How to Create a Microsoft Teams Team and Channels

TL;DR: From the Microsoft Teams admin center, go to Teams > Manage teams > Add, name the team, set privacy (Public/Private) and sensitivity, and create. Or end users can do it themselves from the Teams app: Teams rail > Join or create team > Create team, if your policies allow it. Channels are added inside the team after creation.

Teams underpin most everyday collaboration in Microsoft 365 — they’re a Microsoft 365 group with chat, channels, files, meetings, apps, and a SharePoint site stitched together behind a single membership list. This guide creates one from the admin center (the IT-driven path) and notes the user-driven path.

What this does

Creating a team provisions:

  • A Microsoft 365 group in Microsoft Entra ID with the team’s membership
  • A mailbox for the group (used for email-to-channel)
  • A SharePoint Online team site for the team’s files
  • A OneNote notebook stored in the team site
  • A default General channel
  • A team in Microsoft Teams that surfaces all the above in one workspace

When end users create teams from the Teams app, they get the same set. When admins create from the Teams admin center, they get an additional grid view to manage the team’s properties (channel counts, owners, sensitivity, expiration) afterward.

When you’d want this

  • A new project, department, or working group
  • A persistent workspace for an ongoing initiative
  • Externally collaborative work where you want shared files, chat, and meetings under one membership

When to not create a team: if it’s a one-off conversation (use a chat), if it’s a private cross-team discussion that doesn’t need files (use a chat), or if it’s strictly email (use a Microsoft 365 group or a shared mailbox).

Steps

Option A: Microsoft Teams admin center (admin-driven)

  1. Sign in to the Teams admin center at https://admin.teams.microsoft.com as a Teams Administrator or Global Administrator.
  2. Go to Teams > Manage teams.
  3. Select Add.
  4. In the Add a new team pane:
    • Team name — the display name (also becomes the SharePoint site name and the team’s email address).
    • Description — searchable, displayed to members.
    • PrivacyPublic (anyone in the organization can join) or Private (joining requires owner approval).
    • Sensitivity — your organization’s sensitivity label, if configured (drives external sharing, encryption, retention).
  5. Select Apply.
  6. Add owners and members in the flyout.
  7. Select Apply again to finish.

The team is created within a minute. SharePoint site provisioning runs in the background and may take another minute or two before the Files tab is fully ready.

Option B: Teams app (user-driven)

End users can create teams themselves if the Group creation policy allows it (it’s enabled by default).

  1. Open the Teams app.
  2. Select the Teams icon in the left rail.
  3. Select Join or create team at the bottom of the team list.
  4. Select Create team.
  5. Choose a starting point:
    • From scratch — empty team, you pick channels later
    • From a group or team — clone an existing team’s structure
    • From a template — Microsoft-provided or custom (see Templates below)
  6. Pick Public or Private.
  7. Name the team and optionally describe it.
  8. Add members (or skip and add them later).

Option C: PowerShell

Useful for scripted provisioning:

Connect-MicrosoftTeams

# Create a private team
$team = New-Team `
  -DisplayName  "Project Phoenix" `
  -Description  "Cross-functional team for the Phoenix initiative" `
  -Visibility   Private `
  -MailNickname "project-phoenix"

# Add owners and members
Add-TeamUser -GroupId $team.GroupId -User "alex@contoso.com" -Role Owner
Add-TeamUser -GroupId $team.GroupId -User "sam@contoso.com"
Add-TeamUser -GroupId $team.GroupId -User "kim@contoso.com"

# Add a couple of channels
New-TeamChannel -GroupId $team.GroupId -DisplayName "Planning"
New-TeamChannel -GroupId $team.GroupId -DisplayName "Engineering" -MembershipType Private
New-TeamChannel -GroupId $team.GroupId -DisplayName "Vendor X" -MembershipType Shared

Channel types

Once the team exists, add channels for substreams of work. There are three types:

Type Visible to Use it for
Standard All team members The default; everyone in the team participates
Private A subset of team members Sensitive conversations within the team (a leadership channel inside a department team)
Shared Selected people including external organizations Cross-organization collaboration with shared channels — needs Microsoft Entra B2B Direct Connect configured

Standard channels share the team’s SharePoint site. Private and shared channels each get their own SharePoint site (and their own access controls). The team’s General channel is automatically created and can’t be deleted.

Add a channel

In the Teams app: hover over the team name, select the More options (•••) menu, then Add channel. Pick a name, description, and type.

In the admin center: drill into the team from Manage teams, Channels tab, Add.

Templates

If you create the same shape of team repeatedly (say, every new client gets a General, Planning, Delivery, Customer channel set with specific apps), build a template:

  1. In the Teams admin center, go to Teams > Team templates > Add.
  2. Choose Create a brand new template or Use an existing team as a template.
  3. Define template name, description, channels, default tabs, apps.
  4. Save.

Templates can take up to 24 hours to appear in the Teams app’s gallery. Microsoft also ships a set of pre-built templates (Onboard Employees, Manage a Project, Crisis Communications, Incident Response).

Notes and gotchas

  • Naming conventions. The team name becomes the email address (team-name@yourtenant.onmicrosoft.com) and the SharePoint site URL. Lock down a naming policy at the Microsoft 365 group level if you don’t want a wild west of names.
  • Group expiration. If your tenant has a Microsoft 365 group expiration policy, teams expire on that policy too. Inactive teams get archived and deleted.
  • Public vs Private. Public teams are searchable and joinable by anyone in the org. For most teams, Private is the safer default.
  • Guest access. Adding external users as guests requires guest access to be turned on in Microsoft Entra ID, in Microsoft 365 Groups, and in the Teams admin center. All three must be on.
  • Shared channels and B2B Direct Connect. For cross-tenant shared channels, configure trust relationships under Microsoft Entra ID > External Identities > Cross-tenant access settings before users see external organizations as available.
  • Permissions. Team owners can do most things. Group creation policy in Microsoft Entra ID controls who can create teams in the first place — the default is everyone, but many enterprises restrict to a security group.
  • License. Users need a license that includes Microsoft Teams (most Microsoft 365 plans include it). Guests don’t need a license.
  • The General channel can’t be deleted. It can be hidden per user, but not removed. Plan around it.
  • Up to 24 hours for changes to propagate. Channel adds, app changes, and policy updates can take up to a day to appear for all members. Don’t troubleshoot too aggressively in the first hour.