Finance Q&A

Advice on Small Business Phone System ?

Edwards Finance > Phones

Q. NEC Electra Elite Phone System with Voice Mail, Auto Attendant, 10-8 Line Display Speakerphones, 2-16 Line Display Speakerphones and Door Phone Unit. Purchased new in 2000 for $8k. Still installed and operational at phone number below.

A. My budget is about $2000 for the equipment. I have been looking on ebay and like the thought of used equipment. New, I could afford 3-4 line system that would be expensive to upgrade. Used, I could afford the full system capable of 6-8 lines. On Ebay there are so many option: New, Used, NEC, Nortel, Panasonic, etc. I have looked at Nortel CICS, but I don't think I can have the fax and digital answering machine on the system with out having an expensive analog card. I don't like the idea of a dedicated fax line. We are a small office and currently only have two lines that trunk with DSL and fax on the second line, so I would like to have the possibility of trunking over to that third line on the system. Hardware cost is only a portion of what you need to budget for any small telephone system. There will be installation costs for the system that must be included also. The best suggestion I can make at this point is to talk to other business owners/operators in your area, preferably other Drs. and find a reputable dealer. In your discussions with that dealer, you can talk about your budget, plans and other desires for possible expansion. They can then guide you in the selection of appropriate hardware, new or used. As you are uncertain as to the final size of your needed system, I would suggest a "throw-away" as a starter. Something that would meet your immediate needs of 3 lines that wouldn't be a big loss when you threw it away and ordered a larger system with expansion capability when the business expanded. Why buy something you don't need (30 to 40 port capability) when you only need 8? Think about this a little - would you buy an MRI when you need to see X-Rays? Have you considered the AT&T 4-line "KSU-less" phones? Model numbers are 944, 954 & 964 (about $89 ~ $129 @ Office Depot). I recently installed 4 of these in a new chiropractic office (in conjunction with fax/dsl/ans. mach.) and the client is very pleased. These can do almost everything a phone system can do (hold, transfer, MOH, conference) and are expandable up to 12 unique extensions. My advice: Trying to save money on phone systems by "doing-it-yourself" can lead to more expense and headaches down the road (I certainly wouldn't try to adjust myself!). Call 3 ~ 4 "phone guys" in your area (ask for references!) and have them compete for your business. You will save money in the long run and can concentrate on your profession.

 


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