As of November 2025, all plans include 30% promotional savings for the first 12 months (plus taxes and fees).

Whether your team is on the go, managing a hybrid workforce, or scaling to support new customer demands, Vonage Business Communications makes it easy to get the reliability and flexibility your business needs, without the high costs or hardware limitations of traditional phone systems.

VBC also integrates seamlessly with popular tools like Salesforce, Microsoft Teams, and HubSpot, giving your team one connected platform for voice, video, and messaging. With 24/7 support, bring-your-own-device compatibility, and more than 40 included features, Vonage helps small businesses reduce communication costs while improving collaboration and customer experience.

What drives phone system costs for a small business?

When researching how much a small business phone system costs, it’s important to understand the factors that shape your monthly pricing. The total expense depends on the type of service (VoIP vs. landline), the number of users or lines, and the features your business requires.

Generally, a cloud-based VoIP phone system for small businesses costs between $15 and $40 per user, per month, while a traditional landline system can range from $50 to $100 per line. The difference largely comes down to infrastructure — VoIP systems rely on your internet connection and cloud technology, while landlines require physical copper wiring, installation, and maintenance.

If you’re comparing VoIP vs. landline costs, VoIP is often more affordable upfront and over time. It eliminates hardware setup fees and long-term maintenance costs, while also giving you access to advanced features like video meetings, voicemail-to-email, and mobile app calling, all of which can improve your business efficiency.

• Number of users: Most pricing plans will have a per-user cost. You need to decide if every employee needs a phone line or if you can get by with one line for multiple employees. Consider how your customers communicate with your business, whom they need to reach, and the frequency of calls. Some providers also offer volume discounts, meaning the more users you add, the lower the price per user will be.

• Phone model: If you need to purchase desk phones for your new system, you’ll find a wide range of prices as you shop around. One IP desk phone can cost anywhere from $50 to $300, and you may have to pay an additional labor charge to program it. However, the beauty of VoIP technology is that it doesn’t require a traditional phone. Most VoIP providers have an app you can download directly to any device, like a smartphone, laptop, or tablet. So instead of investing in expensive hardware, you can have your employees use the devices they already possess to make calls. 

• Training costs: A new phone system will require some form of staff education — an often overlooked factor when budgeting for a new phone system. The cost of training will vary depending on the number of employees and locations. To help you save money on this expense, Vonage makes it easy for new business phone customers, offering a helpful library of tutorials and live training sessions.

• Desired features: Do you just need a few phone lines and a way to capture voicemails? Or are you looking for a system that’s a bit more feature-rich? More features will mean a higher cost, but the price tag is usually worth it for businesses with significant communication needs. For example, the Advanced Vonage pricing tier offers 40+ voice and unified communications features, like auto attendant, visual voicemail, on-demand call recording, call groups, spam shielding, and much more.

Now, if you’re not so sure about using an internet phone, you may be wondering …

How much does a business phone line cost?

If you’re still considering a traditional landline, you may be asking how much a business phone line costs compared to VoIP. Basic landline services, often referred to as plain old telephone service (POTS), typically range from $15 to $40 per line, per month. However, that base price doesn’t include the added costs of equipment, installation, and ongoing maintenance. Once you factor those in, the total monthly expense can easily exceed $50 to $100 per line, as previously mentioned.

For small businesses, these costs can add up quickly. Unlike cloud-based systems, traditional landlines require copper wiring and on-site infrastructure, which also means limited scalability and flexibility. As a result, many providers are retiring POTS entirely, shifting focus to more reliable internet-based systems that offer advanced features at lower prices.

In recent years, business communication has largely transitioned to VoIP phone systems, which operate over the internet and allow teams to make calls from virtually any device, no hardware setup required. VoIP technology not only cuts recurring phone-line costs but also supports mobile and remote work environments, making it a practical choice for growing small businesses.

So while you can pay for the “dying breed” of traditional landlines, there’s a good chance that even the cheapest landline phone service won’t be around much longer. This means you’ll likely have to pay for an internet-based phone system anyway when that time comes.

Real-world pricing example based on team size

On average, a small business with five to 10 users can expect to pay $75 to $300 per month for a VoIP phone system, depending on the plan tier and features selected. That cost typically includes unlimited domestic calling, mobile and desktop apps, voicemail, and basic integrations. Larger teams or those requiring advanced features like video conferencing, international calling, or CRM integrations may pay more, around $500 to $1,000 monthly.

Real-world business phone system cost examples:

• A five-person marketing agency using a VoIP provider's mid-tier plan at $25 per user pays around $125/month. This includes business texting, voicemail, and team messaging, ideal for client calls and hybrid work.

• A 10-person medical office on a premium plan with HIPAA-compliant call recording and phone support might spend $279/month, especially if desk phones are in use and voicemail transcription is needed.

• A 20-person ecommerce company with international calling, CRM integrations (e.g., Salesforce), and advanced analytics could see costs around $700-$900/month, depending on user volume discounts.

Traditional landlines may appear cheaper upfront but often result in higher total costs due to installation, hardware, and limited flexibility. For most small businesses, VoIP remains the more cost-effective, scalable, and modern communication choice.

How do I set up a VoIP phone system for a small business?

If you’re wondering how much effort goes into setting up a VoIP phone system for a small business, the answer might surprise you: It’s fast, affordable, and requires minimal technical expertise. Because VoIP systems run over your existing internet connection, there’s no need for costly wiring or complex installation. Most small businesses can have their VoIP phone system fully operational within a day, with setup costs starting as low as the monthly plan itself.

Setting up a VoIP system with Vonage is simple. Follow these steps to get your business connected:

1. Pick a pricing plan.

2. Select the number of users.

3. Check out through our handy ecommerce system.

4. Create your online account.

5. Choose which numbers to use on your account, and purchase an extension for each of your users. You may be able to use an existing phone number based on your current carrier, or you can choose an available number from Vonage inventory.

6. Set up the phone hardware you want used and have employees download the Vonage app onto their devices.

7. Train your employees on how to use the new phone system.

Once your system is set up, your team can start making and receiving calls immediately, from the office, at home, or on the go.

VoIP vs. landline: Which is more cost-effective for small businesses?

When deciding how much a small business phone system costs, one of the biggest choices is whether to use VoIP or a traditional landline. Both options can support your communication needs, but the costs and capabilities differ significantly.

Here’s a quick comparison to help you decide which system fits your business best:

For most small businesses, VoIP phone systems offer a lower total cost of ownership and greater flexibility. Instead of paying for hardware, maintenance, and installation, VoIP users simply pay a predictable monthly rate. Plus, cloud-based systems support remote and hybrid work, something traditional landlines can’t match.

Choosing the right small business phone system

Choosing the right phone system can have a big impact on your budget and business performance. If you’ve been wondering how much a small business phone system costs, now you know that a flexible VoIP solution like Vonage Business Communications can deliver powerful features at a fraction of the cost of traditional lines. With reliable service, transparent pricing, and simple setup, Vonage makes it easy for small businesses to communicate smarter and scale faster.

Vonage is trusted by large brands like Allstate, Domino’s, DHL, The Princeton Review, and many others, but we understand the unique needs of small businesses as well. With Vonage Business Communications, your business gets a flexible, cloud-based solution that grows with you. Whether you’re managing a few lines or dozens of users, VoIP gives you the scalability, reliability, and control that traditional systems can’t match, all at a predictable monthly cost.

Let us help your small business communicate more efficiently and delight customers, prospects, and staff. Get started today!