments | Power Platform environments | Separate instances or projects |
| Audit | Microsoft admin and audit tools | Execution logs; log streaming on paid plans |
For regulated teams already standardised on Microsoft, Power Automate's governance is a strong reason to stay. For teams that want full control over where data runs, self-hosted n8n is the reason to switch.
Using both
A common pattern: Power Automate handles approvals and document flows inside Microsoft 365, and n8n handles integrations with CRMs, ERPs and other SaaS, calling each other through webhooks or a shared queue. Keep one owner and one inventory across both.
FAQ
Is n8n a Power Automate alternative?
For many integration workflows, yes. For deep Microsoft 365 approvals, desktop automation and Microsoft-native governance, Power Automate is usually stronger.
Can n8n connect to Microsoft 365?
Yes. n8n has nodes for Outlook, Teams, OneDrive, Excel and other Microsoft services, using Microsoft credentials.
Which is cheaper?
It depends on users, run volume, premium connectors and hosting. Price both on your own numbers.
Can we migrate from Power Automate to n8n?
Yes, as a rebuild. Inventory flows first and migrate the ones that benefit most.
How Octacer helps
Octacer builds and repairs automations in Power Automate, n8n, Make and Zapier, and helps teams pick the right engine for each workflow. See our automation services and our Make workflow automation playbook.
Next step
List your top ten workflows and mark which systems each touches. If most are Microsoft-only, start with Power Automate; if most are not, look at n8n. Book a call for a second opinion.
Sources
- Microsoft, Power Automate pricing: https://www.microsoft.com/en-us/power-platform/products/power-automate/pricing
- n8n, Pricing: https://n8n.io/pricing/
- Microsoft Learn, Data loss prevention policies: https://learn.microsoft.com/en-us/power-platform/admin/wp-data-loss-prevention
Written by
Octacer Team
Octacer
Written from real client builds at Octacer: the systems, the trade-offs, and what we would do again.