How Hosted PBX Can Save Your Business Time and Money

Posted by Sydney Boman on Jan 24, 2019 10:37:00 AM

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One of the aspects of a business that plays an essential role in its ultimate success or failure is its telecommunications systems. Without a solid telecommunications setup, communications internally between employees and externally with clients may become cumbersome and challenging. The old say of communication is key is never more important that in business. Poor communications systems can negatively impacting the performance as well as the profitability of a business.

There are two options to choose from when deciding to set up a telecommunications system for your business: the traditional private branch exchange (PBX) and the cloud hosted PBX. With the traditional PBX, the entire hardware is locally placed on your business' premise under your full control. In contrast to this, the hosted PBX is managed by a third-party service provider and is typically hosted in the cloud. Voice calls and other communications modalities are made across the internet. Of these two available choices in setting up a telecommunications system, you are most likely to save your business time and money by using a cloud hosted PBX system rather than traditional PBX. Discussed below are of the ways you can save time and money with a cloud hosted PBX system.

1. Setup Costs

The initial setup costs for a cloud hosted PBX system is much smaller than that of a traditional PBX. Some of the initial setup costs of a traditional PBX system are the cost of the facility where the equipment will be sited, hardware costs, as well as installation costs. These initial costs can significantly increase a business' capital expenses. In contrast, when setting up a cloud hosted PBX system, there is no need to purchase or lease additional space. Most of the necessary infrastructure is hosted in the cloud. The only additional hardware that may need to be purchased includes end-user communications devices such as IP telephones.

2. Maintenance Costs

Maintenance costs for a hosted PBX system are significantly cheaper compared to a traditional PBX system. Some of the expenses associated with maintaining a traditional PBX system include the costs of hiring individuals with the right skill set, costs of maintaining the site where the equipment is housed, and the costs of any equipment upgrade or upkeep. Also, some of the services may require licenses that need renewal on a regular basis. With  cloud hosted PBX on the other hand, the third-party service provider assumes all the costs for any hardware maintenance as well as upgrades or license renewals that may be necessary.

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3. Scalability

As businesses grow in size, their telecommunications services have to be scaled up to keep up with the increase in business size. With a traditional PBX system, scaling up can be a time-intensive and costly affair. Additional space may be needed and it may be necessary to purchase more equipment. All these may lengthen the time taken to expand a business' telecommunications services and in turn impact its performance. Furthermore, the amount of available physical space may pose constraints on the extent to which a traditional PBX system can be scaled up.  Scaling up is much more easily done with a hosted PBX system since the main infrastructure is in the cloud. There are no constraints to how much the system can be scaled up. With the cloud-based hosted PBX system, scaling up can be done at a fraction of the time it would take for a traditional PBX system.

4. Flexibility

Hosted PBX offers more flexible communications options compared to its traditional counterpart. Remote access, telecommuting, online collaboration and communications from multiple locations are some of the services options available to hosted PBX systems that are unavailable to traditional PBX systems. These services enable businesses to carry out their business operations more efficiently, thereby saving both time and money.

The Bottom Line

At NewCloud Networks, we are a third-party cloud hosted PBX provider willing and ready to set up your business with a hosted PBX system. We can even include SD-WAN technology to monitor and direct traffic over your network to ensure quality of service. We have experts on staff that will work with you to determine your business telecommunication needs and get you set up in no time. Contact us today for more information about our services.

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Topics: Hosted PBX, Cloud Solutions, PBx

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