4-Line Phone System vs VoIP: Which Is Better for Small Businesses?

Many small businesses are still stuck in the old telephone system that has been around for decades. The 4-line phone systems were upgraded to VoIP and promised many benefits, but there are limitations as well. Will you be able to make do with your current system or will you need a new one?

The “4-line phone system for small business” is a type of telephone that allows users to make and receive calls on four lines. This is an alternative to VoIP, which uses internet connections instead of traditional landlines.

Businesses may use voice-over-IP (VoIP) and 4-line phone systems to route calls to and from many extensions at the same time, but the technology that supports each system is different. A 4-line phone, for example, utilizes a typical office landline and copper cables, which may increase the cost of the service, while VoIP uses the internet to make low-cost phone calls.

Here are the top use cases to consider when comparing the two options:

  • 4-line phone system: This is an excellent option for businesses with legacy PBX systems who do not want to be reliant on high-speed internet.
  • VoIP is the preferred choice for organizations that want a cost-effective, feature-rich business phone system that can be accessed from anywhere.

However, VoIP phone systems aren’t the only sort of mobile-friendly business phone service, and they may have more features than a team of three or fewer need. If this describes your team, you should also read our comparison of VoIP and virtual phone systems.

At a Glance: 4-Line Phone System vs. VoIP

*Based on RingCentral’s calculation for 20 users over two years and AT&T’s pricing plans.

VoIP is the cheapest option.

Cloud-based phone systems don’t need an office landline and work with your current internet connection. VoIP phone providers may now offer more flexible plans as a result of this. RingCentral, for example, offers an all-inclusive business premium phone plan for $59.99 per user, per month, while Phone.com offers a basic virtual phone service for $12.99 per user, per month.

On the other hand, depending on the phone you desire, 4-line services might cost anywhere from $75 to $300. On the upper end will be advanced phones with beautiful user interfaces and additional call handling functions, while on the lower end will be bare-bones phones.

When it comes to pricing and scalability, VoIP comes out on top. Cloud-hosted systems have almost no upfront expenditures, and the monthly cost per user is lower than landline rates.

VoIP is the best option for call handling.

Four-line phone systems work like regular phones, enabling you to transfer calls, put consumers on hold, and identify incoming callers. However, if you want a system with a lot of features, you’ll need to invest in PBX infrastructure, which will provide you basic call handling capability, extra lines, and auto-attendants. Your multiline service works on traditional desk phones and headsets in both scenarios.

When it comes to call management, VoIP has a lot more capabilities. You may fine-tune your call routing choices and even create elaborate interactive voice response (IVR) menus to assist clients in self-serving and finding the precise extension they need. You may automatically record discussions and monitor calls with agent whispering, barging, and call takeovers from inside the call itself.

Winner: VoIP platforms can often accomplish more than 4-line phone systems when it comes to call handling features.

VoIP is the best option for advanced features.

The majority of four-line phone networks are rather simple. You’ll need to invest in a costly PBX system if you want access to auto-attendants and other technologies. The majority of them still fall short of what a VoIP business phone system can provide.

The top VoIP phone services come with a long number of options. You may also make calls from any place using any device (phone, computer, or tablet). You receive call transferring, hold choices, and caller ID, just as with 4-line subscriptions, but small companies get a lot more, including:

  • Voicemail options: VoIP services provide regular voicemail as well as voicemail-to-email through audio files or transcribed messages, or you may transcribe your voicemail and have it texted to you.
  • VoIP technology can interact with your customer relationship management (CRM) or help desk software as a cloud-based service, providing you access to client data and powerful analytics.
  • Use your VoIP small business phone system to share screens, hold whiteboarding sessions, or link distant teams during a video chat.
  • Call, text, chat, video conference, fax, and transfer files utilizing your VoIP service’s multichannel capabilities.

Winner: VoIP has some of the most cutting-edge phone technologies available. When you’re seeking for the most up-to-date features, it’s tough to beat.

4-Line Phone System: Best for Ease of Use

Most 4-line phone systems require connecting the central PBX console to up to four analog phone lines during installation. You can manage calls using the keypad on your desk phone and conduct administrative duties from the console’s screen. A multiline phone system is easy to operate after it has been setup.

However, there is no DIY option for larger configurations; you’ll need to call your service provider to have a tech professional come out and get everything set up. You’ll have to contact them again if you need more service or want to add more lines later.

Leading VoIP solutions (such as RingCentral and Nextiva) are operated through elegant and user-friendly web-based interfaces. To easily set up your phone system, retrieve contact data, and monitor calls, most systems include an online gateway or dashboard. Programs are often simple to set up, but the sheer quantity of features and capabilities might be intimidating, particularly if you purchased a more comprehensive bundle.

Winner: Many VoIP services have an excessive quantity of capabilities, making it difficult to navigate the applications. Once you’ve gotten through the installation, most 4-line phone systems are extremely simple to operate.

Best for Call Quality & Reliability: 4-Line Phone System

4-line services held an advantage over VoIP for a time, but advances in internet speed and technology have helped VoIP narrow the gap. A landline is not impacted by a power or internet outage since it utilizes your phone lines. As a consequence, independent of other internet activities such as streaming movies or downloading data, the quality stays consistent.

VoIP services are reliant on a strong internet connection and sufficient electricity. Your VoIP system will cease operating if you lose either. Fortunately, during an outage, you may automatically divert calls to a cell phone or another backup number. Your call quality will be comparable to 4-line setups as long as you have a steady high-speed internet connection.

Learn more about VoIP bandwidth needs and expectations here if you’re concerned about your internet connection. You can also do our free VoIP speed test by clicking the button below.

Winner: A four-line phone system is the most dependable option available. You’ll always need high-speed internet and electricity while using VoIP.

VoIP is the best option for long-distance communication.

Both landlines and VoIP systems normally give unlimited domestic calling, but international calling is usually charged at a separate cost. Because VoIP systems send data via the internet, they tend to provide lower international call rates (rather than over copper wires).

Another benefit of VoIP technology is that obtaining an international phone number may frequently result in lower international rates. RingCentral, for example, has international numbers for over 70 countries, whereas 808’s top package lets consumers to call up to 47 countries.

Winner: For firms that want to make regular long-distance and international calls, VoIP is the best solution. It is the more inexpensive option because to its lower monthly plan and per-minute costs.

What if I told you that When you choose a VoIP provider like RingCentral to upgrade your 4-line phone services, you may save up to 70%. It’s very simple to transfer your number, and you have the option of having as many lines as you desire.

Go to RingCentral.com.

Alternatives to Traditional Business Phone Systems

For some people, VoIP and 4-line systems aren’t the ideal option. Small businesses and solitary entrepreneurs will benefit from less robust phone networks. Here are a few alternatives to think about:

  • Business cell phone: For basic calling requirements, teams and workers don’t need anything extravagant. All you have to do is buy a phone and pay the monthly membership fee, which may be very reasonable if you just use it to make phone calls.
  • A virtual phone number provides you with a business phone number while routing calls to an existing mobile phone. If you need an easy, economical approach to segregate personal and business phone conversations, this is a better alternative. To get the greatest possibilities, look into the top virtual phone number providers.

Conclusion

While some businesses are still using traditional PBX systems, many small businesses are turning to VoIP services to handle their communication systems. VoIP expenses will gradually become the go-to alternative for every modern-day organization as technology advances and high-speed internet becomes more accessible (and inexpensive).

RingCentral, a VoIP phone service provider, offers intuitive dashboards and sophisticated features for a fraction of the cost of a 4-line phone system. The setup is straightforward, and you may add as many lines as you need. Sign up for a free trial to get started.

The “multi-line phone system experience” is a question that many small businesses are wondering about. The 4-Line Phone System vs VoIP: Which Is Better for Small Businesses?

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