When it comes to finding the best business phone system for your company, it is important to do the proper research and make an informed decision in order to optimize the outcome for you and your employees. Once you have decided on an IP phone system for your operations, it’s time to choose which type to invest in. Whether it makes more sense to utilize a hosted or on-premise private branch exchange (PBX) depends entirely on your business. As a leader of data solutions nationwide, DVS Technologies is here to help streamline your voice and data needs. Since 1982, we’ve worked to provide comprehensive support services for VoIP phone systems in Las Vegas and beyond. Every business is unique, which is why our telecommunication services aim to supply versatile, reliable support to keep your operations running strong every day of the year.

Deciding between a hosted and on-premise PBX system can be difficult, which is why our support specialists are here to help! In the meantime, you can compare the two options by reading about the benefits of each below.

On Premise PBX Systems

As the name implies, this phone system is kept on-site at your place of business, often in a server room. Internet routing here is done using a dedicated IP-PBX server based on your local area network (LAN). Calls on this system can be delivered through a phone company or over the internet. Modern technology has enabled premise-based systems to offer a wide variety of functions and capabilities, delivering more power into the hands of the hosting business. On-premise PBX systems are useful for larger corporations that hold many phone lines and have stringent requirements for their VoIP providers. It’s important to remember that on-premise systems require a team of trained individuals to control and repair your system. On-premise phone configurations have been in use for decades.

Hosted PBX Systems

This system relies solely on internet phone capabilities that are hosted by a different entity at an offsite or cloud data center. Companies who take on this system can benefit from many advantages such as no installation or maintenance needs for any equipment. Your provider will hold onto the gear needed to host your business communication system, providing in-house support to keep everything running smoothly. Hosted systems can be very advantageous for small businesses.

System Costs

On-premise phone systems cost more up front, yet the long-term potential for future savings make this product an attractive option for larger corporations. As you are hosting your own VoIP services, there is very little chance that your fees for the service will increase. As the company expands and your needs expand, on-premise technology provides the backbone for a reliable and cost-effective system. While the initial cost for a system on your premises is higher, the long-term benefits can pay off when compared to monthly rates from providers for hosting.

Hosted phone systems provide numerous advantages when it comes to cost. The price tag for setup will be much lower here, as well as the maintenance expenses. You’ll pay a set price and allow your VoIP provider to take care of the rest. It’s important to remember that the fees here can change over time. Many companies benefit from utilizing OpEx, which is an expenditure style that categorizes your company’s phone service as a monthly expense. Operational expenditure is the money used for daily tasks and jobs for regular company operations. From the ink in your printer to internet calling provided by a host, OpEx is a useful system that allows company owners to take advantage of tax benefits, freeing up capital for other business ventures. By taking on long-term contracts with providers, companies are able to lock in reduced rates for their IP phone systems.

Control Measures

On-premise equipment gives you and your team the ultimate in control over your system. Larger companies that provide adequate personnel from their IT core can create an optimal system for maintaining and streamlining daily work functions. You can add, edit, or remove users at will, delivering customized support by employees that are very familiar with your operations. Having a team of experts operating on your site internally can prove to be very beneficial, especially when it comes to creating personalized solutions for unique problems.

Hosted PBX systems can also be advantageous depending on your company’s size and communication needs. Smaller businesses can greatly benefit from hosted solutions, as all control measures are handled by the provider. This fact frees up your staff to focus on other IT projects. While on-premise systems are ideal for large entities, smaller companies simply cannot afford to pay a dedicated group to handle their telecommunication needs. While the control ultimately is not in your hands for system changes, modern technology has allowed for better communication measures. In some cases, simply sending in a ticket or email can be enough to facilitate the changes your company needs.

Choosing your PBX system can be a challenge, as the choice depends on several aspects of your business. Next time, we’ll continue to discuss the pros and cons of each system by taking a closer look at the versatility and implementation demands. If your business is in need of quality voice and data solutions, then you’ve come to the right place. DVS Technologies is your go-to provider of VoIP phone systems to Las Vegas businesses and beyond. Our comprehensive telecommunication services ensure that your business has the best data, voice, and security programs available in the industry. Contact us today to learn more about our on-site and hosted phone services!