We recommend that you use Teams your go-to app for collaboration and coauthoring.
Sharing within Teams
Sharing files and coauthoring in Teams is easy - you can share files in a one-on-one chat, a group chat, or a team channel. Select the paperclip icon below the box where you type a message to upload a copy of your original file. Or upload a file by going to the Files tab of a chat and selecting Share.
Share links to documents in email
If you want to share a file with someone outside your organization, open the file in Microsoft 365 on the web or a Microsoft 365 app and share it from there.
First you have to manage who should get access to the document. In Word, go to the Share button and Manage Access.