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Hi David. The list view limit on a library is 5,000 items. This is a combination of files and folders and applies to all files and folders in the library. If you go over that limit that some admin functions of a list are limited such as breaking permissions inheritance. There is also another limit that is not so well known: 5,000 item limit on a single folder - if there are more than 5,000 items in the root of a folder this can cause further complications for example some file listing operations outside of the browser (such as through WebDAV) will be impacted and show no files.
The OneDrive for Business sync tool has a hard limit of 5,000 items for team site document libraries. If you go over that limit then the sync tool will not work.
If you plan to use the sync tool, then don't go over the 5,000 item limit. If you don't plan to use the sync tool then you are fine to exceed the limit but make sure you perform admin functions such as indexing options, breaking permissions inheritance before you go over 5,000 items.
Myles Jeffery | Thinkscape Limited
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