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Introduction

Virtual PBX or Cloud PBX is advanced phone systems accessible from anywhere that are easy to use and affordable. Unlike traditional business phone systems, this type of telecommunications system works over the Internet so that it does not interfere with your existing telecommunications lines. 

PBX: What is it?

PBX (Private Branch exchange) systems are used in businesses to switch calls between different company lines (or branches). By unplugging and plugging cords, operators used to manually switch calls to the correct extension or line using PBXs in the past. Now this is automated in machines, but the concept remains the same.

Virtual PBX System - What is it?

Virtual PBX System, in simple terms, is a PBX system hosted in the cloud, i.e. it provides the features of an on-site PBX system while being remote. IP (Internet Protocol) communication is used for business phone calls in a virtual PBX. No on-premises hardware or lines are required, unlike traditional phone services. Service providers can host virtual PBX solutions or deploy them via the cloud.

An internal phone system (PBX) allows a business to make calls within the business. VOIP / SIP phones are connected to IP PBX systems via servers. A LAN (Local Area Network) or network connection is used instead of the hardware and phone wiring of a traditional PBX system.

The definition of a virtual PBX can be simplified to an IP PBX hosted in the cloud rather than on-premises.

How does a virtual PBX work?

In contrast to a traditional PBX, which connects to a dedicated phone network via landlines and local hardware, a virtual PBX uses VoIP (Voice over IP) to perform the same functions.

Extension numbers are replaced by IP addresses in VoIP, thereby eliminating the need for physical phone lines. Your business's local network is also a phone network since it is connected to the Internet. Utilizing the internet for building connectivity in virtual PBXs offers many unique advantages, which are discussed below. 

Advantages of Virtual PBXs

Let's understand the advantages of a virtual PBX. The ultimate goal of both of these is to reduce costs; However, virtual PBX systems also offer exciting customization, automation, and integration capabilities.

      All the work is done by virtual PBXs, allowing even small-scale businesses to operate at higher efficiency without additional infrastructural costs.

      Companies can quickly turn on or off any PBX feature using an app on a smartphone or online management portal.

      Low monthly fees can significantly reduce costs by eliminating the need to spend large amounts on hardware, wiring, and an IT team.

      As new phone lines are not required to be installed on a virtual phone system, businesses can update the platform quickly and easily.

 

The list of benefits isn’t exhaustive. Also, the features vary depending on the provider, i.e. options for support, CRM integrations, etc. However, it gives us a good idea of how Virtual PBX can be a good upgrade to a business working with traditional PBX systems. 

At present, we have only touched the surface of virtual PBX services in this article. Depending on the type of business you run, the price and features may vary. If you talk directly with providers, you will have more information about what a virtual PBX can do for you. CloudConnect offers a host of features along with different packages that can address the needs of different businesses. You can get in touch with our sales team to know more and get the best offer for your business. 

Conclusion

Virtual PBX is becoming increasingly popular with start-up companies, freelancers, entrepreneurs, mom-and-pop shops, small business owners, etc. Small businesses can afford it and benefit from its scalability and reliability. Most virtual PBXs handle only inbound calls, making them the perfect solution for small businesses with fewer than 10 employees and a low volume of calls.

Though virtual PBXs are being more widely adopted by businesses, it is essential to understand their benefits. Businesses must ensure that the benefits outdo the costs involved and choose the best course of action.

 

 

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