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What is a PBX Phone System?

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What is a PBX Phone System?

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If you’re a small trade owner, what you’ll probably think about at the moment is probably how to manage calls. But before contemplating on that, you must decide what phone system to invest in. There are three alternatives for PBX phones, IP PBX system, and Virtual or Hosted PBX. 

When you start a small trade, various things are needed for you to think.

Like most startups, the first thing that comes to mind when you think of a phone system is a costly, complicated communication system with countless wires and components.

But what if I told you there was another way? A more straightforward solution that provides all the perks of a PBX without all the hassle? That’s where Hottelecom.biz comes in!

We offer a simple cloud-based solution with no additional hardware or software required at all! Our cloud-based systems can be set up immediately without any extra costs for installation or maintenance fees because we take care of everything ourselves. We even have 24/7 support available so that if anything goes wrong – which rarely happens – we have people ready to help resolve any problem right away!

PBX stands for Private Branch Exchange

A PBX phone system allows routing incoming calls to the appropriate staff.

It is used in offices, hospitals, and companies where there are many extensions. The PBX utilizes a computer processor to route calls to their intended recipient. This arrangement increases efficiency by allowing users on different extensions to talk freely among themselves without having to dial an outside number every time they want someone else on the same network access.

Trades, schools, hospitals, and organizations often use these systems requiring multiple individuals to answer calls simultaneously.

A PBX phone system consists of two major parts:

•An incoming call router that routes calls to the right exact individual depending on who is available at any given time

•A phone switchboard system connects users’ extensions via an internal network (or LAN).

In other words, a PBX system offers total freedom for every user to have a direct phone number but limits the number of phone lines purchased from the carrier

The PBX system is accountable for receiving calls on those lines and distributing them to the appropriate parties. It means that only people who need to use their phones will be using them at any given time, which can significantly diminish your monthly charge.

The benefits of having a PBX phone system include:

•Lower cost per line

•Improved call quality

•Better management tools (for example, you can monitor and manage voicemail remotely)

In an office environment, a PBX phone system is responsible for receiving calls on those lines and distributing them to the proper parties

You can use a PBX phone system in offices, schools, hospitals, and other organizations that require multiple phone lines.

These works are pretty simple: when you call someone’s office or home number, their extension will ring first before being sent through to their voicemail or answering service if they don’t pick up. A PBX system will then ensure that your call gets forwarded to any other extensions you may need to connect with to complete the call (i.e., transfer it).

Small businesses can choose between several kinds of PBX phone systems

For small businesses, the most common types of PBX phone systems are:

Traditional PBX Phone Systems

A traditional PBX phone system is a local area network that provides features such as voicemail and call forwarding. Each extension has its number in this system, and you can use extensions anywhere in your office to make calls. You’ll need an outside line from your telephone service provider and a dedicated server or computer that runs software and applications that provide functionality like call routing, automatic attendant (IVR), voicemail, and messaging functionality. This solution offers the highest level of customization but typically requires more upfront costs than other solutions listed below.

A traditional or on-site PBX system is the first choice for small businesses.

A traditional or on-site PBX system is a phone system installed at your business location. It’s a more expensive option than other systems, but it can provide a high level of functionality and reliability.

A standard PBX has many of the same features as an IP PBX and gives you more control over how calls are routed to your employees. However, it also requires much more maintenance. In addition, since all communications are routed through the local office, this type of phone system isn’t as flexible or secure as other options because no one outside of that location can access its features or security settings remotely.

IP PBX System

An IP PBX system uses Internet technology to handle calls.

It’s possible by utilizing Voice over Internet Protocol (VoIP), which allows communication between two devices to be transmitted over the Internet.

With an IP PBX, it’s more cost-effective to use VoIP instead of traditional phone lines for your calls. That’s because VoIP uses a lot less bandwidth than conventional telephone service and eliminates monthly fees charged by your local phone provider. You won’t have to pay extra monthly just because you want to connect a second home office or work from home occasionally!

Because IP PBX systems are so flexible, they give you more freedom when it comes time for expansion. If anything goes wrong with one part of your network, another feature needs replacement. All you need do is replace that one piece rather than upgrade everything at once, like with traditional PBX systems (which can get very expensive).

This means it uses Voice over Internet Protocol (VoIP) technology to make calls over the Internet

However, you may have heard that VoIP is cheaper than traditional phones when making calls, but this isn’t always true. Some providers charge pretty high rates for their services, so we recommend checking out our list of reliable VoIP providers before deciding on what provider to go with!

Virtual or Hosted PBX

The third alternative for small trades is a virtual or hosted PBX system. It implies that all of the needed equipment runs off of servers hosted by the VoIP provider rather than at your location

If you’re not interested in setting up a physical PBX, you can opt for a hosted PBX instead. The phone system will run off servers hosted by your VoIP provider rather than at your location. A hosted PBX saves money in two ways:

•The costs associated with installing and maintaining equipment are eliminated.

•The monthly fees for these services are usually lower than on-premises options.

A hosted PBX gives you the utmost flexibility since your provider will take care of any technical issues that come up and ensure you have enough bandwidth to handle all your calls at once.

It is especially important for trades with many employees who may be calling in at once.

A hosted PBX also allows you to integrate an unlimited number of extensions and connect to other devices like fax machines or even a mobile app. The platform is always up-to-date and secure, so you don’t have to worry about hackers breaking into your system or losing data due to outdated software.

The hosted PBX also takes care of all the technical maintenance for you. Therefore, you don’t have to worry about any issues that might arise. Your calls will always be secure, and there won’t be any downtime due to software updates or other technical problems.

Final Words

When you’re looking for a PBX phone system, there are many considerations. Which option is right for your business will depend on what kinds of needs you have, what budget has been set aside, and much more. If you want more information about this topic, we recommend researching the different types of PBX systems before deciding which one will be best for your company.

And to expedite your research, you may contact us so we can help you with your needs. Our Tech Specialists will be very happy to answer all your queries and help you incorporate the most appropriate communication for your business! That’s the Hottelecom.biz service.