Voice over Internet Phones

Potential Savings for Small Businesses

Voice over Internet Protocol or VOIP is a phone line running over your internet connection. Many larger corporations and institutions are making the switch, and it's worthwhile for small businesses to think about it as well.

I use vonage, but there are a lot of options, depending on where you live. In most cities in Canada you can transfer your existing phone number to a VOIP line.

Misconceptions

Before delving into the issue, I'd like to just mention that first of all, VOIP has improved A LOT over the past few years. There can still be issues with sound quality, but by and large, it's comparable to a phone line (which can also have issues with sound quality). Also, you don't need to have your computer running in order to use your phone, and you can certainly use a "normal" phone assuming it's relatively new. Some people are concerned that they'll have to use a headset and microphone, and sit down at their computer to answer any call, don't worry, you don't have to.

Advantages

Number one: cost. Especially for multiple lines, long distance, and extra features. Packages start as low as $15 a month with free long distance and the normal features you'd expect (voice mail, call waiting, etc). Land lines can't compete on that front.

Number two: additional lines. Extra lines are equally affordable and the big bonus is you can purchase numbers from other areas and forward them to your main line. I started my business in Edmonton before I moved to Saskatoon, and I still have my Edmonton number. 1-800 numbers are also easily added to your package.

Number three: voicemail accessible from your email. If you're traveling, you can still receive your voicemails. If you're really industrious, you can also bring your adapter with you and make calls from your line if you have an internet connection.

Disadvantages

Power outages: if you loose power, or your internet connection, you loose your phone line. Calls will go to voicemail, but won't be able to make outgoing calls (including 9-1-1!). It helps to have friendly neighbours.

Internet connection speed: if you have a poor/slow internet connection, the quality of your phone line may suffer. I end up using my phone line savings to buy a faster internet connection, but considering my business (web design), I'd likely pay for faster internet anyways. Your situation may be different.

Phone jacks: all of those well placed phone jacks around your house just became a lot less useful. Unless if you're willing to rewire them, or add adapters to each one, you'll have to either set up a wireless phone system or make do with a single phone jack beside your adapter. I personally just use the one jack, but have a wireless phone set with three charging stations and three cordless phones.