The way Hosted PBX systems are growing, they will soon replace the premise based traditional PBX systems. According to the market research the Hosted PBX systems will cross 3.5 million phone lines by the year 2015. Before going ahead and making Hosted PBX your business phone system you should know these pros and cons of this Virtual PBX system.

Cost effectiveness

The Hosted PBX systems require no hardware or software reducing the overall cost of ownership. There are no expensive equipments, no wires or complex connections, no need of technicians, no costly upgrades and no difficulty of maintaining and monitoring the system. Calls are routed through the IP which drastically cuts down the expenses on long distance and international calling. So, in terms of cost savings, there is a thumps up for the Hosted PBX.

Ease of Expansion and Scalability

The business needs of any growing enterprise change from time to time. Hence, companies look for a phone system which they will not outgrow in a few years. The Hosted PBX VOIP systems have the potential to meet your business’s changing needs. Any number of extensions can be added or removed. All the changes or modifications you need in your business phone system are just a phone call away. The best part is that adding or removing any number of extensions does not hamper or disturb your present phone system.

Unmatched Flexibility

The IP PBX systems have unmatched flexibility as compared to the premise based PBX systems. The virtual PBX service providers offer a vast array of features and applications that you can enjoy at affordable prices. Whether it is a 20 employee enterprise or a 2000 employee one, the Hosted PBX systems have the potential to serve the needs of any business either small or large.

Advanced Digital Features

The standard calling features include call transfer, call forwarding, call waiting, music on hold, find me, follow me, 3-way calling and more. The Hosted PBX service providers allow you to add any number of advanced features at little added cost. There are a number of monthly plans to choose from that best suit your needs. There are also some exceptional calling features that can increase customer retention and satisfy callers like

• Advanced ACD (Automatic Call Distribution)

• Call queue management

• Virtual receptionist

• Auto attendant

• Voicemail transcription

• Fax to e-mail

• Virtual Office

Quality of Service (QoS)

The voice quality is the most critical factor while going for Hosted PBX VOIP systems. As voice and data are transferred over the broadband, high bandwidth usage applications like downloading can seriously affect the quality of sound. Presence of jitters, echoes, dropped calls and disturbances can cause dissatisfaction among callers. You do not want a phone system where a call may be dropped in the middle of an important business decision.

Security

The routing of voice calls and data over the internet reduces cost of transmission to a great extent but also makes the system more vulnerable to attacks by spammers, hackers and viruses. Identity theft, eaves drooping, stolen passwords are a grave threat to the security of your data. Though the service providers use updated safety measures and data encryption techniques to safeguard customer data the security level as compared to the premise based PBX systems is still not up to the mark.

Though there are some serious setbacks when it comes to the quality and reliability of Small Business PBX systems but the drawbacks do not overshadow the priceless advantages of these systems to benefit from.

As business communication moves towards a virtual environment, Hosted PBX systems are the ideal choice to enjoy the benefits of a full featured business phone system, loaded with attractive features and add-ons with an ease of usage at a low cost. So analyze the pros and cons of the Hosted PBX VOIP before making the choice for your business.