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Is Hosted PBX for You?

BroadConnect
Article Written by BroadConnect on May 10, 2016
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I know, I know. Telecom talk is pretty boring, but it is important. If I told you hosted Private Branch Exchange (PBX) service could save you thousands of dollars compared to traditional PBX service, would you listen? Good. Now that I have your attention, let’s discuss some keys in determining if Hosted PBX service is for you.

The basics of traditional PBX – How hosted service is different 

Traditional PBX service involves creating a hard connection from your phone lines to the national telephone network, or the Public Switched Telephone Network (PSTN). If your new business location already has the wiring set up, connecting your phone line involves purchasing some phones and wires, and making a few phone calls for service. If your location does not already have a PBX framework built in, however, establishing one could cost you thousands of dollars due to technician setup fees, user expansion over time, maintenance, and upgrades. Before you buy, know there is a better way.

The advent of the Internet has been exceptionally useful for more than just watching reruns of Archer (*boop!). One of the most significant capabilities the Internet provides is hosting, not just for data, but also for phone service. As such, Hosted PBX service allows you to get all the perks of having a reliable business VoIP phone system, without all the time and resources required for infrastructure setup and maintenance.

What you need to know about Hosted PBX

Hosted PBX, in essence, is a reliable, cost-effective digital business phone system, based in the Cloud. And since it’s hosted, your service provider will be responsible for all external infrastructure, technical support, maintenance, and upgrades. The host will handle any hiccups with your service, so you can rest easy, and know your concerns will be taken care of. This allows you to save precious internal resources for more important things – like getting new clients. It’s also incredibly affordable compared to traditional PBX systems because the required infrastructure is minimal.

What you’ll need

To set up Hosted PBX service, you’ll still need some internal equipment (sorry). You’ll need a router, very good broadband Internet, and phones/headsets. Most telecom service providers have some equipment available for lease, so look into this option if it interests you (which might give you access to newer IP telephone technology, at a bargain). Traditional phones also work with hosted PBX service, although most users report better functionality with IP telephony.

The most important thing to set up when establishing Hosted PBX service is a strong broadband Internet connection that has not contended. This means you need powerful service that is not shared with other users. This ensures your call quality remains high, and that your Cloud connection is strong enough to support your needs.

To calculate your broadband needs, multiply the number of users you need times 30 kilobits per second of bandwidth (the average VoIP client call). This will give you an idea of the bandwidth capacity you’ll need. Once you have this, you’re all set. Now let’s get down to the money.

How much can I save?

Hosted PBX service is much more affordable than traditional service. First and foremost, you will you be able to eliminate expenses related to capital expenditures, internal communication, and on-site maintenance. Most Hosted PBX service allows for free internal communication between users, and since your infrastructure lives in the Cloud, you can keep your service even if you change locations (typically without moving costs). With this, no matter how many users you add or remove, you won’t have to worry about hard-wiring new phones to the PSTN.

Another benefit of Hosted PBX service is the ability to combine your telephone and data networks. This allows you to keep better track of data for reporting purposes and supports enhanced efficiency in the workplace. Last, but not least, since Hosted PBX service relies on your existing data service, so your organization can save on energy costs associated with traditional, power-hungry business phone systems.

How to select the right service for you

There are tons of business phone systems options available, including SIP Trunking, Skype for Business and outsourcing your call center. If you think Hosted PBX is right for you, check out BroadConnect’s Hosted PBX solutions. It is the leading provider of business phone systems in Canada.

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