Deciphering Your Business Phone System Options: The PBX System

By Mark Etinger
When starting a new business, there are many tasks running through your mind and you may forget one of the most important decisions, choosing a business phone system. If your business has decided to go with a PBX phone system, you may be surprised to learn there are actually several types of PBX systems. Learn about the advantages and choose which hosted phone system will benefit you the most.

-First, there is your simple PBX phone. A PBX, or private branch eXchange, is a privately owned phone system for handling multiple phone lines and routing calls. Depending on the services you need, it can be costly or rather cheap. Typical features include call forwarding, voice mail, caller ID, and conferencing. With the huge rise in VoIP phones, traditional PBX phones are being used less because they are harder to install and need to be connected to a land line. However, they remain a very stable option and are favored by medium to large-sized businesses.

-The next type of phone system is a hosted or virtual PBX phone. Users can receive and manage calls through one main phone number with a virtual PBX phone. The main difference of this phone is that users can manage calls through the Internet. There is no need to pay for extra hardware. Simply log on and choose how to set up your system. Basic features include redirecting calls to mobile phones, home phones, or faxes, online voicemail, online call logs, and dial-by-name directories. Businesses will save money with reduced costs without having to skimp on features and flexibility. While a PBX may be better for larger corporations, hosted PBX phones are great for every type of business, no matter the size.

-In order to compete with the growing VoIP market, there is VoIP PBX, also known as IP PBX. This hosted phone system brings the benefits of both worlds together. Costs are greatly reduced since there is no extra hardware to install. Phones can be connected to a computer port, rather than deal with wires. Like a virtual PBX, you can manage your system online. Just install software and you're ready to start taking calls. Computer software allows for more features to be added. Caller information can be brought up on the computer which will improve customer service. Low costs means it's affordable for small and large companies.

-The last type of business phone system is a hosted or virtual IP PBX. A virtual IP PBX system is ideal for small to mid-size businesses because the equipment is held and maintained by your service provider. There is no need to pay for installing and maintaining extra equipment. All the same great features and benefits are offered as with the other systems.

Cost and functionality should be your main factors when deciding which to choose, especially if you're a small business. PBX phones that combine the power and flexibility of VoIP are your best option, no matter what your size. Make the right call to set up your business phone system today.

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