Create a team site to connect people on a team, or create a communication site to reach a broader audience across your company.

  1. From your SharePoint Online homepage, select + Create site.

  2. There are 2 site options to choose from:

    • Team site

      • Collaborate on projects

      • Read team-related news

      • Stay on track with a shared calendar and managed tasks

    • Communication site

      • Share news or information broadly

      • Engage with a large audience

      • Use modern, visual layouts

    Note: Although there are 2 site options to choose from, the rest of this lesson describes how to create a Team site.

  3. Select Team site.

  4. Type in a site name and see if it's available.

    Note: A corresponding Office 365 group is created with every team site in Office 365 so there's no need to make an email distribution list. Anyone can contact your entire team with this email address.

  5. Type in a description for your site.

  6. Select a privacy setting and then select Next.

  7. Add additional site owners and group members as needed.

  8. Select Finish.

Source: Microsoft