PBX Phone Systems: A Guide on What They Are and How They Work

pbx system

If you’re trying to grow your business, you’ll need a phone system that can grow with you.

Many businesses struggle to find a balance in their offices because they take on a lot of new people and don’t have efficient systems. This prevents them from growing because they aren’t properly equipped to deal with customers and various tasks.

Over the years, technology has developed to the point where we can use the likes of PBX phone systems to grow our businesses. These prevent having a plethora of phones in the office, complicated call processes, and poor customer support.

Read on to learn more about PBX phone systems and why they would benefit your business.

What Is a PBX System?

A PBX system is a private telephone network that companies use for a variety of reasons. What does PBX stand for? It means “private branch exchange.” Anyone that’s using a PBX system can communicate with others on the same network.

PBX systems also allow users to communicate with external phone numbers, letting employees speak with customers or business associates. Multiple channels can be used such as PSTN, ISDN, and VoIP.

In the past, each system would come with a specific PBX phone that can only be used on that system. Today, PBX phone systems can make use of any phone as they can be run on your business’s hardware.

Related: How to Have Multiple Phone Numbers on One Cell Phone: A Step-By-Step Guide

Generally, a PBX service will provide you with an IP PBX that uses signals to connect to computers and phones. The IP PBX will also connect to the router so it can use its internet features.

The Benefits

Business owners of various sizes use PBX systems because they provide them with a range of benefits. Here are the reasons why a PBX system can help you grow your business.

Internal Communications

Using a PBX system removes the hassle of managing multiple phone lines. With a traditional system, calls are routed through your phone company whenever someone in your office calls a coworker.

While the call is being routed, there will be a delay that forces employees to wait before communicating with one another. Calls on a PBX system are all internal, preventing them from leaving the building.


When you get a PBX phone system, one of the main benefits it will provide you with is the ability to handle phone calls without using manpower. When a customer calls, an auto attendant can give instructions to the caller.

Depending on what the caller wants, they can follow those instructions to get a hold of the services that they’re seeking. For example, if someone is calling for customer support, the PBX system will give a variety of options rather than having an employee figure out what they’re calling for.

Customers can sometimes find the process of going through various menus to be tedious, so you can alter the system to be the way you want. If you wanted to redirect a caller to someone from customer support without question, this option can be implemented.

Hosted PBX

PBX systems that run on cloud-based services provide businesses with a modern approach to virtual phone systems. This type of system is known as hosted PBX and allows businesses to use a wide variety of devices on the network.

Rather than being restricted to the computers and phones connected to an IP PBX, a hosted PBX system allows employees to access the phone system via personal phones.

Personal Phones

Your cellphone would essentially turn into a PBX phone because you can use it anywhere. Employees can access company emails, accept calls, and partake in meetings while they’re on the go.

This allows your business to expand its horizons because your employees won’t be confined to an office space to get work done. You’ll be able to offer employees varied work hours, and customers can get a hold of your business more easily.

While many people think that this requires them to give their cellphone numbers to clients, a hosted PBX will use your business number to handle calls. Employees will be able to talk to a client via their work number while they’re out of the office.

External Employees

One of the major benefits of using a hosted private branch exchange system is that you can introduce more diversity to your company. A hosted PBX system allows you to hire employees that can work outside of the office.

Depending on what type of business you run, these employees will be able to work from home while performing the same tasks they would in the office. A prime example of this is an Apple Care Advisor.

Apple uses a hosted PBX system so that their employees can deal with customer support from anywhere. These employees can access the same data that the internal team sees, allowing them to cater to the needs of a customer.

Start Using PBX Phone Systems Today

Traditional phone systems require offices to be set up with numerous phones and wires running through them. By using PBX phone systems, you can eliminate the clutter in your office and improve the productivity of your business.

With a PBX system, your employees can communicate with one another through the same network. They can also speak with customers from anywhere, whether it’s inside the office or at their homes.

If you’d like to grow your business, invest in a PBX phone system today to start reaping the benefits. You’ll quickly start to get improved businesses as clients become satisfied with your customer support, and you can offer more services.

Feel free to browse our startup section to read more articles that can help you grow your business!