How to Choose the Best VoIP Business Phone System for Your SMB
Small and medium-sized businesses (SMBs) are rapidly replacing traditional PBX systems with modern, cloud-based VoIP phone systems. Why? Because VoIP (Voice over Internet Protocol) offers unbeatable flexibility, cost savings, and essential features like SMS texting, mobile app access, and cloud-based system management.
In this post, we’ll walk you through the key considerations for selecting the best VoIP phone system for your SMB. We'll also compare VoIP to legacy PBX systems and emphasize the importance of a mobile-first, usage-based model to avoid overpaying for unused user seats.
What Is VoIP and How Is It Different from PBX?
Legacy PBX (Private Branch Exchange) systems rely on expensive on-premises hardware and physical telephone lines. By contrast, VoIP uses your internet connection to manage calls, making it far more flexible and affordable.
Key advantages of VoIP vs PBX:
- Lower upfront costs: No need for costly hardware installations.
- Scalability: Add or remove users on-demand.
- Mobility: Use mobile and desktop apps to stay connected anywhere.
- Unified communication: Integrate voice, SMS, voicemail, and video.
- Advanced features: From call routing and analytics to voicemail transcription.
Key Considerations When Choosing a Business VoIP System
1. Mobile-First Experience
A modern business phone solution must offer a powerful mobile-first experience. Ensure your provider offers feature-rich iOS and Android apps with full access to calling, voicemail, and SMS capabilities.
2. Unified Voice and SMS Communication
Look for a provider that enables business text messaging using your main number. This includes support for:
- Two-way SMS and MMS
- Shared team inboxes
- Call-to-text follow-ups
- Automated and scheduled text messages
For an in-depth look, read Alianza’s complete guide to business text messaging.
3. Flexible, Usage-Based Pricing
Avoid flat-rate per-user pricing that leads to underutilized spending. Seek out usage-based VoIP pricing models where you only pay for actual usage—minutes, texts, and features—with unlimited users supported.
Explore why Telzio recommends avoiding per-user fees.
VoIP Features to Look For
- Auto-attendants and IVR menus
- Ring groups and call queues
- Visual voicemail and voicemail-to-email
- Call recording and analytics
- CRM integrations like Salesforce or HubSpot
- Security features for HIPAA compliance
OnSIP outlines VoIP features and pricing strategies.
Final Word
Cloud VoIP systems offer advanced capabilities for SMBs without the high costs of legacy PBX systems. Whether you're a contractor, educator, medical provider, or niche e-commerce business, adopting a VoIP system improves customer service and team efficiency.
Next up: Learn about SMS compliance, 10DLC, E911, and regulations in Part 2.
FAQs
Q: What is VoIP?
A: VoIP (Voice over Internet Protocol) is a communication technology that allows you to make phone calls over the internet rather than traditional telephone lines. It reduces infrastructure costs and adds flexibility, enabling calling from smartphones, desktops, and tablets.
Q: Is VoIP cheaper than PBX?
A: Yes, VoIP eliminates the need for physical phone lines and costly PBX hardware. Most VoIP services offer pay-as-you-go pricing or affordable subscriptions that significantly reduce overall communication costs.
Q: Can I send text messages with VoIP?
A: Absolutely. Most modern VoIP providers offer SMS and MMS support using your business phone number, allowing you to text customers and receive replies in a centralized inbox.
Q: Will VoIP work on mobile phones?
A: Yes. Leading VoIP platforms provide mobile apps that let you make and receive calls, check voicemail, and send texts—all from your smartphone using your business number.
Q: Is VoIP reliable for SMBs?
A: With a stable internet connection, VoIP is highly reliable. Many providers offer uptime guarantees and failover features such as auto-forwarding to mobile devices during outages.