Discover the best telephone system for your small business
When customers call your business up, they're not just looking for a friendly, helpful person at the end of the line – they're looking for a quick, painless customer service experience.
In a survey carried out by Harris Interactive, 75% of people said it takes too long to reach a live agent. This, coupled with the fact that the average time people spend on hold before hanging up is 11 minutes (newvoicemedia.com), means investing in the right telephone system is important when it comes to retaining and satisfying customers.
Small business telephone systems can traditional, multi-line PBX, or VoIP. While traditional phone systems are the most basic of them all, both PBX and VoIP systems include several user-friendly features to increase efficiency and improve customer experience.
You can find out the differences between traditional, multi-line and VoIP phone systems in the FAQ section of the article. Alternatively, use the ‘Jump to' menu below to skip to the information you require.
The best small business phone system suppliers
We've rounded up some of the best small business phone systems on the market, to save you both time and money.
Skip to a supplier:
Choosing a business telephone system for your small business can be a tricky business in itself. But it would be hard to find a supplier more innovative than 8×8. Its cost-effective, industry leading technology has won it a host of high-profile awards, including the Tolly award for Superior Voice Quality. With a high-profile client list (including McDonalds and NetSuite), you’d be in good company.
How 8×8 can benefit your small business:
Virtual office editions support calls to and from up to 45 countries.
✓ Work from anywhere
Feature-rich mobile and desktop apps make working remotely feel far from remote.
✓ Highly responsive customer service team
To aid setup and easily troubleshoot issues
2. Berry Telecom
With over over 16,000 phone system users, this award-winning supplier prides itself on its personalised customer service – complete with dedicated account managers, super speedy tech support, and (unlike a lot of other telecom companies) a 24/7 phone support line. Plus, Berry is ultra-flexible, and can craft you a custom system that marries the best of cloud-based VoIP and on-site PBX to suit your particular needs. Given Berry's unerring focus on its customers, it's certainly an excellent choice for small businesses.
How Berry Telecom can benefit your small business:
See colourful call data that's clear and easy to analyse. You'll also be able to record calls for training and solving disputes.
✓ Integrate with your caller databases and CRM system
To keep call personal, and really streamline your customer relationship management processes.
✓ Keep callers occupied on hold
Berry can produce recordings (with a voice actor of your choice) to play to your callers while they're on hold, keeping them occupied.
RingCentral is pretty proud of the fact that it’s earned the top spot of number one cloud communications provider worldwide. Offering flexible, cost-effective telephone packages, RingCentral is a great choice for small businesses, as well as the big names.
How RingCentral can benefit your small business:
RingCentral's team collaboration software offers lots of ways for your team to communicate; whether it's video conferencing between offices, leaving video voicemail or just instant messaging.
✓ Build your own app
Build either a private or public app for Android or iOS. Or even build a chatbot app, which you can integrate into your website.
✓ Digital customer engagement
Connect with customers by collecting messages from all of your digital channels.
BT offers an excellent selection of cloud-based VoIP and on-premises PBX small business phone systems. Businesses that are constantly on the move also have the option of BT One Phone Office. As its name suggests, this option gives you the best of a landline and a mobile, all in one mobile phone. BT has unrivalled industry experience and know-how, and is a very reliable supplier choice.
How BT can benefit your small business:
Someone who will come to know your business needs inside out, and can even visit your office to make recommendations.
✓ Access to 4G and over five million BT Wi-fi hotspots
Working outside of the office couldn’t be simpler.
✓ Plug ‘n’ play options available
So you can get up and running in no time.
4Com prides itself on tailoring its services to each individual business. It knows that, when it comes to small businesses, a one-size-fits-all approach just doesn’t work. 4Com will work closely with you to improve business efficiency and reduce costs. 4Com's services have won it recognition as one of the Top 1,000 companies to inspire Britain.
How 4Com can benefit your small business:
Enabling your computer and phone system to work alongside each other. This allows you to, for example, see incoming caller information, and therefore provide a more personal customer service experience.
✓ Call recording facility as standard
Making it easy to provide staff training and monitor performance.
✓ Call reporting
Analyse how customers transfer through your system, and where there are ‘blockages’.
A leading business phone systems provider, Mitel powers two billion connections every day. It caters for businesses with one to 2,500+ employees, in industries ranging from healthcare to hospitality. It recognises the need for office telephone systems that make life simpler, and technologies that can adapt to the changing dynamics of a business.
How Mitel can benefit your small business:
That means your desk and mobile phones, instant messaging, voicemail, web conferencing etc. together in one, integrated system.
✓ Specialists in call centre solutions
Don’t risk aggravating potential and existing customers with a frustrating call. Mitel works to give your customers the best experience possible.
✓ Facilitate mobility
Hot-desking and remote working needn’t have an impact on your team’s performance. Mitel’s solutions take this into account.
7. Lily Comms
Lily Comms specialises in providing affordable and efficient small business phone systems. In fact, a recent customer survey found that 86% of customers saved money when they switched to Lily. This supplier has worked alongside high-profile clients including NHS, Lidl, Specsavers and Citroen.
How Lily Comms can benefit your small business:
Lily Comms has a proven track record of saving customers money.
✓ They guarantee the latest technology
Lily’s partner firm, Ericsson-LG, reportedly spend four times as much on research and development than their nearest competitor. You can be sure that every solution will be cutting-edge.
✓ Dedicated account manager
Lily Comms prides itself on being the ‘friendly expert’. Your dedicated account manager will work with you to find the best option.
Established in the U.S., Cisco has been a leader in the business telecoms industry for over 30 years. It produces a number of tailored small business telephone systems and handsets. Stay ahead of competitors with the latest communications solutions, including cloud-hosted software.
How Cisco can benefit your small business:
Cisco software allows you to make and receive calls from a computer or tablet.
Solutions that unify your communications, rather than making them more complex.
✓ Build relationships
High quality video links allow you to connect with clients and suppliers and like never before.
Best small business phone system
As a small business looking for a new office phone system, you’re really spoilt for choice. This is our pick of the top 10 small business phone systems on the market today.
Top 10 small business telephone systems comparison
- Mitel 6865 SIP Phone
- Panasonic KX-TES824 Telephone System Bundle
- Polycom VVX 301/311
- Mitel Aastra 632 DECT
- Orchid DX900 Small Business Telephone System
- Orchid PBX 416+
- Elite Telecom – Hosted Small Business Telephone System
- Cisco SPA 504G Phone
- Grandstream GXV3140 Skype Phone (no PC required)
- Orchid 206 PBX
Mitel 6865 SIP Phone
The Mitel 6865 is a great all-rounder. It offers a lot of flexibility to any business, whether at home or in the office. It’s a great option for a growing business, and can support up to 24 lines when connected to an expansion module.
Price: Price: From £92.00 (ex. VAT)
✓ Unrivalled audio – HD technology delivers enhanced performance and voice clarity
✓ High quality speakerphone
✓ Multilingual support options available
✓ Eco-friendly design that seeks to maximise efficiency
Panasonic KX-TES824 telephone system bundle
The Panasonic KX-TES824 is a hybrid office telephone system that can support up to 24 extensions. This makes it perfect for a growing small business. Handy features include Caller ID and Voice Message Delivery when a line is busy. This price is for the telephone system itself, which comes complete with three exchange lines and eight extensions as standard.
Price: From £374.00 (ex. VAT)
✓ Geared towards small and medium sized businesses
✓ Maximum of eight lines with 24 extensions
✓ Auto attendant, as well as call barring, diverting, management, voicemail and conference call
✓ Bundles include a Panasonic KXT7730 system phone and 2 x Panasonic KXT7750 system phones
✓ Caller line identification for increased efficiency and optional voice processing integration
Polycom VVX 301/311
This system was designed with call centre and cubicle workers in mind. This is a six line phone system that is ideal for both small and medium sized businesses. It’s an affordable and simple system which promises to improve efficiency and productivity.
Price: From £53.90 (ex VAT)
✓ Easy to set up and to use, with a highly intuitive interface that means staff will be up to speed in no time
✓ Facility to support Skype for Business and Office 365
✓ Incredible voice clarity for a high quality customer experience
✓ All updates and maintenance are carried out over the internet
Mitel Aastra 632 DECT
This is a wireless handset that is well-suited to industrial environments. It is dust and jet water protected, making it great for outdoor sites. It’s really easy to clean and complies with high hygiene requirements. This makes it ideally suited to the healthcare sector, too.
Price: From £180.80 (ex. VAT)
✓ Ambient noise filter to maintain call quality in louder environments
✓ Ability to program an emergency call key – perfect for healthcare or security professions
✓ Headset and bluetooth facilities
▶ Read more: Best cordless phone systems
Orchid XL220 small business telephone system
Orchid specialise in functional office telephones for small businesses. This is a ‘no frills’, affordable option – perfect for a micro-business that doesn’t expect a high volume of calls. If you work from home, this could be the best phone system for you.
Price: From £24.00 (ex. VAT)
✓ Displays caller numbers and can redial the last 10 numbers
✓ Ideal for conference calls
✓ PBX and Switch compatible
The Orchid PBX416+ has capacity for up to five analogue lines and 16 extensions. It’s packed with features ideal for small organisations including call forwarding and line selection for efficient communications.
Price: From £159.00 (ex. VAT)
✓ Supports up to four telephone lines and 16 extensions
✓ Easy installation
✓ Auto attendant and caller ID
✓ Remote programming and call forwarding
✓ Power failure transfer
Elite Telecom – hosted small business telephone system
Elite Telecom’s hosted office telephone system champions scalability. It’s perfect for home-workers and salespeople. This system removes the need for the hassle associated with hosting your own system. Elite can handle all the call routing and switching for you.
Price: Quoted on Request
✓ Full access to all the features of a standard PBX for a small monthly cost
✓ Plug-and-play functionality
✓ Feature-rich and added benefits from network services such as call queuing and call recording
✓ Easily scalable
✓ Free DDI, voicemail, and conference calling
✓ All systems come with added disaster recovery
✓ Choice of top brands including Avaya, Panasonic, Siemens and Toshiba
✓ Mobile and remote working options available
Cisco SPA 504G
Another tried and tested , ‘no frills’ phone system. This is a four line VoIP solution at a very reasonable price. It would work well for a smaller business that doesn’t have the need for complex functionality.
Price: From £74.00 (ex VAT)
✓ Wideband audio for enhanced voice clarity and enhanced speaker quality
✓ Built-in security features
✓ Full duplex speakerphone, headset, message waiting indicator, and dynamic soft keys for phone functions
✓ Built in speaker phone and high quality microphone
Grandstream GXV3140 Skype phone (no PC required)
Grandstream’s Skype phone allows you to receive the full benefits of VoIP without any needs for a computer. This can be ideal for many small businesses with communications often taking place online. It is ‘Skype certified’ and comes with Skype software included as standard. This means you can make Skype calls using just your phone handset.
Price: From £125.00 (ex VAT)
✓ IP multimedia phone with a powerful 4.3 inch colour LCD screen
✓ Built in web browser
✓ Multimedia features enable video calls with high definition wideband voice quality
✓ Fully integrated with external connectivity options
Orchid 206 PBX
Orchid 206 PBX system has the capacity for up to two lines and six extensions. It’s ideal for small offices or home businesses. Key features include call transfer and auto attendant.
Price: From £115.00 (ex VAT)
✓ Suitable for new and starter businesses with two analogue lines that supports up to six extensions/users
✓ Power failure transfer
✓ Direct dial extensions
✓ Key features include an auto attendant with 12 second OGM
✓ Programmable call restriction and call barring
Small Business Phone System Costs
For an entire small business telephone system, expect to pay around £170 as a minimum. This will set you up with a full, two line system with up to six extensions.
Higher specification systems can cost up to £1,700. These options have more telephones and extensions with extra user and customer features.
If you're looking for a cost-effective phone system, think about investing in hosted VoIP. While it's hard to pin down an exact price, the fact that the phone system is hosted on a server offsite, and doesn't require expensive set up fees, means you could save your business a lot of money.
No matter which phone system you choose, it's ultimately very difficult to work out the total price of your telephone system without getting quotes that are tailored to you. Luckily, you can do that easily, simply by filling in our short form.
Finding the right phone system for a small office is vital. A lack of space means small businesses often can’t afford to house large, loud and costly on-premises hardware.
Instead many of the hosted systems covered in this guide provide an excellent alternative. By hosting your business phone system externally you can instead keep initial investments to a minimum while affording monthly payments for custom plans and solutions tailored exactly to meet your needs.
Still, with so much choice available, and with so much jargon surrounding the topic of office telephones, it can be hard to know where to start. Fill in this short form to be receive quotes from trustworthy suppliers who can take your needs and turn them into an end-to-end solution.
1. What are the best home business phones?
All of the models listed above are suitable for homes business phones. At the end of the day, it just depends on your preference and your needs.
If your home business phone is to double up as a home phone, take a look at the top 10 cordless models. These are great as both home and business phones, as they leave you free to take calls throughout the house.
2. Traditional PBX vs. VoIP: what’s the difference?
The long and the short of it is a traditional PBX system uses the landline to make and receive calls, while a VoIP system uses the internet.
Both phone systems allow you to receive multiple calls at the same time, but while a PBX uses a digital on-premise switchboard to branch calls of to different handsets, a VoIP system uses a Cloud-based server.
Find out more information about the two phone systems in the sections below. If you already know which phone system is right for you, compare telephone system quotes, simply by filling in our form.
Traditional phone systems (PBX )
A traditional phone system, is suitable for small businesses with a handful of employees. All you need is one line in, and a couple of handsets so more than one employee can pick up the phone if it rings.
If you tend to receive lots of calls, having one phone line could be holding you back. This is where a PBX system comes in.
A PBX phone system turns your traditional phone system into a multi-line system by giving you the option of adding extensions to each handset. Once a call comes in, the PBX auto attendant directs the caller to the right extension number, freeing up the phone line for another call to come in.
The features of a PBX phone system are basic compared to VoIP, however you'll still be able to coordinate incoming and outgoing calls, make call transfers, and manage voicemail and extensions.
The great thing is, many suppliers give you the option to create an IP PBX system. This uses SIP trunking to connect a traditional phone system to the internet, meaning you can make calls over the internet, and benefit from VoIP functionality, in addition to making calls using the traditional landline.
VoIP Phone System
Unlike a physical, premises-based business telephone system, VoIP phone systems work by transmitting the phone audio over the internet.
It is important to make sure that your VoIP phones don’t all use the same connection for the internet. Otherwise, you risk garbled or dropped calls if multiple people are online at once.
The number of lines you need for a VolP phone system depends on how many people will use the system at the same time.
For example, a two person organisation will be likely to only need two lines. A 10 person organisation will generally need five to seven lines, and a 100 person organisation could only need 20.
VoIP systems also have hosted (cloud-based) and non-hosted versions.
So what’s the difference between business IP phone systems and VOIP ones?
In short, IP uses a private data network to carry conversations over distance. VOIP uses a public data network. If you don’t have a private network, you’ll need to opt for VOIP. So long as it’s installed properly, you shouldn’t notice a difference in quality.
▶ Read more: 10 best UK VoIP providers
3. How to find the right phone system for your business
Hopefully you now have a clearer understanding of traditional and VoIP systems, and which you are likely to need.
4. 10 questions to ask yourself when looking for a phone system:
Ask yourself these questions when looking for a business telephone system to help narrow down your options:
- How many lines do you need?
- How many extensions are required?
- What features would you like on your system?
- How many line provider sockets do you need?
- Can your telephone system expand with growth?
- Will you require call forwarding to mobile devices, and their integration into your system?
- Will you require call redirection to staff members who work from home?
- Do you wish to have a high-speed data network installed, which is able to use wireless technology?
- Is there a need for your business to be able to integrate the phone system with the IT used?
- Will you need to be able to identify customer details and dial numbers from a computer? This is called Computer Telephony Integration (CTI)
- How much are you looking to pay for line rental?