What is Business VoIP and How Can it Benefit Me?

You've heard about the benefits of using a VoIP phone system for your business, but you don't really understand what it is. Let's unravel this small mystery.

voip phone

With the new year in full swing, your main focus when it comes to your business is to save money and make even more money. Sure, marketing and strategic planning have a hand in this. But did you know that something as simple as springing for a VoIP phone system can do wonders for your bottom line?

VoIP, also known as Voice over Internet Protocol, is all the rave in the telecommunications world today. And for good reason. An increasing number of businesses have tapped into it because the costs for jumping on the bandwagon are practically slim to none.

So, you've heard about the benefits of using a VoIP system for your business, but you don't really understand what it is. We've compiled a guide on this new technology and what it means for your company.

Let's jump in!

What Exactly Are VOIP Phone Systems?

With VoIP, voice can easily be transmitted over your company's data network. As a result, VoIP essentially bypasses the hardware of traditional phone systems and instead uses the business's already-existing data network.

If you are searching for a hosted VoIP phone system service, you can generally find one that will do all of the heavy work for you offsite. For instance, the service will deliver calls to your company's software clients and phones with ease. This is especially true if your company's phones are plug and play certified.

Most VoIP systems do not require extra hardware onsite except for your new VoIP phones. This is part of the reason why this technology has achieved such wide use and acceptance recently. And you can expect the technology in it to continue to advance in the years ahead.

How do You Get Started with a VOIP Business Phone System?

Based on your company's existing infrastructure and size, getting started with VoIP may cost you virtually nothing, or it may require significant costs upfront. You'll need a connection for broadband, and the more people you'll have using your phone system at one time, the greater the bandwidth you'll need.

Also, check to see if your company's internal network can accommodate this load as well. This internal network includes your switches and routers. The majority of VoIP providers suggest utilizing a router that has Quality of Service, or QoS, settings that are configurable. Then, assign your VoIP-related traffic the greatest priority to ensure maximum quality.

Keep in mind that some internet providers have established bandwidth caps. Still, even if you have a large group of workers using your phone system, you generally don't have to worry about reaching bandwidth caps. Just keep a close eye on how much data you're using so that you don't exceed your service provider's cap.

Also, you'll have to use phones that are session-initiation protocol, or SIP, enabled for VoIP service to work for you. You may be tempted to use your company's old analog touch-tone telephones and fax machines simply by using a telephone adapter. But you'll miss out on the opportunity to use the helpful advanced features available on VoIP phones that are SIP-based.

Everywhere Access

So, why are businesses jumping all over VoIP phone systems today? One of the biggest reasons is access.

In the modern company, where employees may work on opposite sides of the globe, they can all still use their company's VoIP system as they have a connection to the internet. This technology may especially come in handy for those who work from the comfort of their own homes in different states.


The flexibility you get with a VoIP system is second to none. Say goodbye to IT, and say hello to autonomy. Users can easily make VoIP-related changes by themselves via the phone system dashboard or calling their service provider.


Another perk of VoIP? You can integrate it with other types of communication. This may be particularly invaluable for customer relationship management, as it helps to boost productivity across your support and sales teams.

Phone System Functionality

VoIP offers special features that your business can't live without in today's global economy. For instance, you can use electronic messaging, call forwarding and three-way conferencing. Other features you may find helpful in your business include the advanced distribution of calls and video conferencing.

VoIP = Cost Savings

This is perhaps one of the best reasons to go with a VoIP system. Who doesn't like to save money?

You save money with VoIP not only because of the low setup as well as maintenance costs but also because of reduced infrastructure costs. In addition, you'll notice that you're paying less in facilities costs, as you don't have a ton of phone lines snaking their way through your offices.

More Productivity

Sure, VoIP can save you money, but it can also save you time. And face it: Time is money.

With this up-and-coming technology, your employees can increase their productivity via real-time video and integrated mailboxes. Plus, they'll have no trouble learning the system, so you can bypass the exhausting training sessions.

In addition, with VoIP, more of your employees can work remotely, which may boost their satisfaction. This means they'll work harder for you. And that's exactly what you want.

What to Watch Out For

Although VoIP has been considered a blessing to many companies, it does have some drawbacks. For instance, your company's power may go out, or you might lose internet. Unfortunately, your company's VoIP service will end up going out, too.

Still, a hosted service can help you to overcome this problem by sending your incoming phone calls to your voicemail immediately. Alternatively, the service can reroute the calls to your cell phone temporarily.

Another negative of VoIP is that even though your phone system quality usually rivals a landline system's, the quality of your network can have a major impact on your call quality. In other words, a crowded, slow or spotty network can lead to your employees asking your clients, “Can you hear me now?”

How We Can Help – VoIP Buyers Advice

You want to take your business to the next level this year. We hear you. And that's why we offer top-quality buying advice about regarding products and services that can help your company.

Learn more about VoIP phones and how they may benefit your company in the months and years to come.

Author: Hudson Piccini

Hudson Cynar, a Harvard University alumna and the owner of three prosperous enterprises, is a distinguished business consultant, author, and writer. Her expertise spans multiple business sectors, with a particular emphasis on storage containers, commercial copiers, payroll services, and medical billing software. Dedicatedly investing thousands of hours into product and service research, Hudson crafts insightful reviews to guide entrepreneurs in making informed decisions for their businesses.