Many businesses depend on a stable communication infrastructure to manage interactions with existing and potential clients. Reliable phone systems also make it easy for everyone within the organization to communicate with each other, leading to enhanced productivity and efficiency. Through technological advancements, phone systems have come a long way, from traditional telephony to voice over internet protocol (VoIP). Here’s what you need to know in choosing the right system for your business.

What Does PBX Mean?

PBX, which stands for Private Branch Exchange, is a phone system that allows free communication among users in an organization and manages both outbound and inbound calls. Traditional telephony involves hardware, like switches and hubs, to split a single phone line into several extension numbers. With VoIP, PBX has become more advanced with several features and enhancements, minus the high costs of maintaining premise-based phone lines. It comes in two types, hosted and cloud-based PBX.

How Is Hosted PBX Different From Cloud-Based?

There really is no difference between Hosted PBX and Cloud-based PBX.  The original term Hosted PBX encompassed everything Cloud PBX does today.  Both types of phone systems rely on the internet for connectivity and utilize remote servers located off-site for functionality. Both systems allow you to quickly scale call paths and provide additional on-demand call paths as needed to avoid hearing busy signals.  With this flexibility, both PBX systems are typically billed depending on usage and quantity of users, making it ideal for start-ups or expanding companies.

How Will It Benefit My Business?

For small and medium-sized businesses, cost-effectiveness is an important benefit of choosing hosted or cloud PBX phone systems. It reduces operating expenses involved in the installation and maintenance of several phone lines, especially for organizations with multiple locations. With hosted or cloud-based PBX, businesses still have access to enterprise features such as call forwarding, unified messaging, three-way conference calls, and others.

If your business is expanding, upgrading to VoIP phone systems is one of the first things you should consider. Trust the experts at ACC Telecom in Columbia, MD, to deliver reliable services for your company’s voice and data needs. For over 30 years, they have been the leading provider of business phone systems throughout the mid-Atlantic region. Call (410) 995-0101 or visit their website to learn more about their phone services.