4 ways hosted VoIP benefits small business

By Samantha Cortez

Voice over internet protocol (VoIP) is a way of sending voice communications over the internet. The service relies on broadband rather than a traditional telephone landline. There are several benefits to be found in this type of communication system, including those for small businesses

Cost savings

Compared to traditional private branch exchange systems, VoIP hosted PBX is less expensive to install, operate and maintain. This is because it is hosted by a third party and not solely reliant on physical equipment on the business premises. There are also cost savings in the customer service department because of increased efficiency in communications.

Small businesses utilizing remote workers, teams, have a high volume of calls, or multiple office locations, in particular, can see benefits. Operational call costs can be significantly lowered if the company does not pay an additional amount for such communication services. VoIP systems allow for seamless connections between the main office and office workers.

Current technology

VoIP systems are known to deploy state-of-the-art technology without the costs of upgrading a traditional PBX system. Capital investments in technology and related equipment can be difficult for small businesses to achieve. When using a hosted VoIP system, upgrades are delivered in a timely manner so that current features are available.

Painless transitions

Businesses are rarely static throughout the life of the operation, and transitions such as moving, growing, and downsizing are not uncommon. VoIP systems allow businesses to take their phone numbers with them when they move. Whereas traditional phone lines require a new number, VoIP numbers move with the organization, which can reduce missed calls from customers.

Scalability in communications traditional PBX systems can be costly. However, with hosted VoIP systems, changes in the number of lines or connections are typically provided without penalties, and some can be adjusted on a monthly basis. This makes such transitions seemingly painless for small businesses that have traditionally been deeply impacted by such changes.

Improved customer service

When customers can contact their desired extension directly from the main number, it can positively impact customer service by preventing multiple hold placements, getting lost in the system, hitting a dead end or possibly being disconnected. Avoiding these pitfalls can help improve customer communication. In most small businesses, every customer counts, making each interaction and communication highly significant.

Using a PBX system that is VoIP hosted can have several positive outcomes on small businesses. Cost savings is only one benefit, but multiple advantages exist for those businesses with corresponding needs and goals.


Samantha Cortez is managing editor for Scalefluence.com, an influencer marketing SaaS & marketplace. She has written for some of the largest publications in America, including Business Insider & 20/20 Magazine. Sam loves to travel, often working remotely from Europe.

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