Small Business Phone System Selection Criteria is an overview of the key factors an entrepreneur should look into as a part of purchasing business phones.

Business phone systems are an essential component of success. Whether it’s installation of a new small business phone system, replacing the current one, or an expansion, there are many scenarios to consider. DIY options are discussed online, however, nothing compares to professionally done work.

Once a budget is determined and your Information Technology (IT) staffing needs are accessed, consult with a telecommunications company. These experts consider location and communication types. Your input is used to design a telephone system to meet current and future needs. At this time consider how frequently international business calls and travel will be required and which applications will be beneficial. Cost-cutting hosting options can be discussed and often a price quote is available very quickly.

Small Business Phone System Selection Criteria – Types of Business Phone Systems

Key Telephone Systems (KTS) will meet the needs of a small business with less than a dozen users. This selection will provide landlines with multiple buttons (“keys”) that light up whenever a line is in use. There are no assigned extensions or Direct Inward Dial Numbers (DID) that ring only on certain phones. Users do not have private voicemail boxes and incoming calls ring on every phone in the office.

This type of phone system does offer hold buttons, music-on-hold, and memory dialing. Other features include paging, call transferring, and call directories. Many software providers can expand options to include call accounting and other features.

KTS relies on central office (CO) lines connected to your phone company for out-going calls. A private branch exchange (PBX) allows several outside lines from the CO to be shared and contains the switching for selection of these lines. The largest outlay will be for new handsets. Multi-line corded phones provide security, though many businessmen prefer the portability of cordless models. Some providers offer both for maximum flexibility. Installation costs can be reduced if the system is compatible with in place wiring. Installation and maintenance both require a professional.

All businesses with multiple extension lines require PBX call management software. All incoming calls go through the office system network. Landlines can be used to make and connect all calls. An automated attendant, actually a pre-recorded voice, directs calls to the correct department or extension. Outgoing calls are routed through the PBX system. Price estimate: $5,000 initial installation, $6,600 annually.

Traditional PBX software is in the same category as key telephone systems. One main difference is that PBX is supported by a central control unit at the business location rather than the public switched telephone network (PSTN). They connect to the PSTN as needed. Businesses that have one location, small call volumes, and only require the most basic telephone features are compatible with this digital system. It is integrated into the networking systems used for email and other online functions. Price estimate: $4,800 for installation of basic system and first month’s maintenance fee, $3,000 annually.

Internal Internet Protocol (IP) PBX is an upgrade of traditional PBX. The price for large amounts of hardware and the installation of IP is high, however, overall costs are lower. More features are available due to Voice over Internet P (VoIP) calling. The system requires less maintenance and can usually be managed by the in-house IT staff. Statistics indicate that the VoIP can result in approximately 50% lower monthly operating costs.

The amount of lines are only limited by bandwidth space on the company’s Internet connection. Call data is compressed into digital packets so that each call takes up very little space. IP PBX works well for companies that desire both direct control over their PBX configuration in-house and elimination of subscription fees. Price estimate: $3,000-$6,000 for server, software and cards, $7,000 annually.

Hosted VoIP systems are a popular option for a small business phone system with operations off-site. The company you select will provide information on mobile device integration for sales or other staff who work outside of the office. All incoming calls will go through the office system network.

Hosting refers to leased cloud-based PBX phone systems. Benefits are improved customer service, expansion of website effectiveness, and more positive attention overall to your brand. VoIP phones and services will insure that you will never miss a call from potential clients or other opportunities. The provider delivers all the benefits of a professional business phone system at lower operating costs. Most are flexible enough to address your initial needs, expand as needed with your enterprise, and continue to remain affordable.

Mobile integration allows mobile devices to become extensions of the office phone. Discuss availability of dual persona or work-time applications to accommodate staff members that generally work remotely. Each agent will be able to access the customized features, just as if they were at their desks. Users communicate via voice or text on smart phones and other devices such as tablets, computers and desk phones – using 800 numbers that provide toll-free inbound calls. It is also possible to choose a signature ringtone. This adds up to a superb business phone system return on investment (ROI) for your company.

An established provider of business communications will set up phone connections through your Internet system. Secure cloud based PBX phones eliminate the need for software downloads and bulky on-site hardware. Initial investment may be lower. A monthly fee is charged for the smart phone sets which are connected to the hosted remote server. Phones have over 100 features, select those that suit your individual requirements.

The equipment is attractive and technologically designed to insure reaching the next level of success. All upgrades and maintenance issues are covered, saving more of your time, money and decreasing distractions. Hosted VoIP lets you add or decrease the amount of phones as needed. The goal is to provide enhanced management of your business, whether in-house or at remote locations. Cost estimate: $500-$15,000 for cables, routers, configuration and phones, annually $120-$500.

Virtual PBX or cloud PBX costs less than hosted PBX. Features such as call transfer, call queuing, and caller identification are available. Conference calls capabilities are updated with the cloud, making meeting and other scheduling simpler. VoIP phones also provide voice mail with email interface, fax facilities, and auto attendant. Cloud PBX is an ideal low-cost choice for companies that only require this limited number of features. More savings result from the internal calls that run through the internet. If the business makes very few external calls, this is an attractive solution.

The service can be programmed to follow you around or transfer calls directly to your cell phone. If your business location moves services are not effected at all. There’s no need to schedule an appointment for a transfer because there is no hardware to move. Additionally, power outages are not an issue, backup power for your business phone system is always available. Raise the professional level of your product or services and optimize your budget. If global access is a priority, a transition to the cloud may be a better option. Cost estimates: $0-$30 for activation and set-up, annually $200-$400 depending on selected features.

What are your Small Business Phone System Selection Criteria?