Migrating Exchange 2010 mailboxes to Office 365 Cloud

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Hi

I have an AD 2008 with Exchange 2010 setup in a LAB, along with an Office 365 Test LAB too.  3 users have been successfully synced using the AADS with Password Hash Sync.  Teams, office etc works.  Now at the stage of an Exchange Migration.  Current setup is with a minimal Hybrid.   Mailboxes are "on premise", user logs in fine sees mail etc.  When assigned a license in O365 the user is assigned as a mailbox user rather than a mail user and therefore migration wont work.  Duplicate mailboxes with 2 different guilds. I waited for ages before assigning "Exchange on-line" license.  If anyone could point me in the right direction of what I am doing wrong I would be grateful.

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