I checked and all users have been assigned licenses. Also, I let Office 365 setup the DNS records. Here is a cut and paste of what's on Office 365's DNS system:
Domain properties|DNS manager
DNS records for kleinandsheridan.com
Create and manage custom DNS records by using the table below. These records enable you to route traffic from your domain on Microsoft Office 365 to services hosted by other providers. Learn more
New▼|Edit|Delete
Type▲ Host name Points to address or Value TTL
A @ 72.167.232.213 1 Hour
CNAME www kleinandsheridan.com 1 Hour
CNAME tack portal.microsoftonline.com 1 Hour
CNAME mail portal.microsoftonline.com 1 Hour
New▼|Edit|Delete
DNS records for Microsoft Office 365
These are the DNS records for your Microsoft Office 365 services. They are displayed for your information and cannot be modified.
Type Priority Host name Points to address TTL
MX 0 @ kleinandsheridan-com.mail.eo.outlook.com 1 Hour
CNAME - autodiscover autodiscover.outlook.com 1 Hour
CNAME - sip.kleinandsheridan.com sipdir.online.lync.com 1 Hour
CNAME - lyncdiscover.kleinandsheridan.com webdir.online.lync.com 1 Hour
Type TXT Name TXT Value TTL
TXT @ v=spf1 include:spf.protection.outlook.com -all 1 Hour
Type Service Protocol Port Weight Priority Target Name TTL
SRV _sip _tls 443 1 100 sipdir.online.lync.com kleinandsheridan.com 1 Hour
SRV _sipfederationtls _tcp 5061 1 100 sipfed.online.lync.com kleinandsheridan.com 1 Hour