How To Start A VoIP Business in 2021 – 8 Best Steps

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Start VoIP Business

The VoIP industry is booming like it was never due to the pandemic situation. Many businesses switch their business online. Because people cannot go outside due to the lockdown and COVID-19 fear. If you do not know how to start a VoIP business, do enough research. It helps to start fresh before stepping into the most reliable business.

According to Tech, The VoIP business in the US jumped from 6.2 million to a vast 41.6 million between 2010 and 2018. There’s an ongoing opportunity in the Mobile VoIP industry. That’s why many companies will engage with VoIP start up soon. The existing companies are also planning to switch their traditional telephony business.

VoIP mobile solution can reduce their monthly telecom cost by over 50%. In fact, the mobile VoIP market is expected to grow more than 13% between 2019 and 2025.

These figures have encouraged many entrepreneurs to start a VoIP business. It helps to begin the journey of many VoIP startups. Many new and old businesses are showing interest in the VoIP industry.  So, the competition level is rising like it was never.

In this VoIP startup guide, I am going to explain:

  • Each aspect of VoIP business
  • How to start a VoIP business, and
  • How to set up a VoIP phone system.

How to Start a VoIP Business

Why You Should Start VoIP Business?

Most of the companies are facing a financial crisis to operate their business. Many of them are planning to establish their online business. Thus, they need online customer service to connect with their customers and clients.

Starting a call center service requires calling solutions. Everyone is looking for the most affordable and cheapest solution. VoIP mobiles are the way they can cut their cost than the traditional telephony system. Imagine yourself as a VoIP service provider. You will find many big companies near you need VoIP call supports. If you can provide hosted VoIP service, they can handle their customers and run a smooth business.

If you own a VoIP service company, you can even resell VoIP services to other companies. If the companies know the benefits of using VoIP, they will definitely use the service. During the pandemic situation, you can offer competitive rates to the companies.  It helps them to get the VoIP service at a cheap rate.

VoIP business is not hard to start and flexible to do from anywhere in the world. You can start a VoIP business without any second thoughts. Even if you are already in a VoIP business, you can read my entire VoIP startup guide. It helps you to know how you can enhance your VoIP business,

In this blog, I have added all the relevant information you need to start a mobile VoIP business. Even if you are already running a VoIP business, you will get much extra information on this blog. We hope that will help you optimize your existing business.

How to Start a VoIP Business: A Complete Guide:

  • Step 1: Prerequisites to Build Your Own VoIP System
  • Step 2: Choose the Best VoIP Server
  • Step 3: Select the Best VoIP SoftSwitches
  • Step 4: Apply Mobile Applications for Mobile VoIP Service
  • Step 5: Set up Website and Payment Gateway
  • Step 6: Set up Call Termination with Carriers
  • Step 7: Advertise and Find Customers
  • Step 8: Ensure the Best Customer Support
Prerequisites to Build Your Own VoIP System
Prerequisites

You need to make a rough plan before purchasing the required VoIP tools to build your own VoIP system. You can consult a VoIP specialist to know more about the latest VoIP strategy.

Don’t worry. I am here to assist you and answer all your queries on how to set up a VoIP system. To build your own VoIP system, you can follow my general suggestions. Take a look before investing in the VoIP industry.

  • Pick an area where you are an expert and can expand your abilities to increase more engagement.
  • Do market research on your target people to whom you will provide VoIP services.
  • Attend meetings and seminars that clarify some doubts to set up VoIP system
  • Choose the area you should handle.
  • Read VoIP business magazines to get more knowledge about the VoIP industry.

After completing the initial research, you can make a shortlist. You will need a few things to start a VoIP mobile business, including:

  • VoIP Server and Hosting
  • VoIP SoftSwitches
  • Mobile Applications
  • Business Website
  • Customer Service

Step 2: Choose the Best VoIP Server

Best VoIP Server
Server

Choosing the best VoIP server is always a daunting task. To get high performance from your VoIP server, you need to choose the best server. You should choose it based on your geolocation.

Along with that, you need to consider a bunch of things before making a final decision, including:

Colocation:

Imagine, most of your traffic is from the USA and you are using a server from Singapore. That will be a bad decision. You should choose the nearest VoIP server from where your most traffic comes.

Data Center:

In general, there are some big data centers around the world. It includes the USA datacenter, Singapore datacenter, Germany datacenter, and so on. You should consider some factors to choose the most reliable data center.

So, how can you understand which data centre is ideal for your VoIP business?

VoIP startups often did the mistake of choosing the wrong data centers. They did it without considering the following factors:

Location:

Your server location is the most important factor before choosing the data center. It is an essential tool to start your VoIP business. Although you can choose a data center that is far away from your current location, you will not get the best output.

In general, we use copper wire to connect with our server. Depending on the type of wire you’re working with, the internet speed can vary. If your area is in natural disasters, you should also think about a backup datacenter. There’s minimal risk of losing connection. This is why VoIP servers are best, as you can easily switch from one data center to another one with a glimpse of an eye.

Finally, you have to ensure that the data center is accessible to your IT specialist. Perform required maintenance or upgrades from the remote location to ensure smooth connectivity.

Reliability:

When you are choosing the best data center for VoIP business, make sure that it has backup powers. We don’t know when you will face natural disasters and power failures. If the data center provides emergency backup and 99.99% uptime, you can for the data center.

A VoIP distributor shouldn’t have only one data centre to manages the entire phone system. It has to face a serious issue in case of a failure within the entire system. If the data centre malfunctions somehow, the companies will get into trouble. They have to go without providing any services to their potential customers. Thus both of the companies and you will lose the customers. According to Appdynamics, most of the big companies lose an average of $686,250 per hour of downtime.

Finally, you need to choose the server for your VoIP business based on uptime and reliability. Remember one thing, most of the companies will rely on you for their telephony system. Hence providing them the best VoIP server with a great data center is your foremost duty.

Security:

To ensure a secure VoIP connection, you need to provide them with the most secure data center. Every year, the average cost of a cyber attack in a data center is around $4,000,000. As your business is based on the call, you need to ensure that no one is tapping your customers’ calls.

Hence you should provide the most secure connection.

Faster Speed:

Speed is always the core component of a seamless internet connection. The farther the data center from your VoIP server, the worst the calling experience. People often complain that VoIP calls are bad. They do not complain about your service at all if you provide many data centers around the world. Your clients can choose the nearest datacenters to dodge the audio delay.

Ping:

When choosing the VoIP server for the VoIP business, make sure that you are getting low ping.

How should you know your ping is good?

Ping is used for testing network connections. It helps to determine if a server or device can be reached across the network and the latency of the response. There are some good ping testers available to perform your VoIP speed test.  You can even check your current ping.

Yet, you can check your ping from your Windows, Mac, or Linux devices.

So, what is a good ping for a VoIP call?

In general, if your ping or latency is 100ms ping or under, we can consider it as an excellent latency. The ping between 100ms to 250ms is considered a good connection. If you are getting above 250ms, it is very bad for a VoIP business.

Another important thing is your Upload speed. If you have a lower upload speed, you cannot handle more VoIP calls, thus affecting your VoIP business.

Step 3: Select the Best VoIP SoftSwitches

VoIP SoftSwitches
Best VoIP SoftSwitches

You need to consider some key points to choose the best VoIP Softswitch. You also should know what to look for in a Softswitch, how it can boost your business, and what can hold you back.

Types of VoIP Soft Switches:

There are five types of soft switches. Among them, Class 4 Softswitch and Class 5 Softswitch are the best.  Depending on the operation area, class 4 can router large volumes of traffic.  It can drive traffic from one place to another only a large scale. So, Class 5 Softswitch routes call between relatively small areas. I am not going to discuss the difference between class 4 and class 5 Softswitches in detail here. So let’s jump right into the topic.

What should I keep in mind?

When choosing the best VoIP SoftSwitches for your business, consider some facts. They should fill your business needs. To become successful in the VoIP business, you need to choose the best one. Read magazines or journals to know how to set up a VoIP phone system with VoIP switches.

You can start asking yourself questions like

  • What do you need the Softswitch for?
  • Are you going to resell VoIP or focus on call center operations?
  • Do you need a Hosted Softswitch, or can you manage your VoIP hosting?
  • Do you need to use a ready-made VoIP, or Can you build your VoIP system?
  • Which VoIP switch provider offers the best value within the price range?

If you have a plan for reselling VoIP services, you should be aware. There are different types of SoftSwitches. No matter whether you are a VoIP distributor or not, you should make a full proof plan. It is always important before stepping into the VoIP industry.

Questions like this will help you to find out what you are looking after. After finding out what you want, you can focus on choosing the best Softswitch for your business. Here are some best soft switches available that can help you boost your VoIP business.

1. VOS3000:

A product of Linkat limited, VOS3000 is a versatile and one of the most used VoIP soft switches available. It has a vast capability of handling more than 5000 simultaneous calls and 1200 calls per second.

You can also enjoy a wide variety of features like:

Customizable bill rates

Advanced billing system

Invoice generating system, and many more.

The interface of VOS3000  enables VOS3000 to be manageable. You can manage it in almost any type of queries/management.  Such as Account, Rate, Package, Cards, Gateway, Phone, Softswitch, IVR, system, and many more.

One of the many perks of using VOS3000 is that it supports both SIP and H.323. VOS3000 is the greatest choice for you to handle a large amount of carrier-grade calls.

You can download the best version of VOS3000 for you. It can be depending on your preference and the system configurations needed. You can download the best version of VOS3000 from here.

2. iTel Switch Plus:

If you are looking to run a call shop business, without a doubt, iTel switch plus would be one of the top quality VoIP soft switches available. iTel switch is best for multilevel reseller benefits. So you can do both retail and wholesale calling card and call shop business with ease.

Other handy features of iTel switch include:

  • A multilayer security system
  • Live call monitoring
  • Customizable rate plans
  • many management options, many routing features, an alarm system for SMS/email, etc.

iTel switch offers you the advantages of both class 4 and class 5 Softswitches. Depending on your purpose, you can choose either one if your goal is to do wholesale business with customized features. The iTel switch is the one for you.

3. VoIPSwitch:

If you are looking for a complete white label VoIP solution, VoIPSwitch is the best. It is completely renovating the VoIP industry’s rise day by day. It comes with its unique and user-friendly features. VoIPSwitch has a wide array of features like DiD management, reporting, media gateway, Web portal with web RTC, etc.

The most powerful features of VoIPSwitch are that it can provide you with:

  • A multilevel reseller structure
  • Many routing plans
  • Excellent call quality
  • Advanced call monitoring, and
  • An encrypted security system with 2FA verification.

VoIPSwitch will make sure that you get your desired white label VoIP solution and be satisfied with it. So if you are looking for a complete white label VoIP solution, You can choose VoIPSwitch without any moment of hesitation.

4. SippySwitch:

If you are looking for a robust and dynamic Softswitch, the SippySwitch is the best option for you. Regardless of your VoIP business size and type, SippySwitch can manage your business with ease and give you a place to grow.  

Sippysiwtch provides a user-friendly android interface. It also offers you an easy to use catchy web interface. SippySwitch can provide you with top-notch security when it comes to IP firewall management for SIP, web, SSH, and database access.

Some other extraordinary features of SippySwitch include:

  • Comprehensive system administration
  • Most dynamic/flexible call routing option
  • Call diversion
  • Comprehensive pricing
  • Advanced monitoring
  • Reporting/billing management
  • Integration through API
  • Customizable web portals, etc.

Step 4: Apply Mobile Applications for Mobile VoIP Service

Mobile VoIP Service
Mobile VoIP

If you are planning to start a retail VoIP business, then you will need some VoIPMobile solution which consumers will use to generate calls. For a full stack retail VoIP business, VoIP service providers should use some calling solution, including:

Mobile Dialer:

For voice communication at a  cheaper rate, the mobile dialer is commonly used as a software application in the VoIP business. It operates its functionality by a SIP signal through a Softswitch or an IP device.

Some advantages of Mobile Dialer –

  • Call recording facility
  • Smart customization system
  • Easily rechargeable
  • Advance contact book with a picture
  • One-click call
  • SMS authentication with OTP
  • Mobile friendly calling experience

Despite having these great features, they have some drawbacks too. Such as:

  • Call quality issue and frequent call interception
  • Not properly secured
  • Illegal in some countries

Calling Cards:

If you do not have an internet connection but still want to use VoIP services, Calling Cards is the perfect fit for your business. Calling cards are well known all over the world for communication purposes, mostly for international calls.

Advantages of Calling Cards –

  • Many IDs for per user
  • International mobile top-up
  • No internet connection needed
  • SMS notifications
  • Speed dial and quick calling 

Some drawbacks of Calling Cards are-

  • The direct inward dial is mandatory
  • Lack of availability

Call Shop:

Call shops help people to make long-distance calls at a cheaper price. It has many calling infrastructure systems for PCs, hardware devices, and mobile phones.

Noticeable functionalities of Call shop are-

  • Faster and better voice quality
  • Many call rate plans
  • Manual or automatic backup options
  • Managerial support of customer’s data
  • Call routing facility 

Some disadvantages of call shops are-

  • Security concern
  • Inconsistent connection

DID:

DID (Direct Inward Dialing) is a VoIP service, provided by the local phone operators using the PBX systems. It provides individual extensions for every employee of the company. These are connected through a primary number of that particular company.

Some Main Features of DID-

  • Individual numbers for each employee
  • Calls go through faster
  • Can be used for fax and voice mail
  • Easier managerial system for communication
  • Better accessibility 

There are some disadvantages of DID too. Such as-

  • Telephone traffic may happen.
  • PBX is mandatory

Step 5: Set up Website and Payment Gateway

VOIP Payment Gateway
 Payment Gateway

If you want to start a wholesale business providing VoIP services, you need to engage with potential customers and clients. Setting up a website with all the necessary information is important. You can showcase your VoIP business to engage with other potential customers.

As most of the businesses operate their service from home or online, they will need your website address to connect you. In fact, if you want customers from different geographical locations, you must have a website. With a stunning website, you can showcase your VoIP products, pricing, and tutorials to use the best VoIP SoftSwitch.

You also need to set up a payment gateway such as credit card integration, PayPal, Visa, Master Card, and others. Most people like to pay online using any online payment gateway. So, integrating it with your site will increase the growth of your wholesale VoIP business.

Step 6: Set up Call Termination with Carriers

Call Termination with Carriers
Termination with Carriers

Calls that usually start as VoIP call are terminated using the public switched telephone network (PSTN). But it can also be an internet destination like skype. Terminating the call will route it to the receiver regardless of where they are. 

The VoIP call termination provider rearranges the call data after reaching its destination. It also ensures that the data quality doesn’t get any lower. There are different levels of providers who offer VoIP call termination service.

For example, A provider who provides Wholesale VoIP service to a whole country would be a tier-1 Provider/carrier. Tier-2 carriers usually buy from tier-1 carriers and resell to the tier-3 carrier on a much smaller scale. Lastly, tier-3 carriers are the last mile providers without a network on their own and operated on an even smaller scale.

Whether you are a VoIP Wholesale provider or resell VoIP service, you’ll need to connect and interact with many carriers. You should connect locally and internationally to end your customer’s calls. The carriers will introduce you to various termination destinations. The more carriers you connect with, the more options you can choose for rate and destination. More carriers will help you both cost reduction and quality control.

In most cases, the termination cost acts as the largest variable for VoIP operators. You need to choose the best carrier (probably many carriers). It will help you to provide the best call termination services to your customers.

The best way is to connect with as many carriers as possible.  Carefully check them all.  Find out which one works best for your particular business goal, and then make your decision.

Step 7: Advertise and Find Customers

Find VOIP Customers
Find Customers

After successfully setting up your VoIP business, you need to advertise your company to the right audience. Successful marketing is vital for any business. So you need to make sure you don’t waste your time and resources. Here I am going to show you how you can reach your target audience and gain customers.

You can start by asking yourself some questions like —

Who are your target audiences?

What features they might need?

How much are they willing to spend?

Where are your target audiences located?

What is the size of their business?

How is your service going to help them?

After you answer all those questions, it’s time to think of a strategy to reach potential customers. You can reach your customer in many ways. As you are starting as a VoIP distributor/Call center business you should focus on the online market. Some of your customers may need internet wholesale business support, some others will look for the best softswitches.

Find out how you can reach and help your customers. Make their problems your priority. Here I am focusing on marketing through Internet/digital marketing. Some of the best ways to reach your potential customers online include

  • Social media marketing
  • Blogging/publishing informative and helpful content
  • Email and SMS marketing
  • Contests/Giveaways
  • Search Engine Optimization (SEO)

Social media marketing:

Social media marketing has become the most used marketing method in the last decade. There are many social networking websites where you can reach your target customer and generate leads. The most popular among them are –

  • Facebook:

Facebook is the most used and popular social networking website with more than 2.7 billion active users. You can find more than 180 million active businesses on Facebook. It has become a trusted platform for sharing ideas and to generate potential leads.

Study shows that business decisions make 74% more time on Facebook than any other website per day. You can target your potential customers based on demographics, psychographics, behaviour, interests, etc.

  • Youtube:

With more than 500 hours worth of video content uploads every minute, there is no chance to ignore the potential of Youtube. You can provide the right content to the target audiences. They will be more interested in your service and might end up being your customer.

On Youtube, you can narrow your potential leads based on their search history and interests. You’ll be able to advertise to the people who are actually interested in your service and closer to buy.

  • LinkedIn:

Being around for longer than Facebook, LinkedIn has served mainly the professional. It is more popular with those who want to widen their business network and to share business ideas. Businesses are evolving during the coronavirus pandemic. Every business is trying to set it’s footprint online, and LinkedIn can be a great platform to connect with all them.

With over 766 million users on board, LinkedIn can help you do your market research, improve your SEO, and connect with the people you need. It has become known as “The Social Network for Professionals” and “B2B gold mine”. LinkedIn can also help you to get the best Return on ad Spend (ROAS), and high Cost per Click (CPC) results for more fruitful campaigns.

  • Twitter:

If you want a customer base that is more likely to read in detail about you and your service, Twitter can be a big help. Twitter has a user base of 340 million users that prefer to read online articles and write feedback. You can find customers who are genuinely interested in what you have to offer.

Twitter can help you to connect with your customer on a more personal level. It can also help to create a real voice and face for your company. You can collect feedback to improve your VoIP business, build a community, or use the sales funnel to boost your business/network.

  • Instagram:

If you want to increase traffic on your website, Instagram can help you in a big way. With more than 1 billion users, Instagram can help you create brand awareness faster than ever. You can post pictures of your products/services. Put stories about your VoIP provider business, or present well-thought visual content. These contents can attract your potential customers.

Instagram offers you:

  • Unique ad formatting
  • A one-click experience
  • Meaningful analytics
  • Organic traffic
  • Cross-platform promotion
  • Location tagging
  • Higher engagement rate, and many more.

Step 8: Ensure the Best Customer Support

VOIP Customer Support
Customer Support

Nowadays, customer support is a core and essential part of any successful business. Like others, you need to focus strongly on this sector too while starting your VoIP business.

To ensure the best voice quality, you need a strong server, hardware devices, and software applications. A well-trained customer care team may provide a quality service to maintain these operations. Thus, you will be able to gain customer satisfaction and trust.

People may judge VoIP service providers based on their customer reviews and satisfaction rate. as most of them offer similar packages and rates. So, making a quality customer support team is a must to become a successful identity in the VoIP industry. 

Best White Label VoIP Reseller Programs:

You need to find the best VoIP reseller providers and all their terminologies to be a VoIP reseller. Most of them may not reveal all the insights in their websites or portals. VoIP reseller programs are getting popular day by day. People are gaining profits from here too.

Standard IP Telephony Program:

Standard VoIP reseller program offers us to gain a percentage of VoIP service. If you are new to VoIP reseller programs, this is the best package for you.

One can gain profit from standard IP telephony programs with a small amount of investment as the reseller profit will be controlled by the user.  By approaching new clients, you can easily earn more by signing them under your program.

Moreover, you can customize the call rates and packages from the VoIP service providers which you will offer to your clients.

Most  VoIP service providers offer monthly revenue in standard IP telephony programs based on users’ sales.

Platinum Reselling Program:

Platinum reseller program is also known as white label VoIP reseller, which offers the user to start VoIP business. Besides, you can also promote your own brand while continuing your journey in the VoIP industry.

White label VoIP reseller program offers you to promote your own brand. You can hide information about your clients’ mother company. Yet, you may enrich your brand value by mentioning your provider’s background.

Many VoIP reseller providers in the market offer cheap VoIP reseller programs. So, be careful while starting your VoIP reseller business, and choose the best provider out of plenty to establish your own brand.

Final Words:

I assume that you have gained enough knowledge on how to start a VoIP Business. I have also included most of the useful information to start VoIP business with eight steps. Still, if you need any kind of help setting up a VoIP business, you can contact our live chat support. We provide 24/7 concurrent support to guide you on how to start a VoIP business, how you can set up VoIP business, and VoIP reseller program.

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