Is an IP PBX Right for Your Business?

A standard PBX, or "Private Branch Exchange" is a telephone exchange system serving a single business. PBX’s were originally controlled through in-house operators (the "switchboard"), but have advanced to a point today in which other non-voice communications services, such as fax and computer communications, can be included.

Traditional telephone companies have offered PBX services to clients for years, but this has generally involved an expensive purchase or lease of specialized PBX equipment, not to mention the costs associated with maintaining that equipment at the business location.

An IP ("Internet Protocol") PBX is a telephone system designed to deliver voice or video via a data network such as the Internet, and to interface with the traditional Public Switched Telephone Network. You may also see an IP PBX referred to as an IPPBX, IP-PBX, or IP/PBX.

When VoIP (Voice over Internet Protocol) gateways are combined with PBX functionality to make an IP PBX, the user will be able to benefit from having a single network for both voice and data traffic. This usually results in a significant cost savings. The typical IP PBX can also switch calls between a VoIP user and a traditional telephone user, or between two traditional telephone users in the same way that a conventional PBX does.

An IP-PBX can exist as a hardware object, or virtually (and as is increasingly more common), as a software system. This provides greater flexibility as your business grows, as it’s easier to upgrade and expand, and can also reduce long-term operation and maintenance costs.

Like a traditional PBX, an IP PBX is owned by the enterprise.
Most of the IP PBX functionality comes from its software, so in general, when you want to add new features, it’s simply a matter of installing or upgrading new software, rather than purchasing a lot of new hardware.
With an IP PBX, you’ll be able to take advantage of a number of features that will greatly increase the efficiency of your business, including:

- Teleconferencing;
- Unlimited employee phone extensions
- Unlimited voicemail boxes;
- Integration with employee cell phones;
- Automatic routing of incoming calls based on the time of day and other rules that you specify;
- Voicemail groups, web access, and callback features;
- Call screening;
- Unified messaging.
- Facsimile and fax-to-email/fax-to-pdf support.

Because the IP PBX is generally installed at the business premises, and operated by the business itself, there is a learning curve and a degree of expertise that must be acquired to ensure that the IP PBX is properly maintained.

If you are looking to further reduce the administrative burden necessary to take advantage of what an IP PBX can offer, you can consider a Hosted or Virtual PBX provider.

Please click here for more information about ip pbx systems for your small to medium sized business.