Permission & Access Issues

How to Fix SharePoint Folder Permission Error When Granting Access to a Group

Chanuka Geekiyanage Oct 9, 2026 869 views

Question details

The user is unable to assign folder permissions to a group in SharePoint, encountering a 'Failed to grant access' error, although assigning permissions to individual users works.

How to Fix SharePoint Folder Permission Error When Granting Access to a Group

Product: SharePoint
Device & OS: not provided
Scenario: Granting folder access to a user group in SharePoint.
Observed behavior: SharePoint displays a 'Failed to grant access' error message when attempting to assign folder permissions to a group, despite the folder containing only one file and individual access working properly.

Before you start

Ensure you have Site Owner or Full Control permissions for the SharePoint site or folder before attempting to modify advanced permission settings.

Solution 1Recommended

Manage Parent Permissions in Advanced Settings

Use the advanced permission settings to manage parent inheritance and grant access directly to the group.

Often, SharePoint folders inherit permissions from their parent site or library. Managing parent permissions ensures that the folder follows the correct permission structure, resolving conflicts that block group access.

Access Folder Permissions

Navigate to the folder in SharePoint, click on the three dots (ellipses) next to it, and select 'Manage access'.

Open Advanced Settings

Scroll down to the bottom of the Manage Access panel and click on 'Advanced' to open the detailed permissions page.

Manage Parent Permissions

In the ribbon at the top of the Advanced permissions page, click on 'Manage Parent' to adjust the inherited permissions.

Grant Permissions

Click 'Grant Permissions', enter the name of the group you want to share with, select the appropriate permission level, and click 'Share'.

Manage Parent Permissions in Advanced Settings

Troubleshooting Tip: If the error persists, try granting access to a different group or test on a different folder to determine whether the issue is isolated to a specific group or a specific location.

Solution 2

Check Group Validity and Sync Status

Verify that the group exists and is properly synced within your Microsoft 365 environment.

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Frequently Asked Questions

Why does SharePoint allow individual sharing but fail for groups?

This often occurs if the group is newly created and hasn't fully synced across the network, or if the SharePoint site has broken permission inheritance that conflicts with the group's directory settings.

How do I check if my SharePoint folder has unique permissions?

Go to the folder's Advanced permissions page. If you see a button labeled 'Delete unique permissions' in the top ribbon, the folder is currently not inheriting permissions from its parent.

Can I share a SharePoint folder with an external group?

Sharing with external groups depends on your organization's specific sharing settings. If external sharing is restricted at the tenant or site level, attempting to grant access to an external group will fail.

Document & File Issues