The margins for small business owners are typically tight, but in the current climate, where the cost of utilities and office space is not matched by the strength of the economy, it more important than ever to keep overheads down and make savings on every day running costs wherever possible. There are many ways that new technology can help save companies money, from remote working to cloud data storage, but even the cost of telephony systems can benefit from the tech evolution. Here we take a look at how hosted telephony services can cut costs for companies.

If you want to run your own in-house telephone system, you need to set up a private branch exchange (PBX) – a telephone exchange which connects the internal calling system within an office. This involves up-front set-up costs – which is often a burden on businesses as there are many start-up costs to be dealt with – followed the added cost and hassle of regular maintenance. Then before long the system needs an upgrade and the whole cycle starts again.

Saving Small Businesses Money with VoIP

Using a hosted telephony provider can take away all these hassles. Using Voice over Internet Protocol – or VoIP – means all the telephony equipment, including exchanges and switches, is operated remotely by the hosting provider at a secure high-powered data centre. All the business owner needs to do is arrange a service with the hosting company and connect IP phones to the office LAN network.

Doing away with all that hardware means no installation or upgrade fees – just a regular contract payment with the hosting provider which is easier to manage regarding cashflow. Most providers also have a monthly pay-as-you go licence fee that is worked out on a per-user basis – ideal for small start-up firms. What’s more, any upgrades to the telephony system are typically a part of the contract with the provider, so they are completed promptly and without charge from the hosting company’s end.

This explanation of hosted IP services from provider InTechnology will give you more information, but don’t forget to shop around for the very best available price and service which suits your needs and conduct regular reviews of the hosted services market to check for better deals.