Skip to content
All dispatches
Hardware & Networking13 Apr 20265 min read

Choosing the Right Phone System for Your Small Business: A Practical Guide

Sam McNeill
Sam McNeill
Commercial Consultant · Black Sheep Support
Share this dispatch

What Phone Systems for Small Business Actually Mean

A phone system for small business is not just about making and receiving calls. Today, it integrates with other business applications, supports remote working, and can harness VoIP (Voice over Internet Protocol) technology to enhance communication efficiency and cost-effectiveness. VoIP allows calls to be made over the internet, bypassing traditional phone lines entirely.

Why Phone Systems Matter for UK SMEs

For UK SMEs, a robust phone system is a backbone of customer service and internal communication. Poor call quality or dropped calls can lead to lost business opportunities and frustrated customers. With the ISDN switch-off looming, businesses must adapt to digital phone systems to remain operational. Furthermore, the National Cyber Security Centre (NCSC) highlights that secure communication channels are vital to protect sensitive business information.

Hosted VoIP vs. Teams Phone: Which is Right for You?

Hosted VoIP

Hosted VoIP systems are cloud-based and managed by a third-party provider. They offer flexibility and scalability, making them ideal for growing businesses. Key benefits include lower setup costs and the ability to work from anywhere with an internet connection.

Microsoft Teams Phone

Microsoft Teams Phone integrates with Office 365, providing a seamless experience for businesses already using Microsoft's ecosystem. It offers features like chat, video conferencing, and file sharing in one platform, making it a strong contender for businesses focused on collaboration.

A pattern we see repeatedly is that businesses already using Microsoft 365 find the transition to Teams Phone smoother and more cost-effective due to existing subscriptions and integrations.

Worked Cost Scenario: Evaluating the Financial Impact

Imagine a 25-person firm considering a new phone system. Hosted VoIP might cost around £15 per user monthly, totalling £375. Meanwhile, Teams Phone, when bundled with Microsoft 365, might cost an additional £8 per user, totalling £200. Considering integration and collaboration benefits, Teams Phone can be financially sound for businesses already invested in Microsoft 365.

Common Mistakes UK SMEs Make

  • Overlooking Contract Details: Avoid long-term contracts and hidden charges, especially with handset leases.
  • Ignoring Number Porting: Ensure your provider supports number porting to maintain business continuity.
  • Neglecting Call Recording Needs: Some industries require call recording for compliance. Confirm your system offers this feature.
  • Underestimating Support Needs: Choose a provider with reliable support to minimise downtime.

Key Questions to Ask Your Provider

  • What are the exact costs, and are there any hidden fees?
  • How does the system handle call recording and compliance requirements?
  • What support is available, and how quickly do they respond to issues?
  • Can I port my existing numbers, and what is the process?

How Black Sheep Support Helps

If you're considering upgrading your phone system

Book a Discovery Call

and we'll help you choose the right system for your needs. Not ready to talk yet? Run our free IT Health Check to assess your business risk and security posture in minutes, no commitment. We also handle hardware, broadband, mobile and networking, not just security.

Preparing for Your New Phone System

Before committing to a new phone system, conduct a thorough internal review. First, assess your internet connection. VoIP systems rely entirely on a stable, high-speed connection. Ensure your current broadband can handle the increased data traffic without impacting other business operations. Consider both download and upload speeds, and the overall reliability of your service provider.

Next, evaluate your existing hardware. Check if your current handsets, headsets, and network infrastructure are compatible with the new system. Upgrading these components can add unexpected costs, so factor this into your budget. It is also important to plan for user training. A new system, however advanced, will only be effective if your staff know how to use it proficiently. Allocate time and resources for comprehensive training to ensure a smooth transition and maximise adoption. Finally, think about business continuity. What happens if your internet connection fails? Discuss backup options or failover strategies with potential providers to maintain essential communications. If you are moving from an older system, consider how existing contacts, call logs, or voicemails will be migrated to the new platform.

Beyond the Basics: Other Deciding Factors

While cost and core features are important, consider other factors that influence long-term suitability. Think about scalability; how easily can the system accommodate new users, additional lines, or new office locations as your business grows? A system that is difficult to expand will quickly become a bottleneck.

Also, look at integration capabilities beyond Microsoft 365. If your business relies on CRM, helpdesk software, or other industry-specific applications, check if the phone system can integrate seamlessly. This can streamline workflows and improve efficiency. Consider specific industry needs; some sectors have unique communication requirements, such as advanced call queuing for customer service teams or specific recording compliance for regulated industries. Request demonstrations to assess the user experience. An intuitive system that is easy for staff to learn and use will lead to higher adoption and fewer support requests. Finally, investigate the provider's long-term stability and reputation. A reliable vendor offers peace of mind and consistent support.

FAQ

What is the difference between hosted VoIP and traditional phone lines? Hosted VoIP uses the internet to make calls, offering flexibility and cost savings, while traditional lines use physical phone lines.

Is Microsoft Teams Phone suitable for all businesses? It is ideal for businesses using Microsoft 365 and needing integrated communication tools. However, smaller businesses might find simpler VoIP solutions more cost-effective.

What should I consider when choosing a phone provider? Look at costs, support quality, integration capabilities, and the provider’s reputation.

How important is call quality in a phone system? Call quality is crucial; poor quality can affect customer satisfaction and business reputation.

Can I keep my existing phone numbers with a new system? Yes, number porting allows you to retain existing numbers when switching systems, but confirm this with your provider.

Want this handled for you? See Hardware, broadband and networking.

Based in Brighton or Hove? We are too: see IT support in Brighton.

Back to all dispatchesEnd of Intelligence · BSS Digital Dispatch
Monthly IT briefing

The three things worth knowing this month

One short email a month: what broke, what got patched, and what we would change in a small business this week. No sales pitch, unsubscribe in one click.

We only use your email for the briefing. See our privacy policy.