When people mention voice over IP (VoIP) most are thinking about a business phone service rather than home phone. After all, businesses run data networks and that's what VoIP needs to operate. But now that the majority of homes have an Internet connection, that means they're also running a data network, just usually a smaller and simpler one than you'd find at the office. If you're careful about what you buy, you can take advantage of VoIP's key benefits, which include far more features and a much lower price tag than an old fashioned landline.

Our editors have researched and tested hundreds of systems, filtering out industry leading business phone services with the highest levels of reliability, backed by unparalleled customer service, and aggressive price points. The small business VoIP providers we've featured below offer custom packages for any budget, dedicated support reps, competitive pricing, and a fully managed, hands-on approach to getting your new business VoIP system up and running in the shortest possible time. Compare these providers below, some of which are from our partners, to find the right one for you.


SIP-T29G IP Phone is the most advanced model in the Yealink T2 series. It has a high-resolution TFT color display, delivers a rich visual experience.Yealink Optima HD technology enables rich, clear, life-like voice communications. Supports Gigabit Ethernet, a variety of device connections, including EHS headset and USB. With programmable keys, the IP Phone supports vast productivity enhancing features.
Choose the service that is appropriate for your calling needs. Residential VoIP plans are cheaper than business VoIP plans because: (1) they have fewer features and (2) residential phones are used less frequently than business phones. Don’t use a residential VoIP service for a home-based business unless you’re willing to pay overage fees or to have your VoIP service canceled. VoIP providers are serious about enforcing their Fair Use guidelines.
VoIP allows both voice and data communications to be run over a single network, which can significantly reduce infrastructure costs. The prices of extensions on VoIP are lower than for PBX and key systems. VoIP switches may run on commodity hardware, such as personal computers. Rather than closed architectures, these devices rely on standard interfaces.[12] VoIP devices have simple, intuitive user interfaces, so users can often make simple system configuration changes. Dual-mode phones enable users to continue their conversations as they move between an outside cellular service and an internal Wi-Fi network, so that it is no longer necessary to carry both a desktop phone and a cell phone. Maintenance becomes simpler as there are fewer devices to oversee.[12]
If you’re located in one of the 21 states currently serviced by Verizon Fios—which are mostly in the northeast—you’ll have access to one of the fastest internet connections available, which is perfect for VoIP. If you’re in DSL-only country, the speed will be slower, but uptime is still guaranteed at 99.95%. Either internet option will support steady VoIP service, and if your business is more medium-sized than small, Verizon could add up to a better value in the long run (especially if you’re in Fios territory).
The problem there is that VoIP traffic is much more sensitive to network bumps and potholes than most general office traffic. That translates to conversations breaking up or cutting out entirely, difficulty connecting over Wi-Fi, or (worst case) dropped and lost calls. If your business is small and your network is essentially contained in one or two wireless routers, then your configuration and testing headaches might be fairly small (though still there). But for medium and larger networks, these tasks can not only be complex, but also time consuming, which translates into added cost in terms of man-hours.

The receiver must resequence IP packets that arrive out of order and recover gracefully when packets arrive too late or not at all. Packet delay variation results from changes in queuing delay along a given network path due to competition from other users for the same transmission links. VoIP receivers accommodate this variation by storing incoming packets briefly in a playout buffer, deliberately increasing latency to improve the chance that each packet will be on hand when it is time for the voice engine to play it. The added delay is thus a compromise between excessive latency and excessive dropout, i.e. momentary audio interruptions.

From an end user point of view, the actual phone service works in the same way, you pick up the phone to answer a call or to dial a number just like with a landline service. Number porting means you can keep your existing phone number and simply switch it over to your new service provider. The residential VoIP providers take care of the call routing and you can call any destination and receive calls from anyone, just like with regular home phone service.
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