Hello @David Schrag
I cannot make sure whether do we need two groups, this better to be confirmed with Fslogix support team.
The following is what I can find , hope give you a little help.
Microsoft 365 groups
Microsoft 365 groups are used for collaboration between users, both inside and outside your company. With each Microsoft 365 group, members get a group email and shared workspace for conversations, files, and calendar events, and a Planner.
You can add people from outside your organization to a group as long as this has been enabled by the administrator. You can also allow external senders to send email to the group email address.
Microsoft 365 groups can be configured for dynamic membership in Azure Active Directory, allowing group members to be added or removed automatically based on user attributes such as department, location, title, etc.
Microsoft 365 groups can be accessed through mobile apps such as Outlook for iOS and Outlook for Android.
Group members can send as or send on behalf of the group email address if this has been enabled by the administrator.
Security groups
Security groups are used for granting access to Microsoft 365 resources, such as SharePoint. They can make administration easier because you need only administer the group rather than adding users to each resource individually.
Security groups can contain users or devices. Creating a security group for devices can be used with mobile device management services, such as Intune.
Security groups can be configured for dynamic membership in Azure Active Directory, allowing group members or devices to be added or removed automatically based on user attributes such as department, location, or title; or device attributes such as operating system version
Have a great day!
Best Regards
Karlie
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