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Top 3 Reasons Hosted VoIP is Perfect for New and Growing Small Businesses

Take advantage of a flexible phone system

Earlier in my life I worked at a small pizza shop and a landscaping company, so I know what it’s like to work in a small business.  Business can be great one month and down the next.  Or the business can be growing so quickly that it can barely keep up, creating a need for new employees and office locations.

In either case, the key business need is flexibility.

I’ve tackled the topic of hosted voice over IP (VoIP) from a number of angles, but one I’ve yet to cover in depth is the value of “hosted” to new and growing businesses.   While a large, established business may be relatively immune to changes in the marketplace, small businesses do not share this characteristic.  They need to be able to scale up or down immediately, without major financial impact.

That’s why I have highlighted the top 3 reasons a new or growing business may want to go with hosted voice over IP:


Steady cost structure: Think of a hosted contract as being similar to a cell phone contract.  You may need to pay an activation fee, but for the most part, you can count on your bill being the same every month.  And like cell phone carriers, Hosted providers come in all shapes and sizes.  Some offer very short contracts while others require a longer commitment.  But regardless of the provider you choose, you can count on spreading your costs out over time rather than paying for a whole new system all at once.

Expandability: Hosted services are delivered from the cloud, so a provider can easily support more phones on your system, as long as their back-end infrastructure is up to the task.  What’s more, when you want to add a user, your hosted service provider can pre-configure your phone and ship it to you.  All you have to do is plug it into your network and log in, and it is ready to go.

Ease of use: Hosted systems are famous for the value they offer.  When a provider advertises that you can get “big business features at a small business price,” they are right.  These advanced features—including voicemail, auto-attendant, call waiting, voice conferencing, and soft phone support—can make your life as a business owner much easier.  You can more easily communicate with employees and customers, which is a catalyst to business growth.

If you are a small business that is looking for a phone system that gives you the features you need without being a burden on your business, consider hosted.  The features above are by no means an all-inclusive list of the reasons why you should buy hosted.  However, they address some key highlights that new and growing businesses could benefit from.

For related information on the Top 5 Questions to Ask Before Outsourcing Your Technology, check out this article.

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2 Comments.


  1. Agree completely.

    For the Small/Medium Business Hosted is clearly an ideal choice for the reasons listed + build in Disaster Recovery/Business Continunity.

    Hosted services allow businesses to focus their attention on “core strategies and tactics” rather than managing a communications system.

    Hosted services allow businesses to retain capital or to use for other purposes rather than purchasing telephony equipment (CPE).

       0 likes

    • Jeff Beckham

      Thanks for the comment Allen. Great additions to what I said in the article. Disaster recovery really adds the peace of mind factor with Hosted.

         0 likes