How to Choose the Right Hosted PBX Provider

Discover the essentials of selecting a hosted PBX provider. Learn about cost-effectiveness, scalability, and other factors for optimal business communication.
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Factors to Consider When Selecting a Hosted PBX Provider

Every business relies on a phone system for communication needs. With the advancement of technology, new solutions like hosted PBX have become popular in the corporate world. Hosted PBX, also known as Private Branch Exchange, is a system where an external provider switches phone calls over a cloud network. Since it operates in the cloud, all communication happens over the internet, eliminating the need for installation, wiring, or hardware maintenance.

While hosted PBX is user-friendly, there are key considerations to keep in mind when selecting a provider. Here are some factors to think about to ensure your chosen telecom company meets your requirements:

  1. Cost-Effective Communication Solutions: Most businesses aim for cost-effective communication solutions. Hosted PBX, also known as UCaaS, can save money and offer advanced features like integrating CRM or ERP software.
  2. Suitability for Your Business: While hosted PBX has many benefits, it may not be the best choice for every company. Some firms may find an on-premise solution more suitable. Think about what you need before you decide.

Benefits of choosing a Hosted PBX provider:

Startup Costs:

Hosted PBX offers lower initial starting expenses since your company doesn’t need to acquire the gear or equipment required for an on-premise phone system. Many businesses have found that hosted PBX is 70% cheaper at the outset compared to on-premises PBX.

Access to the Internet:

Calls made through the public internet connection to your hosted PBX provider may not guarantee Quality of Service (QoS). However, some hosted PBX and UCaaS providers also give Internet access. Opting for both services from the same supplier can enhance sound quality using high-definition voice technology.

Long-distance Calling:

If your company frequently makes long-distance or international calls, hosted PBX can save you up to 90% compared to analog service. Even businesses with lower long-distance communication needs will still see cost reductions, although they may be less significant.

Software Integration:

For organizations that can benefit from a phone system integrated with their daily software (such as CRM or ERP) to enable features like screen pops, call logging, organization, or recording, hosted PBX is the ideal choice. Hosted PBX offers a significant advantage in this aspect – as technology progresses, so will the functionality of your phone service. Hosted PBX services will continue to evolve with capabilities that are yet to be imagined, unlike on-premises PBX systems which may become outdated or unsupported in the future.

Scalability of Phone Lines:

Businesses that experience seasonal fluctuations in staff or other factors leading to sudden increases or decreases in call volume can benefit from hosted PBX’s ability to quickly expand the number of phone lines. This scalability is a significant advantage over analog service.

On-Site IT Personnel:

Not all companies have an internal IT team with expertise in telephony to effectively maintain a phone system. Some businesses may have small IT departments that struggle to keep up with daily IT demands while managing a phone system. In such cases, hosted PBX is a suitable option for your company. Not all phone systems fit every business. However, if your business needs scalability, expertise, and cost savings upfront, hosted PBX could be a good fit.

Key Considerations Before Choosing a Hosted PBX Provider:

1. Understand Your Website’s Needs:

Before evaluating web hosting services, it’s crucial to understand your website’s requirements. Determine the type of website you’re building, whether you’ll use WordPress and the expected traffic volume. Specificity in these questions will help you identify the best hosting company for your needs.

2. Assess Server Reliability/Uptime:

Website downtime can result in significant revenue loss. Check the uptime scores of potential web hosts to ensure reliability. Industry-standard uptime is 99.95%, and anything below 99% should be avoided.

3. Evaluate Server Upgrade Options:

Choose a provider that allows server upgrades, especially if starting with a shared hosting plan. As your website grows in size and traffic, shared hosting may not provide sufficient resources. Ensure scalability for future growth.

4. Understand Signup and Renewal Prices:

Be aware of both the signup and renewal prices for web hosting plans. Renewal prices are often higher than initial signup fees. Look for hosting providers with reasonable price increases, ideally not exceeding 100%.

5. Check for Refund Policy/Free Trials:

Hosting expenses can add up, especially for beginners with limited budgets. Opt for a hosting provider offering a refund policy or free trial period to lower costs. Free trials allow you to test the hosting service and cancel if it doesn’t meet your requirements, while solid refund policies minimize financial risks.

6. Checking for Essential Features:

Hosting providers typically offer standard website requirements, but it’s important to verify if they also offer key services like one-click installation, file manager, and DNS administration.

– One-click Installer:

Facilitates quick installation of software like WordPress, Drupal, and Joomla, ideal for users with limited technical expertise in web development.

– .htaccess File Access:

Enables modification of site-wide parameters such as password authentication and administration by accessing the .htaccess file.

– FTP/SFTP Access:

Allows secure management and transfer of large files on the server, typically provided by most hosting companies.

7. Importance of Site Backups:

Backups are essential for website functionality. Despite robust security measures, unforeseen events like crashes or hacks can occur, necessitating a reliable backup policy. A dependable web host should offer efficient site restoration capabilities to minimize data loss.

Key backup-related queries for web hosts include:

– Regular complete backup procedures?

– Manual site backup options via the management panel?

– Automated backup applications compatibility?

– Self-restoration of backup files or reliance on support?

8. Evaluating Customer Support Quality (Live Chat or Telephone):

In challenging server situations, reliable customer support becomes crucial. Opt for a hosting service with responsive assistance through live chat or phone for efficient issue resolution.


1. What is the Cost?

Every company has specific needs, budgets, and objectives, so allocating funds for a particular purpose is crucial. Understanding the service cost of a telecom provider is essential, as not all companies can afford to invest a large amount of money in a new business phone system. Some phone companies offer inclusive plans that can provide a more cost-effective hosted PBX for corporate requirements, preventing the organization from exceeding its budget. You can discuss your needs with your chosen provider, who may offer a reasonable deal for your company.

2. Are International Calls Included?

Some companies have a global presence and international connections. If your organization frequently communicates internationally, make sure to check if your chosen telecom provider offers long-distance calls and at what rate, as these calls can significantly impact your bill. While most hosted PBX providers now include international calling in their inclusive plans, they typically charge fair rates for international calls. By using hosted PBX from the right telecom operator, you and your organization can save up to 90% on analog services.

3. Do They Provide Internet Management Services?

Regardless of the phone system you have, it is inevitable for any business to route calls through a public internet connection, also known as an “over-the-top connection.” In such cases, there is no assurance of providing excellent service to your clients or staff. Additionally, security and technical issues may arise unexpectedly. Therefore, ensure that your chosen telecom operator offers internet management services to address any arising difficulties. A telecom operator providing internet management services can guarantee service quality and data security. You can also negotiate with your provider to include internet access in your selected package. Furthermore, as hosted PBX systems are housed off-site, you may not need to engage an IT team for your company to handle technological issues.

4. Do They Cater to Customization Needs?

Every business is unique, and so should your phone system. The term “feature-rich” refers to a feature of hosted PBX systems that allows customization. However, it is advisable to first confirm with your chosen telecom provider if they offer the specific services you need in the plan contents you have selected. Software integration is an example of a unique feature of PBX systems. The phone system can be integrated into the software on your computer to enable screen pops for notifications, file management, and call recording.

5. Do They Provide Phone Line Scalability?

Workplace disruptions can occur due to various reasons. For instance, some companies experience changes in staff and other workforce fluctuations, making it challenging to manage all the phone lines that need attention. Hosted PBX systems, however, offer the unique flexibility to promptly handle fluctuations in call volumes. You can collaborate with your preferred telecom provider to include this distinctive feature in your package. With this feature in your phone system, you can add or remove phone lines as needed, which is highly beneficial compared to analog services.


Modern business operations rely heavily on efficient business phone systems. Through our Smart Check services, we can analyze and optimize your company’s current telecom infrastructure with the latest technology. We offer solutions to upgrade and optimize your existing setup, guaranteeing that your business operates at its best. Our tailored solutions aim to enhance communication, ensuring seamless connectivity and uninterrupted service.

If you face challenges in identifying your needs or selecting the right system for your business, feel free to contact us. Our team is ready to help you choose the most suitable phone system that aligns with your business requirements.

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