How Prepaid Phones Can Save Your Business Money

If you are a business owner or manager, you know all too well that time is money. Thus, when you are preparing a budget or looking over the latest expense report, you are always searching for ways that can save your business as much money as possible. For many companies, this means reevaluating their cell phone plans to move from standard mobile contracts to prepaid phones. Very popular with consumers, prepaid phones offer a variety of advantages for large and small businesses. If you are considering this option for your company, here are how prepaid phones can save you much more money than you imagined.


Greater Flexibility


Since all businesses are different, making the switch to prepaid cell phones gives companies much greater flexibility when business conditions change. For example, while a standard cellphone contract forces companies to select plans requiring them to purchase a set number of minutes, prepaid phones can allow companies to customize their situations so that they are not paying for minutes they may not need at certain times of the year. Thus, if business is more brisk in the summer than in the wintertime, prepaid cell phone minutes can be adjusted accordingly.


Disgruntled and Disorganized Employees


If there is one thing companies do not like to deal with on a consistent basis, it is trying to get company cell phones returned by employees who are either very disorganized or who leave the company. When this happens, many unexpected expenses can quickly occur. For example, when an employee is disgruntled and suddenly leaves the company, they may decide to keep their company-issued cell phone and start calling everyone they know. Should this happen, a large cell phone bill results for the company, creating an awkward situation. Along with trying to retrieve the phone, your company may also be forced into discussions with the cell phone provider regarding how to pay the bill.


Cheaper than Landlines


While in years past virtually all businesses had to have landline phones, the proliferation of cell phones has changed this dramatically. As a result, many businesses are now finding out that purchasing prepaid cell phones for all employees is far cheaper than continuing to have landline phone service. Along with saving money, this also makes employees much more accessible no matter where they happen to be, making it much easier to conduct business each and every day.


No More Contracts


When your business has to purchase a wireless contract, you are tied to that contract for several years. If you try to break that contract, you may not be able to do so without having to pay significant penalty fees. Should this happen time after time, your company will start losing money that could be used in other areas. Instead of having money funneled into wireless contracts that may prove useless at some point, it is much better to use prepaid cell phones that allow for only certain amounts of minutes to be purchased whenever they are needed.


Additional Features


While only a few years ago many prepaid cell phones offered only standard phone service, this too has changed. Just as it is with phones purchased through contracts, prepaid cell phones now offer not only phone service, but also such features as email and even web browsing. By having these features on your company’s prepaid cell phones, you may find you can save additional money by not having to pay for these services through other providers.


As today’s business world becomes more and more competitive in so many ways, managers and business owners are always looking for any advantage they can gain on the competition. By analyzing the money you currently spend on wireless contracts and making the switch to prepaid cell phones, you may find you’ve discovered a hidden gem. By transitioning to prepaid service, you’ll be able to put your financial resources to better use, allow your employees to be more productive, and see your company’s sales and profits soar to the top.



Alex is a small business blogger with a focus on entrepreneurship and growth. With over 5 years of experience covering the startup and small business landscape, Alex has a reputation for being a knowledgeable, approachable and entrepreneurial-minded blogger. He has a keen understanding of the challenges and opportunities facing small business owners, and is able to provide actionable advice and strategies for success. Alex has interviewed successful entrepreneurs, and covered major small business events such as the Small Business Expo and the Inc. 500|5000 conference. He is also a successful entrepreneur himself, having started and grown several small businesses in different industries.