• BTI Communications Group

How Do VoIP Phone Systems Work? A Step by Step Guide for Businesses

Voice Over Internet Protocol (VoIP) is revolutionizing communications for businesses all around the world. Though VoIP phone systems can lower costs, provide greater flexibility to staff, and unify your business’s communications, many businesses don’t know what they are or how they work. If you’re interested in switching from a traditional phone system, take a moment to find out how VoIP phone systems work and their many advantages.


What Are VoIP Office Phone Systems?

Sometimes called cloud-based telephony or hosted, internet telephony (VoIP) refers to a phone system that uses the internet to make and receive phone calls rather than a landline network used by traditional phones. When a business employs VoIP phone systems, staff members can make and receive phone calls from various internet-connected devices, such as VoIP desk phones, smartphones, tablets, VoIP headsets, desktops, and laptops.


How VoIP Business Phone Systems Work

A VoIP business phone system converts sound waves into digital data using packet-switching technology. This process allows businesses to use their broadband connection for phone calls. Typically, hosted VoIP business phone systems utilize a SIP server from a VoIP service provider, a specialized desk phone or handset, and a high-speed internet connection to make and receive calls.


Cloud-based solutions are some of the most popular types of VoIP services, as these solutions unify various devices into a single collaborative phone system. With a cloud solution, a provider will give you an online dashboard where administrators and users can easily access and manage their communication tools from anywhere.


5 Benefits of Hosted VoIP Business Phone Systems

Businesses often switch to VoIP business phone systems over traditional ones due to the many advantages they offer. Learn more about the top benefits these hosted phone systems give to businesses below:

  • More cost-effective than traditional phone systems: A VoIP phone system is incredibly cost-effective, as you can utilize your existing devices, such as smartphones, VoIP phones, computers, and other mobile devices, instead of having to invest in new equipment. Compared to traditional phone systems, hosted VoIP services tend to include free local and domestic calling and cheaper rates for international calls.

  • Better calling flexibility: Since a hosted VoIP phone system allows users to make and take calls from multiple devices no matter their location, it’s an excellent solution for businesses with teams overseas or employees who work from home. A hosted solution doesn’t tie your staff to a desk in order to make or receive phone calls. You’ll also receive the same call quality you’d expect from elite traditional phone providers.

  • Greater communication unification: A VoIP phone system can provide a single collaborative communications platform that will improve both the client and employee experience with integrations to: CRM, Contact Center, Smartphone, Web (Voice, Video, Instant Messaging, Texting), as well as Workforce Management. This unified platform streamlines communication between employees and clients as a result.

  • Easier scaling: Businesses that rely on traditional phone systems will usually have to buy expensive hardware whenever they need to expand and add new team members. A VoIP phone system lets you scale with your business one user at a time which makes it more affordable and convenient. Many VoIP phone systems also offer BYOD, or Bring Your Own Device. BYOD allows new team members to download a cloud phone app on their personal smart device, removing the need to purchase more equipment.

  • Increased reliability: When you stick with a traditional phone system, your business is at risk of downtime with just a single point of failure (power outage, defective equipment, parts shortage, carrier issue). Cloud phone providers keep your communications running smoothly by housing redundant systems in multiple geographic data centers and leveraging a network of voice and internet suppliers, providing your business with very few disruptions.

Choose BTI for VoIP Business Phone Services

If your business wants to gain all the benefits of a VoIP phone system, turn to BTI Communications Group. BTI offers over 35 years of expertise in unified communications and offers a portfolio of solutions, including GoodPhone (a cloud platform). Our team of experts will help customize a solution to fit your business’ needs and budget.


Learn more about our VoIP business phone and telecommunications services today. If you want to see what our telecommunications services can do for you, please schedule a free consultation or contact us with any questions you might have.

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