VoIP vs Landline for Small Business
Updated 26 March 2026
Most small businesses switching from landline to VoIP save 40 to 60% on their monthly phone bill while gaining significantly more features. Here is what the data shows.
40-60%
Average monthly savings
VoIP vs landline per line
$0
VoIP setup cost
No PBX hardware needed
Same day
Time to go live
vs 1-3 weeks for landline
50+
Features included
vs basic call and voicemail
Head-to-Head Comparison
| Factor | VoIP | Traditional Landline | Detail |
|---|---|---|---|
| Monthly cost per line | Win$10 to $45 | $30 to $60 | VoIP is 40 to 60% cheaper per line on average |
| Setup cost | Win$0 to $300 (optional IP phones) | $500 to $5,000+ (PBX hardware) | VoIP needs no on-premise hardware |
| Installation time | WinSame day (software only) | 1 to 3 weeks (technician required) | VoIP is ready in minutes via app download |
| Number of features | Win50+ features included | Basic calling, voicemail | VoIP includes video, messaging, CRM, recording |
| Mobility | WinAny device, anywhere with internet | Fixed desk phones only | VoIP works on mobile, laptop, and desk phone |
| Call quality | Equal or better (with good internet) | Consistent, no internet dependency | Landline is more consistent; VoIP quality depends on broadband |
| Reliability | 99.999% SLA (depends on internet) | Win99.999%+ (independent of internet) | Landline works even if internet is down |
| Emergency services (911) | Supported but requires address registration | WinAutomatic location identification | Landline 911 location is automatic; VoIP requires setup |
| Scalability | WinAdd lines instantly via dashboard | Requires technician for each new line | VoIP scales to hundreds of users in seconds |
| International calls | Win70 to 90% cheaper per minute | High international per-minute rates | VoIP significantly reduces international call costs |
Choose VoIP when...
- ✓You have reliable broadband of 10 Mbps or faster
- ✓Your team works remotely or from multiple locations
- ✓You want to reduce phone costs by 40% or more
- ✓You need features like call recording or CRM integration
- ✓You plan to add staff and need to scale quickly
- ✓You receive or make international calls regularly
- ✓You want employees to use their smartphones for business calls
Consider landline when...
- ●Your internet connection is unreliable or slow
- ●You operate in a location with no broadband options
- ●Your industry has strict emergency services requirements
- ●You work in a regulated sector with specific telephony rules
- ●You only need basic calling and have no growth plans
- ●Your building has existing copper wiring you want to reuse
How to Switch from Landline to VoIP
Test your internet
Run a speed test. You need 10 Mbps minimum and ideally a fiber or cable connection. Check latency: under 150ms is acceptable for VoIP.
Choose a provider
Use the comparison table on the homepage. Most providers offer a 30-day free trial. Test call quality during the trial before cancelling your landline.
Port your numbers
Submit your number porting request to the new provider. Keep your landline active until porting is confirmed, which takes 2 to 4 weeks.
Set up and train
Download the softphone app on all devices. Configure your auto-attendant. Run a 30-minute training session so staff know how to use voicemail, transfer, and hold.
See which VoIP provider fits your budget
Compare 8 providers starting from $10 per line per month and calculate your estimated monthly and annual cost.
Compare providers and calculate cost