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How Much Do Business Phone Systems Cost?

by msz991
November 2, 2022
in Tech
4 min read
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If you want to know how much business phone systems cost, you probably want more specifics than a shop clerk can provide. There’s a chance you’ve also looked at services provided by major telecommunications companies like Verizon or AT&T and found none of them is a good fit.

Using data gathered from the market to estimate how much it would cost for a business technology provider to install and maintain a phone system for an office.

Find out phone system price solutions that are suitable for established and expanding organizations needing cutting-edge communication methods.

Table of Contents

  • Business Phone System Costs By Type Of Phone:
    • Analog Phones
    • Hosted VoIP Phones
    • Key Phones Systems Costs
  • How Much Do Small Business Phone Systems Typically Cost?
  • Final Words

Business Phone System Costs By Type Of Phone:

Analog Phones

Most of us think of analog phones when we remember the landlines of our youth. Phone calls are connected using an analog system in which copper wires carry the voice signals between the endpoints of each call via a series of physical switch boxes.

Costs for an analog system are determined by factors like the number of users and any specialized features they want. Business owners must include setup and ongoing maintenance costs, which change with the number of users and the chosen system. Depending on the size of the system and the installation requirements, the price per user for an analog phone system in a PBX-using business might range from $500 to $2,000.

Many moving parts are involved in setting up an analog phone system, including the PBX switching system, phone handsets, additional features, cabling, installation, and necessary training and support for your business. In addition to the initial investment, there will be ongoing expenses for setting up and maintaining your analog PBX system, installing security patches, and so on.

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Data from 2017 indicates that these business phone system costs typically amount to around $7,600 annually. If you plan on hiring more people, you’ll also need to budget for the cost of additional handsets, which average about $200 each.

Hosted VoIP Phones

A few factors affect the price of VoIP service, the most important of which are:

  • The total number of users
  • The total number of extensions
  • Any premium features that are needed

If you have a larger team, you may be able to save money on your VoIP service by switching to an annual plan instead of paying monthly. The monthly business phone system cost might increase with ancillary services like conferencing, text message support, app, and cloud connection, and custom greetings, but this would depend on the provider.

Costing about $4,450, the installation will get you a phone, provisioning, power supply, and router. It’s important to remember that switching from conventional handsets to software-based phones (softphones) may result in significant cost savings. Of their low price and adaptability, many businesses, including call centers, use softphones.

Monthly VoIP user costs might be anything from $10 to $60. Prices vary based on many factors beyond the basics, like call forwarding, call waiting, corporate SMS, and basic teleconferencing options.

There are few cases when VoIP wouldn’t be more cost-effective than analog. Even with the addition of call waiting, caller ID, and voicemail, the business phone system cost of a landline continues to be higher than that of a VoIP system.

Key Phones Systems Costs

You may manage multiple lines and extensions from a single location, and you can program individual phones to display the status of each line or extension through various buttons and LEDs. Hold, intercom, memory dialling, music on hold, paging, loudspeaker, and more are some features of a conventional key system.

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As a result of their similar functions, the average user may be confused between a critical system and a private branch exchange (PBX). While critical systems typically cost between $300 and $1,000 per employee less than PBX systems, the former’s limited flexibility and adaptability are significant drawbacks.

This lock and key setup are perfect for a little shop. The PBX system supports a large number of phone lines and extensions. An intercom, a memory dialer, a voicemail, and music on hold are all included. Getting the system up and running will set you back $3,000, while setup costs $1,700, and monthly upkeep will run you $600. We charge $6,600 per year for maintenance.

Prices range from $400 to $500 for a brand-new central system unit that manages six lines and sixteen extensions. Depending on the options chosen, the price for an eight-line system with twenty-four extensions might be anywhere from $500 to $1,000.

How Much Do Small Business Phone Systems Typically Cost?

An in-depth investigation of the number of lines needed and the capabilities of each potential company phone system is essential. Key considerations to think about are the available funds and the present state of your communication system’s infrastructure. Where high-speed Internet access is not feasible, a private branch exchange (PBX) or key system may be the best option for businesses.

Although setting up a phone system might be costly for a startup, the ongoing expenses of upkeep and employee education will be far more manageable. Critical and PBX systems function separately, but modern internet-enabled systems have much in common. Small PBX systems have essentially replaced traditional vital systems.

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Final Words

However, cutting-edge PBX systems (and hybrid critical systems) may still be helpful for businesses to maintain contact with one another. An intercom, a memory dialer, a voicemail, and music on hold are all included. Getting the system up and running will set you back $3,000, while setup costs $1,700, and monthly upkeep will run you $600. We charge $6,600 per year for maintenance.

Prices range from $400 to $500 for a brand-new central system unit that manages six lines and sixteen extensions. Depending on the options chosen, the price for an eight-line system with twenty-four extensions might be anywhere from $500 to $1,000.

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