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Return on Investment, Cloud-Based PBX Phone System—Mid-Size Office Configuration

Take a typical Canadian medium-size office with 60 employees. This business is likely to have a simple telephone switch (a PBX) with approximately 20 outside lines, depending on the type of business. The switch is probably leased and is under a maintenance contract with a service provider. There will be recurring monthly fees paid for the telephone lines, for individual calling features on each line, and for the maintenance/lease cost of the switch or for servicing or maintenance of individual phone sets. There will also be time involved for a technology person or administrator to make changes for people coming, going, and moving within the company.

The recurring costs of a typical legacy phone system:

  • Existing provider business telephone line monthly cost: $47.95 x 20 lines = $959.00
    (or alternatively 1 x T1 x $1,000 for 23 lines)
  • Additional per-line cost for call services x 40 (eg. call name/number display @ $12.95): = $518.00
  • Telephone PBX switch monthly rental/lease/service: $375.00
  • Existing phone set changes/maintenance monthly charges (60 phones): $175.00

Total monthly recurring cost: $2,025.00

For comparison, the model above is simplified. In practice, such a business is likely to have many other communications services and/or options. There may be additional capabilities required for dedicated fax lines, static IP requirements for dedicated servers, data communications requirements, remote employee communications support, etc. A Danforth Phone Systems' cloud-based, PBX phone service can be amended to support all of these requirements, but for sake of example, we will focus on the basics.

If you were to replace your existing legacy system with our cloud-based, Digital PBX phone service your monthly costs would drop to 841.95 dollars per month for comparable services.

The cost of the business lines in the solution pictured would be zero. The cost of the switch, or PBX, would be also be zero. As the cloud-based PBX phone service is entirely digital from point-to-point, handset-to-handset, the cost of your long distance charges would drop to zero and be replaced by inbound and outbound call usage fees which are a fraction of the cost of long distance fees. The only cost to you would be the one-time acquisition price and setup costs for the equipment to access the network and training.

One-time cost of a next generation, a Danforth Phone Systems' Digital PBX phone system—Mid-Size Office edition:

  • POLYCOM VVX 300 MEDIA PHONE (e.g., 60 @ 139.95);
    (one would be required for each person who needs a separate handset)
  • IP phone configuration (e.g., 20 @ 19.95);
  • Cisco 48 port SF300-48PP-K9-NA PoE switch (1);
  • Cisco 24 port SF300-24PP-K9-NA PoE switch (1);
  • EdgeMark 4700-30 Edge Router with capacity for 30 concurrent calls (1);
  • Line Number Port (e.g., 2 @ 20.00 per line);
  • Directory Listing;
  • Integration and Installation; and
  • Training

Total package one-time cost: $14,157.00

The monthly recurring costs of our cloud-based, digital PBX phone service offering for the medium-size office environment are illustrated below:

  • Metered Call Paths (e.g., 20 @ $17.95 per line) : $143.60
  • Business Extension Plan 20 (e.g., 3 @ 120.00 per plan): $360.00
  • Domestic Telephone Numbers (DID) (e.g., 60 @ 2.00 per DID): $120.00
  • E911 Service Charge: $2.95

Total monthly recurring cost: $841.95

For a one-time investment of $14,157.00, you would eliminate a monthly recurring cost of $2,025.00. Further, you would recover your entire up front investment in only twelve months. In addition, you would benefit from the utility of a state-of-the-art, digital PBX system that can provide you with a more advanced ability to communicate with your customers and staff. As the cloud-based PBX phone system is entirely digital, you would also elimnate long distance charges entirely.

Even if you never use one of the advanced features of your new system, you can ill afford not to consider the incredible return on investment provided by this next-generation, digital technology. Once you consider the business case we present to you, you will find our offer hard to ignore.

Leveraging features for further cost savings

The cloud-based, PBX, phone service can also be configured to allow direct inward system access. This allows remote staff (possibly on their mobile phones) to call into the company system, then enter a security code whereupon they get dial tone as if they were calling from an extension inside the firm. This allows the company to avoid having to pay much higher long distance charges for mobile phonees, or it allows people who need to make a legitimate business long distance call, but who are not in the office. And because these outside calls are directed to the our digital switch, they do not consume any of the calling capacity for those inside the firm, as would be the case if the telephone switch was located at the firm's offices. This was always the downfall of providing such a capability with legacy analog systems.

Do you make conference calls? Because the switch is digital, conference bridging can be achieved at no cost, so we pass on this benefit to you. Conferencing is included with the Danforth Phone Systems' Mid-Size Office PBX Telephone system, free of charge.

Do you have call center staff, or wish to take calls at an alternate location, like home, for key support staff? No problem. A call queue is 19.95 per month, while an license for an agent is 9.95 per month. For single phones and a single unit purchase price, a remote box can be provided to give you full access to the company switch from any other alternate location.

Do you have more than one office and remote staff? No problem. Both offices and telecommuters can be configured to operate within the same service so long as the separate offices and remote workers have Internet access. There is no need for additional lines to inter-connect the two offices.

What are your total long distance charges? Include in this total, long distance calls made from the office; long distance calls made from employee mobile phones; long distance charges made from employee home phones. The latter two may not be charged centrally and are probably paid through employee expense reports. Once long distance calls are directed via the cloud-based, PBX phone service, the company can this expense as well.

Most importantly - apart from reducing costs, the sophistication of call handling provided by the Danforth Phone Systems' cloud-based, PBX phone service will allow you to appear as a Fortune 500 company to your customers, and will help you to connect with your customers and other staff, wherever you may be. You no longer need to be tethered to one location in order to receive calls.