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Hosted PBXs: Fortune 500 Features, Small Business Price
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By Greg Brashier


Other features can run the whole range of the best PBX hardware. Calls can be transferred between employees even though the people are in different locations. Many systems can receive faxes for you and forward them to your email address. Some include integrated conferencing. They can often change operational modes automatically to match your hours of business.

Better systems allow departmental queuing. The best include full Automatic Call Distribution (ACD) queues that can load balance calls across a department of employees or be set up as “skills-based” queues that send more calls to your best workers. And callers can be given the opportunity to hold for “the next available representative” if everyone is busy.

Almost any feature that is available in a Fortune 500-level PBX can be part of a hosted PBX, but the cost is much, much lower.

Industry studies have estimated that the cost of buying and setting up new hardware phone systems can run from $500 to $2,000 per employee. The low-end figure is for basic equipment, while the upper end would include the features mentioned above. For a ten-person company, that would span $5,000 to $20,000. The up-front cost of a hosted system can be as little as $25.00, plus monthly usage fees. Typical monthly costs for a hosted system providing service for 10 people can easily be as little as $200 per month, or $20 per user, making the payback period vs. buying the hardware anywhere from 2 to eight years. If you include the ongoing costs of support, maintenance, and upgrades for a hardware PBX, the payback period is even longer – much longer.

Meanwhile, you’ll get the features of the high end system, without having to manage a big capital expense. And if you choose the right provider, your hosted system will be constantly upgraded at no cost to you. Add in the cost savings from needing less physical office space (if aspects of your company are virtual) and the savings can be staggering.

Hosted systems are also scalable. You can start with just a few extensions and grow to any size you want, without new hardware purchases or installation. This eliminates the need to overbuy for today’s requirements yet you won’t find yourself running short of “seats” for your employees at some point in the future.

Whether yours is a new business just getting started, or an existing firm, a hosted PBX system can give you all the benefits of a Fortune-500 phone system at a price you can afford.

Greg Brashier is the Vice President of Marketing for Virtual PBX.
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