Is a Cloud PBX Right for your Business?

By Colby Branum |

A cloud private branch exchange, or Cloud PBX, is today’s switch station and can provide an array of benefits due to its cloud-based form. A traditional, on-site PBX is a large panel, usually stored in a back room, with multiple phone lines coming out of it. Now that we are living in an era of cloud-based technologies, all the functions of a PBX are now available without panels, wires and physical space. Before purchasing a cloud PBX for your business, there are a few questions you need to ask yourself:

How Big is Your Business?

When considering if a Cloud PBX is right for you, one of the main factors to think about is your business size. Since a cloud PBX is 100% reliable on your internet connection, it might not be the best option for a large corporation. If you are your only employee, this kind of software might be too expensive for just one person. Ideally, if your company uses between 2-7 lines in a single place (if you have more than one location of workers, this ratio applies to all of your business locations), a Cloud PBX can be an excellent choice. However, there are a few factors to consider, such as your remote employees, calling capacity and, most importantly, your internet connection.

The Strength of the Internet Connection

Although the internet seems strong enough to withstand any capacity, this is certainly not the case. In most cases, the quality of the Cloud PBX depends on a few factors that are indirectly related to the customer’s internet. For example, to maintain 5 connections, the bandwidth requirements for 5 lines would be a minimum of 256kbps on the business’s end. For some companies, this kind of internet dependency is extremely inconvenient, and increasing your bandwidth connection could actually hurt your savings instead of increasing them.

How Big Will You Become?

As stated, a Cloud PBX works the best with no more than 8 lines in a given space. That being said, it’s crucial to think about your company’s growth before you implement a Cloud PBX. Do you see your company doubling or even tripling in size within 2-3 years? If your company is on a growing streak and you plan on increasing the number of phone users over the next few years, then maybe investing in one now isn’t the best option. In this particular case, a premise-based PBX would be a safer and more reliable option for your company.

For more information about Cloud PBX and how your company can benefit from it, click here to learn more!