sip cost

What’s the Average Sip Cost, and What Are You Really Paying For?

In the last few years, it seems like every business magazine is writing about VoIP and SIP services. If you’ve got an older telecommunications or PBX setup, you might think it’ll cost you too much to convert your old system. It turns out that you can probably save money while getting more out of your system in the end without stressing about the SIP cost.

Here are five things to help you understand what you’re really paying for when you go with SIP services.

1. Every Figure Is Different and That’s Good

When trying to calculate how much SIP trunking costs for any company, there’s no single figure. It all depends on how big your enterprise is, how much you rely on your phone service, or how much you’re currently paying.

Many figures run from 25 to 60 percent of what companies currently pay for their phone services. If you’re looking at a traditional telecommunications vendor, they’re going to be much more rigid than a SIP trunking vendor. Any organization with high volumes of long-distance or international calls is going to be the company that saves the most on these costs.

Researching pricing won’t help to fully understand your savings. The companies who put down their per-line fees are going to charge anything from $20 a line to $70 a line. However, that doesn’t mean that you’re getting enterprise-level VoIP services.

There will be some upfront costs for setting up SIP. However, to understand the full costs of switching to SIP, you need to go through your services. This can give you a figure that’s catered to your company and your needs.

2. Look at Setup Fees

If you’re looking for enterprise-level SIP trunking, look at initial setup fees. These are usually one-time fees that can be paid in full at the start of your services or can be spread out through your billing period.

Some companies are going to charge you for consultation while others will offer it for free. Those who offer it for free might also end up folding that cost into other elements of your bills. You need to run quality testing as well to make sure that once the lines are implemented, they function the way you need to.

This whole thing can range from $50 to $250 for a small business, but if you’re looking for getting enterprise-level setup at a large company, it might be more.

3. Installing New Lines

If you’re going to need new lines when you transition to SIP, you could be looking at paying a fee per line. When an organization does anything to change their communications setup, that’s a perfect opportunity to expand to more phone lines. You can even get more direct inward dial lines to allow everyone at your company to have their own phone line.

The one-time setup fee for these lines is usually quite small and worth the cost. I

While an organization isn’t required to buy direct lines by any means, it’s more professional than having people navigate extension numbers. However, it’s still possible to use extensions with your SIP system if you’re not ready to set up a mess of individual numbers.

4. Equipment Costs Money

One of the major costs that you’re faced with when you’re setting up a SIP system is the cost of buying an IP-compatible handset for every user. Everyone at your company is going to need their own phone or handset that’s going to be compatible with your system.

You can buy top of the line handsets tricked out with all of the latest features or you can buy items that meet bare minimum requirements. Brand names will cost more but your SIP provider might have a link to generic IP handsets that meet your needs without all of the extras.

However, you might want to consider the extras.

High-end handsets can prepare you for three-way calling or using an intercom system. They can handle call transfers or call forwarding as well as allowing you to put people on hold. If you need inside or outside ringing, you can buy handsets that can handle that.

You might end up paying from $200 to up to $1000 depending on the features that you need your handsets to have. However, they can utilize your system to its fullest potential so you’re better to not skimp.

5. Monthly Service Fees

After that initial investment in setup, conversion, and adding of new lines, you’ll need to pay an ongoing fee like you would for any kind of system. There’s usually a flat fee that you pay which is charged per user. Monthly service costs are usually fairly low and keep your system running.

If you need service or have troubleshooting needs, your SIP trunking provider can ensure that you get the help that you need. You’ll get attention to quality and reliability that you wouldn’t be able to get from the average phone service provider. You can even count on security to ensure that your system is protected from abuse or having your lines being cluttered with spam phone calls.

IP-based communications are the future of business and when you’re able to integrate your system, you can provide better quality service to customers. The cost of getting IP services allows you to integrate your calls to your CMS and ensures that you’re able to keep track of all of your calls.

SIP Cost Is Less Than You Think

If you’re worried about SIP cost, it turns out you could be saving money by ordering a VoIP service than you’re currently paying. You get the chance to pay as you use for the services, setting SIP apart from every other kind of service.

To learn more about what you could be getting out of your services, check out our latest guide.