The 11 best small business phone systems for 2025 and beyond

What is a phone system for a small business, exactly?

Today, a small business phone system typically refers to a VoIP-based software solution. These systems enable businesses to make and receive inbound and outbound calls, often including features like call transferring and forwarding.

There are two main options available: VoIP systems, which utilize internet connections and offer flexibility with pay-as-you-go models, and PBX systems, which require more upfront investment and maintenance. VoIP systems often come with softphone apps for mobile devices, while PBX systems may involve more hardware and IT support.

Additionally, some phone systems are branded as "unified communications" platforms, integrating various communication channels like SMS and instant messaging.

Ultimately, these systems serve as the backbone of modern business communication, connecting businesses with clients, partners, and remote employees.