If you are a business that is looking for a reliable and cost-effective phone system, you may be wondering which option to choose; whether it is a cloud-based solution or an on-premise system from a more traditional provider. Both options have their pros and cons, and the best choice for you and your business will depend on your specific needs and preferences. This company is known for offering and being the best business technology provider for small to medium businesses. 

What is a cloud-based business phone system?:

A cloud-based business phone system is a service that utilizes and makes use of the internet to deliver voice and data communication to your devices. Instead of needing to go through the process of installing and maintaining hardware and software on your premises. Having the option of a cloud-based phone system that will be able to host and manage the system for you, whereby you can access your phone system from anywhere, using any device that has an internet connection, such as a desk phone, a smartphone, a tablet, or a laptop.

What is an on-premise business phone system: 

An on-premise business phone system is a traditional solution that requires you to purchase, install, and maintain hardware as well as software on your premises. You and your business will need to have a dedicated server room where there will be wiring, phone lines, and equipment for each user. You will additionally require an IT staff member, or to hire an IT person to manage and update your system regularly. You can additionally only access your phone system from the devices that are connected to your network. 

How to on-premise and cloud-based phone systems compare?:

We will delve into some of the key factors that should be taken into consideration when choosing between a cloud-based and on-premise-phone system: 

Cost: 

• Cloud-based: 

One of the great advantages of a cloud-based business phone system is that it has a lower initial cost than an on-premise system. You will not need to purchase any hardware and or software or pay for installation and maintenance fees. 

The only costs involved will be your monthly and or annual fees based on the number of users and the features that you need and or utilize. 

• On-premise: 
  An on-premise business phone system has a higher upfront cost than a cloud-based system. The reason for the higher initial fees is that you will need to invest in hardware and software and installation of this hardware, this cost excludes the cost of maintenance fees. 
  
  An additional cost will be that you need to pay for phone lines, electricity as well as any IT support that you or your business will need. The total cost will therefore depend on the size and complexity of your system. 
  
  
  Scalability: 
   
• Cloud-based:
  
  Another advantage of a cloud-based phone system is that it is more scalable than an on-premise system. You can easily add or remove certain users and features as your business grows and changes. You do not need to have the added worry about running out of capacity or upgrading your hardware and software. 
  
   
• On-premise: 
  An on-premise business phone system is less scalable than a cloud-based system. You will need to plan and anticipate your future needs when you purchase your hardware and software. If your business needs to add or remove users and or features, you may need to purchase more equipment or licenses or replace your existing ones. This can sometimes be a time-consuming and expensive exercise. 
  
  
  Reliability: 
   
• Cloud-based: 
  Cloud-based system is more reliable than an on-premise system. You do not need to worry about possible power outages, natural disasters, hardware failures, or software glitches affecting your communication. 
  
  With the use of a cloud-based system, you can enjoy automatic updates and backups that ensure that your system is secure and up-to-date. 
  
   
• On-premise: 
  An on-premise phone system is sometimes considered to be less reliable than a cloud-based system. You are responsible for ensuring that your system is functioning properly at all times, and if anything does go wrong with your hardware, software, network, and or power supply, you may experience downtime or data loss. 
  
  An on-premise and cloud-based business phone system differ and will depend on the needs of you and your business. Whether you are a small or large business often a cloud-based business phone system can improve your communications and grow your business.