The Small Business Guide to VoIP

You've probably heard the term ‘VoIP’ - short for Voice over Internet Protocol. But how exactly does this technology work, and could it replace your company’s traditional landline?

In this guide, we explain what VoIP is and how it works. Whether you’re looking to cut costs, future-proof your systems or improve flexibility, VoIP could be the solution you’ve been looking for.

What Is VoIP and How Does It Work?

VoIP is a technology that allows you to make phone calls over the internet rather than through a traditional telephone network. It converts your audio into digital data packets, which travel through your broadband connection and are reassembled at the other end.

Unlike traditional phone lines, which rely on old copper wiring and circuit switching, VoIP uses your internet connection to transmit calls. That means fewer hardware requirements, greater flexibility, and often significantly lower costs.

Types of VoIP Phone Systems Available

When comparing VoIP options, it’s helpful to understand the different types available. Each comes with unique benefits, depending on how your business operates:

• Hosted VoIP: Also known as cloud-based phone systems, the provider maintains this type of technology and doesn’t require any on-site servers. It’s ideal for small businesses seeking a straightforward solution.

• On-premise VoIP: This type of VoIP involves housing the servers and infrastructure yourself. While it offers greater control, it usually requires dedicated IT support.

• Hybrid systems: These combine aspects of traditional phone systems and VoIP. They're a practical choice for small businesses transitioning to digital calling.

Benefits of Using VoIP for Small Businesses

Switching to a VoIP phone system offers several advantages for UK small businesses, such as:

• Lower operating costs: Especially when making long-distance or international calls.

• Scalability: Easily add or remove users as your business evolves.

• Advanced features: Including voicemail-to-email, video calling and instant messaging.

• Remote capability: Work remotely with a stable connection.

VoIP makes efficient communication affordable, helping smaller businesses stay competitive. Find out more about VoIP benefits.

What Equipment Do You Need for VoIP?

Getting started with VoIP doesn’t have to be complicated. There are several options, including IP-enabled phones which connect directly to your broadband router and are purpose-built for internet calling. However, if you already have desk phones, adapters can convert analogue signals into digital ones, making them VoIP-compatible.

Additionally, with the right app, you can make VoIP calls from your desktop computer, laptop or smartphone. Just ensure your device has a working microphone.

Your business will also need a reliable business broadband connection. While VoIP uses only a small fraction of bandwidth, the quality of your internet connection is crucial to uninterrupted calls.

Common Features Offered by VoIP Providers

VoIP systems don’t just replace traditional phone services. Depending on your VoIP provider, you may get access to features like:

• Auto-attendants

• Advanced call forwarding and routing

• Voicemail-to-email transcription

• Video calling

• CRM integration

• Call analytics and reporting

• Call recording and monitoring

Some of these features come at a premium with conventional phone systems, but are often included in basic VoIP packages.

Can You Call Non-VoIP Numbers?

Yes, you can, and it’s straightforward. Most providers offer gateway services that enable your business to make calls to regular landlines and mobile phones. You’ll be assigned a local or national business number, allowing people to contact you regardless of whether they use VoIP.

Although there may be a monthly fee for this service, the cost is typically much lower than traditional call charges, especially for international communication.

Are VoIP Calls Secure?

A common concern for small businesses is the security of VoIP systems. Fortunately, the best VoIP providers in the UK use robust encryption and data protection protocols to ensure safe communication.

To maintain reliable broadband service, choose a provider with guaranteed uptime, a stable connection and high-quality hardware.

How to Switch from a Traditional Phone System to VoIP

Making the switch is easier than you might think. Follow these steps:

1. Assess your current usage and identify what features matter most to your business.

2. Test your internet connection to ensure it can support multiple calls.

3. Compare VoIP providers to evaluate prices and features.

4. Decide what hardware to use.

5. Work with your chosen provider to configure and roll out the system.

Most small business VoIP providers will offer onboarding support and training, helping your company migrate smoothly with minimal disruption.

Comparing VoIP Providers in the UK

Not all VoIP services are the same, so choosing the right provider can make a big difference. When comparing options, look for transparent pricing structures, highly rated customer service, included features, and integration with other tools.

We can help you compare VoIP providers, saving your business time, money and hassle.

Is VoIP Right for Your Business?

If you're looking to modernise your business communications, reduce costs or give your team more flexibility, then switching to VoIP is likely a smart move. It’s particularly beneficial for startups and SMEs, as well as remote or hybrid teams and companies that make frequent outbound or international calls.