The best phone services for small businesses
Do you want to go straight to the answer? The best phone service for most small businesses is undoubtedly Nextiva or RingCentral.
Telephone services for businesses have come a long way.
Good services allow you to get toll-free numbers, easy routing, and unlimited SMS for a low monthly fee.
VoIP telephone services for businesses have become much more popular than traditional phone lines. They are easier to set up, manage, and cheaper.
Below, we present the best professional telephone services on the market. Later, we will delve into the reasons why you need it and how exactly a VoIP service works.
The best business phone service providers for 2020
Nextiva- The most affordable business plans.
RingCentral- The most popular VoIP telephone service for small businesses.
Ooma- It is preferable to use desk phones in a traditional office environment.
Phone.com- The best phone service plans for small businesses.
Grasshopper- The best telephone service for individual entrepreneurs.
Vonage- Pioneer in the field of VoIP telephony.
Jive- Tiered prices with all-inclusive features.
1-VoIP- Flexible and cost-effective metered pricing for small businesses with a budget.
Below, compare the prices, plans, and features of each of them in order to determine which one is best suited for your small business.
Nextiva - The most affordable business plans
Starting from $19.95 per month
Affordable business plans
Unlimited calls
Local & free; toll-free number
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Nextiva is a leader in the field of business telephony. Brands like YMCA, Buffalo Bills, and Taco Bell trust Nextiva for their telephony solutions.
It's great if you want a reliable phone system for your business at a good price. You will have everything you need
A telephone for your office
Phones for conference rooms
An application to manage phone calls, text messages, and emails through your computer
A mobile application for your cell phone
Integrations with major CRMs such as Salesforce and Hubspot
According to Gartner, 94% of customers are satisfied with Nextiva. People love the service - and for good reasons. They have a 99.999% uptime and no outages were reported in 2019 and 2020. Rest assured that your phone service will not be interrupted by their data centers.
You will have the choice between three simple plans. The price depends on the number of users and the duration of your contract. There are plans for businesses of all shapes and sizes, with options for companies with 1 to 4 users, up to over 100 users.
Here are the starting rates for each plan, per user, for an annual contract:
Basic - 19.95 dollars per month
Professional - $20.95 per month
Business - $27.95 per month
These are the most affordable business plans we have seen so far.
Here are some other key highlights of Nextiva's phone service for small businesses:
Unlimited calls
The call queue
Call forwarding
Background music
Free online fax
Local and toll-free number
Some desired features are not included in the basic plan. If you want to use the Nextiva application, benefit from unlimited conference calls, pre-recorded greetings, and text messages, you will need to upgrade to the pro plan.
Call recording, voice analysis, and transcribing voicemails to text are only available on the enterprise plan.
RingCentral - The most popular VoIP phone service for small businesses
Starting from $19.99 per month
100 free minutes per month
Call recording on demand
Solutions for small businesses
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With over 350,000 businesses using RingCentral for VoIP telephony services, it is one of the most popular solutions in the industry.
RingCentral stands out for offering plans specifically designed for small businesses. It is reliable, secure, easy to use, and provides high-quality voice for crystal-clear calls.
RingCentral is also affordable. You can save over 30% if you sign up and pay in advance with an annual plan rather than a monthly contract.
Here is a brief overview of the plans and pricing:
The essentials
Starting at $19.99 per month per user
Up to 20 users
100 free minutes per month
Call recording on demand
Unlimited calls to the United States and Canada
Standard
Starting from $24.99 per month per user
1,000 free minutes per month
Unlimited Internet fax
Unlimited audio meetings
Unlimited video conferencing (up to 4 people per meeting)
Call recording on demand
Development and deployment of customized applications
Premium
Starting from $34.99 per month per user
2,500 free minutes per month
Unlimited video conferencing (up to 100 people per meeting)
Automatic call recording
Multi-site support
Integration of Salesforce and Zendesk
Ultimate
Starting from $49.99 per month per user
10,000 free minutes per month
Unlimited video conferencing (up to 200 people per meeting)
Automatic call recording
There is practically a plan for everyone. However, I don't think most businesses will need more than the Standard plan, which offers many features and all the essential elements that a business may need.
You can also customize your plan to pay extra fees for things like additional toll-free numbers, vanity numbers, international numbers, and free international calls.
All packages come with basic features such as unlimited professional SMS and MMS, mobile apps for iOS and Android, high-definition voice, team collaboration, call log reports, and 24/7 customer support.
The plan you choose will largely depend on the number of free minutes you plan to use as well as the number of users on board.
Ooma - Ideal for traditional office settings with desk phones.
$19.95 per month package
No contracts, cancel anytime
Unlimited calls
Virtual receptionist
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Ooma offers VoIP phone plans specially designed for small businesses. It is an ideal solution for businesses with traditional offices that need desk phones.
They have a very attractive pricing structure for new businesses. You simply pay a flat rate of $19.95 per user per month. There is no contract and you can cancel at any time.
But there's a catch. Monthly rates do not include equipment fees.
If you compare them to similar equipment offered by other providers, you will see that Ooma is definitely at the higher end of the spectrum. This offsets the lower monthly rates.
Ooma has a mobile application that allows you and your staff to make calls on the go from your smartphones. In theory, you can choose to only use your mobile phone and not pay for equipment costs.
Although I do not recommend it. There are better options if you are looking for a professional VoIP phone service without hardware.
So stick with Ooma if you want simple rates for your office phone. For those of you with a growing team, Ooma can grow with you. It's easy to add users and devices, and manage everything yourself.
Your package will include unlimited calls, a toll-free number, reduced international rates, and a virtual receptionist. Ooma also offers exceptional customer support service if you encounter difficulties setting up the equipment or managing your service.
Phone.com - The best cheap phone service plans for small businesses.
Starting from $9.99 per month
More than 50 standard features included
E911 numbering options
Premium feature additions
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Phone.com offers some of the simplest and most straightforward VoIP business phone plans you can find. Simplicity is one of the main reasons why their rates are so affordable.
You can sign up and get started in just a few minutes. Building and managing your entire professional phone system from the intuitive dashboard is easy for everyone, regardless of their level of technical expertise.
Phone.com has over 50 standard features, including:
Fax to email
SMS Messaging
International numbering
HD Conferences
Call Filtering and Blocking
Call routing
The call queue
Car attendant
You will also benefit from E911 numbering, which is not offered by all VoIP providers. Premium features such as caller analysis, call recording, video conferencing, and CRM integration are available at an additional cost.
Phone.com is compliant with HIPAA and HITECH standards, which means it can be used safely if your business is in the medical field.
Compared to other professional phone services we have seen, Phone.com offers a unique pricing structure.
They have standard packages with unlimited minutes starting at $24.99, $32.99, and $49.99 per month with an annual contract. Each level includes additional numbers and text messages, as well as extra features that you can expect from the increased prices
However, Phone.com also offers minute plans starting at $9.99 per month. This is the lowest monthly rate you will find from a reputable VoIP service provider. These plans are ideal for businesses that do not need a lot of minutes. The minute plans offer 300, 500, and 1,000 minutes per month, respectively.
Therefore, if your calls are relatively short and infrequent, you can certainly save money with one of these budget plans.
Grasshopper - The best phone service for individual entrepreneurs
Starting from $26 per month
VoIP and Wifi Calls
No call limit
Live assistance 24 hours a day, 7 days a week
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The grasshopper is another popular option, designed for both small businesses and entrepreneurs.
More than 135,000 users trust Grasshopper as a professional phone service. The provider is responsible for over 140 million calls per year.
Grasshopper allows you to easily find toll-free numbers, vanity numbers, 800 numbers, local numbers, etc. This simple solution is a great way to add professionalism to your business.
Here is a brief description of the plans and prices:
Alone - Starting from $26 per month (1 number, 3 extensions)
Partner - Starting from $44 per month (3 numbers, 6 extensions)
Small businesses - Starting at $80 per month (5 numbers, unlimited extensions)
The solo plan is the best option for an entrepreneur with a small secondary business. You will want to upgrade to the partner plan if you have a small group of up to three employees working for you. For any other reason, you will need a small business plan tailored to your needs.
All Grasshopper plans come standard with the following features:
VoIP and Wifi Calls
Virtual fax
Mobile and desktop applications
Commercial texts
Ability to handle multiple calls at the same time
Call reporting
Call forwarding
Voicemail
Call transfers
Extensions
Unlike other professional phone services on the market, Grasshopper has no restrictions on call limits. You also get 24/7 live support.
Grasshopper also gives you the ability to integrate your professional interactions into an easy-to-manage inbox. You can access your emails, texts, professional calls, and contacts all in one place.
Vonage - Pioneer in the VoIP telephony sector
50+ voice & communication features
Compatible with Vonage meetings
Easy to set up and scale
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Vonage is a well-known and recognized name in the telephone industry. They have been in operation for nearly 20 years. In 2003, Vonage became the first VoIP platform for 911 calls.
Although the company has a rich history, it has just started providing commercial solutions.
They offer three different plans, with prices based on the number of lines you need. Here is a brief overview of the plans and costs.
Mobile
This plan allows you to make and receive calls from your mobile device and desktop computer. It is ideal for small businesses that do not need desk phones.
1-4 lines - $19.99 per month per line
5-19 lines - $17.99 per month per line
More than 20 lines - $14.99 per month per line
Premium
The Premium plan is designed for traditional office teams. It allows for making calls from any device, including desktop phones.
1-4 lines - $29.99 per month per line
5-19 lines - $27.99 per month per line
More than 20 lines - $24.99 per month per line
Advanced
This is the best option for businesses that need a telephone service for team setup and onboarding.
1-4 lines - $39.99 per month per line
5-19 lines - $27.99 per month per line
More than 20 lines - $34.99 per month per line
If you want CRM integrations, you will need to subscribe to the Premium or Advanced plan. The Advanced plan also includes on-demand call recording, group calls, and virtual voicemail.
Jive - Tiered Pricing with All-Inclusive Features
Many all-inclusive features
Call recording & monitoring
Personalized Greetings & On-hold Music
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Jive is one of the best VoIP phone services for businesses, for those of you who want to benefit from many all-inclusive features.
I love Jive because it strives to make enterprise-level communication available to small businesses. Their system is very easy to use, no matter the size of your team.
With Jive, you will get basic features such as:
Call recording
Automotive attendants
Call monitoring
Conferences
Virtual fax
Personalized greeting
Personalized on-hold music
Compose by name or position
Individual call logs
Other providers make you pay an additional fee for some of them.
The Jive allows you and your entire team to easily connect to your phone system from any computer or mobile device with an Internet connection. It is perfect for those of you who are not always tied to a traditional office environment
The pricing of these plans is based on users. Here is an overview of Jive's multi-tiered pricing structure.
As you can see, the more users you have, the less you pay per month. But even the entry-level plans are affordable. Taking into account the all-inclusive Premium features, Jive is a more attractive option than some other providers on the market.
Jive phones are extremely easy to set up. All you have to do is plug them in and you'll be ready to make calls in just a few minutes.
1-VoIP - Flexible and cost-effective metered pricing for small businesses with a budget
More than 40 standard features
Pay for what you use with plans
Rentable and flexible
1-VoIP is cost-effective and flexible. It is an excellent option for small businesses with tight budgets who want a reliable telephone service provider.
With plans starting at $14.97 per month, 1-VoIP does not have the lowest rates we have seen in this guide, but they are very close.
If you don't make calls often, you can take advantage of 1-VoIP's metered pricing structure. Only pay for what you use. In this case, you will only be charged $0.02 per minute.
Unlike other providers on the market, 1-VoIP does not remove basic features if you subscribe to the metered plan. You will retain all the features of other plans, including
Queues
Music on hold
Virtual Fax
Digital call forwarding
Call recording
Opening hours
Extension Transfers
Call on hold
In total, over 40 features are available as standard.
If you only use 200 minutes per month, the plan with a counter will be your best option. Otherwise, they offer packages starting at $19.97 and $29.97 per month per extension.
The value of a professional phone service
Why do you need a VoIP phone service for businesses?
Most small business owners use traditional landlines or mobile phones to communicate. But landlines can take up a lot of extra space around the office. Also, you can't take them with you when you're on the go.
Most of you may be using your personal cell phone number to handle professional calls. While this system may work for you, it is not as professional.
Of course, you can always get a business plan from a traditional mobile operator. But these plans are expensive, especially when you add lines.
These are some of the key benefits of using a professional telephone service:
Make and receive calls from multiple devices (computer, mobile phone, desk phone)..
Follow the usage, wait times, and call duration.
Share a number with multiple users.
Add new employees without having to go to a store to buy a new phone.
Local and free calls from any location with high-speed Internet access.
Most VoIP phone services for businesses also come with features such as call recording, call waiting, call forwarding, and call routing.
Overall, a professional telephone service can add professionalism to any small business or website. It can improve communication internally as well as with your clients.
What is a VoIP telephone service?
The acronym stands for "voice over Internet protocol". In simple terms, it is a telephone service that operates over the internet.
A VoIP creates a digital signal from any incoming or outgoing call. It then converts this signal to also reach any non-VoIP number. This cloud-based solution allows you to receive calls from a computer, a VoIP phone, any phone equipped with a VoIP adapter, or a mobile hotspot. Here is a visual explanation of how it works.
Now that you are more familiar with some of the leading professional telephone services on the market, it is time for you to choose a plan for your small business.
That is why we have outlined the five essential characteristics that a professional phone service needs. You can use the same criteria to find the best professional phone service for you.
Size of companies
The first thing to do is determine the number of lines and users you will need. Some plans are designed for small businesses with only a handful of people, while others are designed for teams of 20, 50 people or more.
In most cases, you will pay less per month and per line if you have more users. Large companies should look for these packages to get the best rate.
But if you have a small team and only need a few lines, it is better to avoid differentiated pricing models. Instead, look for flat-rate offers designed for small businesses.
Price
In addition to the size of your company, the duration of your contract can also have an impact on the price you pay. Some providers try to impose an annual contract on you to lower the monthly rates. But this structure can prove to be expensive initially.
For the sake of simplicity, let's say you subscribe to a $20 per month usage plan, renewed annually... If you have 10 users, this plan will cost you $2,400 at the time of registration.
Make sure you are happy with your provider before entering into long-term agreements. I recommend a service that offers monthly rates. Try it out before considering anything long-term.
Whatever your decision, make sure that your VoIP business phone plan fits your budget. There are cheap packages with fewer features, as well as more expensive packages with many additional benefits.
Reputation
Ensure to choose a reliable provider with a good reputation in the industry. Read online third-party reviews to know what customers are saying about them.
Think of it in the same way as your mobile phone plan. Networks like Verizon, AT&T, and Sprint have a better reputation than some lesser-known brands.
Of course, a smaller or lesser-known carrier may sometimes offer a cheaper alternative. But in many cases, you get what you pay for.
A trusted provider may be a little more expensive, but it's better than having a poor connection and missed calls.
Ease of use
Although the concept of VoIP phone may seem complex, using a professional phone service should not be difficult.
In terms of setup and onboarding, you should look for a service that can be up and running in a few minutes. If you are making calls from a mobile app or desktop computer, you can then start instantly.
For those of you who will be using VoIP desk phones and other hardware, look for providers that offer simple solutions. If the hardware installation takes too long, it's not worth the hassle. Additionally, the more complex the configuration, the more difficult troubleshooting will be.
Taking calls, making calls, transferring calls, recording calls, checking call logs, setting up your voicemail, and everything else should also be simple. If you and your team are having trouble performing these tasks during your first month or free trial, you should look elsewhere for a more user-friendly service.
Free features
Each professional phone service comes standard with basic features that depend on the package you choose. Some of them will be more useful to you than others.
It is up to you to review these features to see which ones you will actually use. Then, find a plan that includes these features for free.
For example, you might be drawn to a plan that has over 50 features, even if you will only benefit from 10. But if this plan does not include a feature that you need, such as call recording, it is not worth paying extra for it if you can get it for free elsewhere.
So, browse the market and compare feature lists to ensure you are getting the best value for your needs.
Summary: The best business phone services for every situation
I made sure that this guide has something for everyone. No matter the size of your team or your budget, you can definitely find a reliable phone service for your small business.
Let's recap the best choice for each situation:
Nextiva - The most affordable business plans.
RingCentral - The most popular VoIP phone service for small businesses.
Ooma - Ideal for traditional office environments with telephonesdesktop phones.
Phone.com - The best cheap phone service plans for small businesses.
Grasshopper - The best phone service for individual entrepreneurs.
Vonage - Pioneer in the VoIP telephony sector.
Jive - Tiered pricing with all-inclusive features.
1-VoIP - Flexible and cost-effective metered pricing for small businesses with a budget.