The Return on Investment when you Break Contact with your Provider
Every day, more business owners are moving away from traditional landlines or their current VoIP systems so they can enjoy the benefits of working with an industry-leading VoIP provider. However, this doesn’t come without a cost. Most providers charge early termination fees if users decide to break contract agreements.
How much is this going to set you back, and is it really worth it? Here’s a look at the ROI behind breaking your current phone contract and making the switch to VoIP.
The Cost to Break Contract with your Provider
Most phone providers require a minimum contract period. If you haven’t met the minimum, you can expect to pay a fairly hefty termination fee. Even if you’ve been with your provider for quite some time, there’s a good chance your contract automatically renewed, creating a new early termination period. When you want to break contract, these fees can range significantly. Some providers will charge between $50 to several hundred dollars, depending on how much time is left before your next renewal date.
Some providers also require a notification period of 30 days or longer. In this case, if you don’t terminate your contract on the exact right day, you’ll pay a pro-rated charge for the remaining days. You may also pay processing fees and other charges. If your phone is bundled into a package with cable and/or internet, there’s a good chance you’ll end up paying more for these services as well.
Since every company and every contract is different, the best way to find out how much breaking your contract will cost you is to contact your current provider. Make sure to ask for a detailed breakdown of all fees and charges that would be applied if you terminated on a specific date.
Instead of thinking of these charges as a penalty, consider them an investment in your new, modern communication system. To determine the return on your investment, you’ll want to take a look at some of the most important benefits.
The Benefits of Change
Many small and mid-sized businesses are able to reduce their ongoing monthly phone costs by an average of 30% to 50% after making the switch to VoIP. If you’re in need of a system update, the benefits of VoIP become even greater. Setting up a traditional business communication system can run you as much as $20,000. However, since there’s no equipment to buy or landlines to install, a VoIP system has very low (if any!) set-up costs. You can also keep any business phones you currently have that are compatible with VoIP service. You may break contract, but you could save on new phones.
When you want to add more users or extra features, you can do it all through a user login portal instead of paying for an on-site technician to come to your business and set it up for you.
VoIP also brings many non-financial benefits. This includes an improved remote work experience for both business owners and employees. You’ll also be able to provide better customer service and enjoy improved call quality, additional flexibility, and more.
Experience the Benefits of VoIP for Yourself
Once you’ve determined your expected contract termination costs, you’ll want to explore the benefits of VoIP in greater detail. We’re here to help! Contact us today to schedule a business phone demo and receive your custom quote.
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