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BlogSonetel explains
Henrik Thome
CEO & Founder
2 July 2025

VoIP phone system

Small businesses need a reliable and affordable way to communicate with customers, and a VoIP phone system provides exactly that solution.

By using the Internet for phone calls instead of traditional lines, a VoIP system can save costs and help your business sound more professional. In this article, we’ll explain what a VoIP phone system is, how it works, and the benefits it offers for entrepreneurs and small companies.

We’ll also cover how to set one up, what to consider when choosing a provider, and how Sonetel’s solution can help meet your communication needs.

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What is a VoIP Phone System?

A VoIP phone system is a phone service that operates over the internet rather than through old‑fashioned telephone cables. VoIP stands for “Voice over Internet Protocol,” which is a technology that allows you to make voice calls using a broadband internet connection instead of a regular analog phone line.

In simple terms, your voice is converted into digital data and sent online to the person you’re calling, then converted back to audio on their end. This lets you call any mobile or landline number via the internet.

Use your smartphone

Because it runs through the internet, a VoIP phone system doesn’t require the traditional on‑premises PBX hardware that old business phone systems needed. All you typically need is a stable internet connection and a device (like a smartphone, computer, or VoIP desk phone) to start making calls. VoIP providers help you make and receive calls across the Internet – to and from regular mobile phones and landlines – making it easy for even solo entrepreneurs and small teams to look professional while keeping costs low.

In practice, a VoIP phone system can work through a software app (often called a “softphone”) or through standard SIP‑based desk phones or adapters for analog phones. (SIP, or Session Initiation Protocol, is simply the common signaling method that sets up calls in many VoIP systems.)

Freelancer on the beach in Greece, with a laptop using VoIP

Benefits of VoIP Phone Systems for Small Businesses

Switching to a VoIP phone system can provide numerous advantages for entrepreneurs, freelancers, and small businesses. Here are some of the key benefits:

  • Significant Cost Savings
    VoIP services are often much cheaper than traditional phone lines, especially for long‑distance and international calls. You can avoid expensive landline fees and hardware maintenance. Businesses can save up to 75% on communication costs by opting for VoIP, and many providers offer low monthly rates or flexible pay‑as‑you‑go plans.
  • Local & Global Presence
    With VoIP you can easily obtain virtual business numbers in different cities or countries, helping even a tiny company create a local presence. Sonetel lets you have your own virtual number in almost any market, so you appear local to global customers and never need to give out your personal mobile number.
  • Mobility and Remote Work
    A VoIP phone system lets you and your team make and receive calls from smartphones, laptops, or desk phones wherever you have internet, making it perfect for on‑the‑go owners and distributed teams.
  • Easy Scalability
    Add new users or numbers in just a few clicks without installing physical lines. Your phone system grows with your company, whether you open new branches or experience seasonal call spikes.
  • Advanced Features
    Voicemail‑to‑email, call recording, IVR menus, HD audio, and even AI‑powered call summaries and follow‑up emails—features that used to be enterprise‑only—are now standard or affordable add‑ons with modern VoIP providers such as Sonetel.
  • Reliability and Quality
    Today’s VoIP networks route calls through robust, redundant infrastructure. With a good connection you’ll enjoy crystal‑clear audio and uptime that rivals or exceeds traditional telephony.

In short, a VoIP phone system allows a small business to operate a professional‑grade phone service at a fraction of the cost of old setups while enjoying far greater flexibility.

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An accountant at his laptop, setting up a VoIP system for his firm

Getting Started: How to Set Up a VoIP Phone System

Setting up a VoIP phone system is surprisingly straightforward, even for non‑technical users. You don’t need an IT department or special telecom knowledge. Follow these steps:

  1. Choose a VoIP provider and plan
    Compare pricing, features, and support to select a service that fits your needs—Sonetel Basic or Premium plans are great starting points.
  2. Get a virtual phone number
    Sign up and secure a local or toll‑free number (or port your existing one). Sonetel offers numbers in over 100 countries.
  3. Set up your calling device/app
    Download the provider’s mobile or desktop app, or configure a SIP desk phone using the supplied credentials.
  4. Configure call forwarding and settings
    Use the web dashboard to define business hours, voicemail greetings, IVR menus, and fail‑over forwarding rules.
  5. Start making and receiving calls
    Test a few calls to ensure audio quality, then enjoy your new modern phone system with your business caller ID.
Senior female CEO for global company

Choosing the Right VoIP Phone System Provider

With so many VoIP services in the market, how do you decide? Compare vendors on the following points:

  • Cost and Pricing Structure
    Check whether the provider charges per user or per number, what’s included, and any extra fees. Sonetel starts at just $1.79 per month for a number with pay‑as‑you‑go calls.
  • Features and Flexibility
    Confirm essentials like auto‑attendant, SMS, and call recording, plus any unique extras such as AI summaries.
  • Number Coverage and International Calling
    Make sure the service offers numbers where your customers are and provides affordable international rates.
  • Ease of Use and Support
    A clean interface and responsive 24/7 help save valuable time when you’re running a small business.
  • Scalability and Integrations
    Look for simple user/extension adds and compatibility with CRMs or collaboration tools you already use.
  • Trial Options
    A free trial lets you judge call quality and features before committing—Sonetel lets you try it free.

Comparing VoIP Phone System Providers

Provider Starting Cost / Key Features
Sonetel From $1.79/mo – global numbers in 100+ countries, AI call summaries, free SIP address, free outbound calls to 40+ countries on Premium plan.
Google Voice $10/user/mo – seamless Google Workspace integration, voicemail transcription, US numbers; higher tiers add multi‑site support.
Ooma Office $19.95/user/mo – 50+ features including virtual receptionist and ring groups, unlimited US/CA/MX calling.
Vonage Business $19.99/line/mo – mobile & desktop apps, 50+ features, CRM add‑ons; higher plans add unified communications.
RingCentral Around $30/user/mo – full UCaaS platform with HD video meetings, messaging, analytics, and extensive integrations.

As the table shows, Sonetel’s VoIP phone system is one of the most cost‑effective options, especially for entrepreneurs and very small businesses. Its Basic plan lets you maintain a professional phone presence for the cost of a coffee each month, while competitors often charge twenty dollars or more per user.

An afro American, female CEO with her tech startup team

Conclusion: Empower Your Business with VoIP

Adopting a VoIP phone system can be a game‑changer for your small business. It allows you to project a professional image, be reachable by customers anywhere, and control your communication costs – all with flexibility that traditional phone lines can’t match.

A service like Sonetel is designed with small businesses in mind. You can get started with a business phone number for as little as $1.79 per month, enjoy advanced capabilities like AI‑generated call summaries and global call forwarding, and scale up when you need to – all while keeping things simple and user‑friendly.

In summary, switching to a VoIP phone system is a smart, future‑proof move for any small business owner looking to save money and enhance communication. It’s never been easier to get started – you can try Sonetel for free and see the benefits for yourself. Embrace the flexibility and power of VoIP, and give your business the professional voice it deserves.

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