Business July 11, 2025 8 min read

SIP Trunking for Small Business: Benefits and Cost Savings

Small businesses can save hundreds per month by switching from traditional phone lines to SIP trunking. Here is what you need to know to make the transition.

Why Small Businesses Are Switching to SIP

Traditional phone service was designed for a different era. Small businesses today need flexibility, mobility, and professional features without enterprise-level costs. SIP trunking delivers all three.

The shift is accelerating for practical reasons: carriers are actively retiring copper POTS lines, PRI circuits are expensive for small offices, and the features that used to require costly hardware (auto-attendant, call queues, voicemail-to-email) now come standard with IP-based phone systems.

Did You Know: Over 75% of businesses with fewer than 50 employees have already switched to VoIP or SIP-based phone systems. The remaining holdouts are primarily businesses still under contract with traditional carriers.

Cost Comparison: SIP vs Traditional

Here is a realistic monthly cost comparison for a small business with 10 employees and 5 concurrent call channels:

Expense Traditional (POTS/PRI) SIP Trunking
Phone lines / channels$250/mo (5 POTS lines)$0 (pay per minute)
Local callingIncluded~$50/mo (est. usage)
Long distance$75/mo (est.)~$25/mo (est.)
DID numbers$10/mo each ($50 total)$1-3/mo each ($15 total)
Features (caller ID, etc.)$30/mo add-onIncluded
Monthly Total~$405/mo~$90/mo
Annual Savings~$3,780/year

IPComms Pricing: IPComms offers simple pay-per-minute pricing with no channel commitments or contracts. You only pay for the minutes you use, making it ideal for small businesses with variable call volumes. View pricing.

Features That Level the Playing Field

SIP trunking combined with a modern PBX gives small businesses features that used to require expensive enterprise systems:

Auto-Attendant

Greet callers professionally with a menu system: "Press 1 for Sales, Press 2 for Support." No receptionist needed.

Local Presence

Get local phone numbers in any area code. Appear local to customers in multiple cities without physical offices.

Voicemail to Email

Receive voicemail messages as audio attachments in your email. Listen to messages from anywhere on any device.

Call Forwarding

Forward calls to mobile phones, home offices, or alternate locations. Never miss a call even when away from the office.

Simultaneous Ring

Ring your desk phone, mobile, and softphone at the same time. Answer on whichever device is most convenient.

Toll-Free Numbers

Add 800/888/877 numbers to give your business a national presence and make it free for customers to call you.

Scaling with Your Business

One of the biggest advantages for small businesses is that SIP trunking grows with you without big upfront investments:

  • Start small: Begin with just 2-3 channels and a couple of phone numbers. Total cost could be under $50/month.
  • Add capacity instantly: Hiring new employees? Add extensions to your PBX and your SIP trunk automatically handles the additional calls. No waiting for the phone company to provision new lines.
  • Open new locations: A second office does not need its own phone system. Remote locations connect to your central PBX over the internet.
  • Seasonal flexibility: Ramp up capacity during busy seasons and scale back during slow periods. With per-minute pricing, you only pay for what you use.
  • Remote workers: Adding remote employees is as simple as giving them a softphone application. They connect to your PBX from anywhere with an internet connection.

Getting Started: Your Options

Small businesses have two main paths to SIP trunking:

Option 1: Hosted PBX

The provider runs the phone system in the cloud. You just plug in phones and start calling. Best for businesses that want simplicity and do not have IT staff.

  • + No hardware to maintain
  • + Provider handles updates
  • + Predictable monthly cost
  • - Less customization

Option 2: On-Premise PBX + SIP Trunk

Run your own PBX (FreePBX, 3CX) and connect it to a SIP trunk provider like IPComms. Best for businesses wanting full control.

  • + Full customization
  • + Lower per-minute costs
  • + Complete data control
  • - Requires some technical ability

IPComms Offers Both: IPComms provides both SIP trunking (for your own PBX) and Hosted PBX service. Start with hosted and migrate to your own PBX later if your needs grow, or vice versa.

Common Concerns Addressed

Will call quality be as good?

With a decent internet connection (25+ Mbps), SIP call quality is equal to or better than traditional phone lines. Many SIP providers support HD voice codecs that sound significantly clearer than POTS.

Can I keep my existing phone numbers?

Yes. Number porting transfers your existing numbers to your SIP provider. The process typically takes 1-3 weeks. IPComms handles the entire porting process for you.

What about 911 / emergency calls?

Reputable SIP providers like IPComms support E911, which routes emergency calls to your local PSAP with your registered address. This works the same as traditional 911 service.

What if the internet goes down?

SIP trunks can be configured with failover rules. If your primary internet fails, calls automatically forward to mobile phones, a backup location, or voicemail. This is actually more resilient than a single POTS line.

Ready to Save on Your Phone Bill?

IPComms provides affordable SIP trunking for small businesses with no contracts, no minimums, and free number porting. Sign up and start calling in minutes.

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