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Updated Sep 06, 2024

Is a Four-Line Phone System Right for Your Business?

Four-line phone systems are popular multiline phone systems for small businesses. Learn how they work and if one would be right for your business.

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Written By: Jeff HaleBusiness Operations Insider and Senior Analyst
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This guide was reviewed by a Business News Daily editor to ensure it provides comprehensive and accurate information to aid your buying decision.
Sandra Mardenfeld
Business Operations Insider and Senior Editor
Business News Daily earns compensation from some listed companies. Editorial Guidelines.
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Even in a very small business, it doesn’t take much for communication to get messy. Once your team has grown to just a handful of people, it’s necessary to have a phone system in place that makes it easy for your employees, customers and partners to reach the right person. Moreover, having an official system in place provides the appearance of professionalism that can distinguish a brand from its competitors.

Traditionally, the way to do this was via a four-line phone system. Although these conventional analog systems are far less common today than they once were, some businesses may still opt to use them. In this guide, we explain how four-line phone systems work and what businesses should expect when setting them up.

Editor’s note: Looking for the right business phone system for your business? Fill out the below questionnaire to have our vendor partners contact you about your needs.

We’ll explain more about four-line phone systems and how they work and share tips for evaluating if these business phone systems are suitable for your organization.

Did You Know?Did you know
The best business phone system for your organization will provide the features and integrations you need reliably at a reasonable cost.

What is a four-line phone system?

A four-line phone system is a multiline business phone system that runs four analog (or landline) phone lines through your office, allowing up to four parties to be on the phone simultaneously. Four-line phone systems were critical before the advent of voice over internet protocol (VoIP) communications but are used less often today. Still, businesses that want a reliable alternative to their VoIP solutions, in case of internet outages or other disruptions, may implement a four-line phone system to ensure they can stay connected to customers and one another no matter what.

In a four-line phone system, the lines may be internal or external, depending on who you want to communicate with:

  • Internal: Internal lines allow employees in your office to communicate with each other.
  • External: External lines allow communication with customers, vendors or anyone outside the office. 

If you need more than four phone lines, most business phone system providers will provide additional lines upon request for an additional fee. Generally, these lines are added in multiples of four. 

Did You Know?Did you know
The best business phone systems today all offer VoIP services, which rely on digital communications networks rather than analog lines. Most VoIP services provide 99.999% uptime, making four-line phone systems mostly obsolete — though some businesses may still want an analog phone system as a backup or for internal communications.

How does a four-line phone system work?

A four-line phone system works similarly to a traditional one-line phone. Packets of voice data are sent over telephone network wires to recipients. However, in a four-line business phone system, all four lines run together on the same wire and receive the same calls, creating a system between the four phones.

Four-line phone systems are created through an extension that enables three additional phones to be attached to the initial line. This extension is usually cordless, so the second, third and fourth phones can be placed away from the first. This functionality allows employees in each four-line group to have phones at their own desks instead of grouping them all together.

TipTip
When choosing a business phone system, evaluate your business size, employee types (remote vs. in-office) and setup timeline. This assessment will help you choose the best type of business phone system, such as virtual, landline, voice-over-internet-protocol (VoIP) or cloud, for your organization's needs.

Does your company need a four-line phone system?

Four-line phone systems are rarely used these days thanks to the cost-effective and widespread availability of VoIP phone systems. There are certain circumstances in which a business may opt to employ a traditional phone system, though.

You may need a four-line phone system if your internet connection is unreliable and you want to ensure you can stay connected even when VoIP services are disrupted. This may apply, for example, if your business is in a building with an older private branch exchange system and your internet connection frequently drops or results in poor call quality. 

Another reason you may choose to use a four-line phone system is for sensitive internal communications. VoIP phone systems may be compromised by hackers, resulting in a data breach. A four-line phone system is more secure for private internal communications though — to eavesdrop on these calls, the would-be spy would need to install a physical wiretap. So, if you want to ensure company secrets aren’t leaking due to a data breach, a four-line phone system may be good insurance. 

TipTip
When choosing a business phone system, evaluate your business size, employee types (remote vs. in-office) and setup timeline.

    Features to look for in a four-line phone system

    If your business does need a four-line business phone system, look for these important features:

    • Do not disturb: do not disturb feature sends all incoming calls directly to voicemail without the phone ringing. This feature can be helpful when you’re in important meetings or can’t answer the phone.
    • Call transfer: This feature lets you transfer calls to someone in your multiline system or an external number (like a sales or call center).
    • Paging and intercom: Paging allows you to speak to all phones at once via the speakerphone; an intercom feature lets you make announcements or inform other employees of a waiting call.
    • Mute and volume control: Mute and volume control functions allow you to mute, increase or decrease the volume of your speakerphone, phone audio or ringer.
    • Hold: Hold functionality varies by phone system but some systems let you set custom music to play while the caller is on hold.
    • Caller ID: Caller ID shows you who is calling. Some caller ID features display only the caller’s number, while others also display the caller’s name. Caller ID functions help you distinguish between important calls and annoying spam.
    • Speakerphone: A speakerphone feature can be helpful if you need to be hands-free while on the phone or if you need a quick and easy way to conference-in someone who is physically in the room during a call.
    • Voicemail: The voicemail feature allows callers to leave you a message if you miss their call.
    • Automated attendant: An automated attendant is an advanced feature that greets callers and provides them with an employee directory or other information. It is typically part of an interactive voice response system.
    • Texting: Texting services allow you to use your existing landline number to text customers on their mobile phones.

    Some of these features may come standard, while others are add-ons that represent an additional cost. Ask the business phone service provider you’re considering to provide a list of which are included and which are available for an added fee in writing before signing on to a plan.

    Did You Know?Did you know
    If you have a four-line phone system but want some of the upgraded features available in cloud-hosted systems — like being able to choose a softphone and access virtual phone lines — consider using Session Initiation Protocol trunking to convert your landline system to allow these functions.

    Pros and cons of a four-line phone system

    Consider the advantages and disadvantages of four-line phone systems to help determine whether it’s the best option for your business.

    Pros of four-line phone systems

    1. Four-line phone systems have robust features: Four-line phone systems offer numerous capabilities and solutions for businesses of all types. Research your options thoroughly to ensure you select the right feature package and support plan.
    2. Four-line phone systems are cost-effective: Four-line phone systems are cost-effective and relatively inexpensive, although you’ll pay more if you must purchase new equipment. However, many multiline setups are shifting to cloud-based business phone systems that send call information over the internet, helping keep costs lower than traditional phone lines.
    3. Four-line phone systems are efficient: Modern four-line phone systems offer a host of communications and productivity-boosting features, such as auto-attendants, conferencing and do not disturb. Employees can receive and transfer phone calls easily within and outside your organization. These features can increase efficiency in larger businesses and give smaller businesses a boost of professionalism.
    4. Four-line phone systems are scalable: Four-line systems are scaled easily in groups of four, so they can grow with your business. You will need additional hardware from your provider or phone company, including cables, wired or wireless adapters or an expansion kit that supports multiple phone handsets from one phone jack. Unlike other communication tools that require an internet connection, you won’t have to worry about losing quality when adding more users to a four-line phone system.
    5. Four-line phone systems are secure: Four-line phone systems are highly secure and reliable compared to some of their modern equivalents. Some providers offer data encryption services and battery backup to continue service in case of a power outage or internet connection issue. Since your data is not being transmitted over the internet, it’s inherently easier to keep private.

    Cons of four-line phone systems

    1. Four-line phone systems require groupings of four: The primary downside of four-line phone systems is that they’re restricted to groups of four. If your business has a four-line system and needs only one more line, you’d still need to add four. Some businesses may be better off exploring other options, such as a VoIP phone system with an internet-based phone number. Otherwise, you’re paying for services you don’t need.
    2. Four-line phone systems require expensive hardware: Multiline phone systems depend on cables and hardware. Installing these systems can be costly for companies without the necessary equipment, such as a headset or corded phone for each employee. In some cases, lack of access to phone jacks or other installation requirements could force companies to modify their office space to make a four-line phone system function properly.
    3. Four-line phone systems aren’t mobile: A four-line phone system isn’t ideal for a company with employees who frequently travel or work remotely. These systems can be used only with a traditional desk phone, which is becoming more of a detriment as the business world moves to mobile and flexible communication. In today’s business landscape, the lack of mobility is probably the most important factor when companies decide to move away from their older four-line phone systems. [Are you looking for a highly mobile business phone system? Read our review of Grasshopper.]
    TipTip
    If you need a cost-effective business phone system, read our Ooma business phone system review. This vendor provides robust features with straightforward month-to-month pricing many businesses would appreciate.

    Four-line phone system vs. VoIP

    When it comes to VoIP vs. landline phone systems, businesses must consider their existing equipment, budget and needed features. Here’s an overview of how these business phone systems differ: 

    Phone system type

    4-line phone system

    VoIP

    Monthly cost

    $60 to $75 per user

    $15 to $50 per user

    Setup fees

    $600 to $1,200

    $0 to $750 (for some cloud-based systems)

    Call quality

    Very high

    Dependent on your internet connection

    Basic features

    Call transfer, do not disturb, intercom, hold, caller ID, speakerphone and voicemail

    Call transfer, do not disturb, intercom, hold, caller ID, speakerphone and voicemail

    Advanced features

    Texting and auto-attendant

    Voicemail transcriptions to text or email, help desk integrations, multidevice support, web-based interface and more

    Usability

    Very easy to use

    Easy to use

    Availability

    Nationwide

    Requires a strong internet connection

    Software integrations

    None

    Customer relationship management software and other project management tools

    What to consider when choosing a four-line phone system

    The following considerations should be top of mind when choosing a four-line phone system. Ask the following questions to help ensure you select the right option: 

    • How many phone lines does my business need? Determine the number of phone lines you need, keeping in mind that four-line systems come in increments of four.
    • What features does my business need? Businesses have varying needs. Consider whether your company needs call transfer and forwarding, auto-attendant support to handle incoming calls and text message support. Other potential features include do not disturb, paging, hold music and caller ID. List must-have features, nice-to-have features and features you can live without.
    • What hardware does a system require? Different phone systems work best with particular hardware. Determine what hardware you’d need to set up and efficiently use a four-line phone system, including phones, headsets, cables, and, potentially, in-wall wiring. Some systems may work with hardware you already have, making them more cost-effective.
    • What level of customer support does a vendor offer? Phone system vendors may have varying support options depending on your service tier. Consider how much support and assistance you may require and evaluate various vendors’ service options. 
    • How much is my budget? While various platforms will have different pricing models and costs, it’s important to set a budget. When you get quotes from prospective vendors, you’ll take into account who’s giving you the best bang for your buck in terms of features. 
    • What’s my timeline? When do you need your four-line phone system up and running? Your schedule may determine which vendor you choose.

    How to choose a four-line phone system

    After evaluating your budget, needed features, hardware options and desired support level, take the following steps: 

    1. Research four-line phone system vendors: Evaluate the best multiline phone systems on the market and make a short list of viable options. Consider pricing, features and the availability of demos and free trials. Read online reviews and check out customer service ratings to determine how the companies respond to issues. 
    2. Take advantage of free trials and demos: Ask about free trials and hands-on demos to get a feel for the phone system. Use these opportunities to ask questions and request demonstrations of how to perform specific functions. Ease of use is crucial, so you want to ensure you select a system your team will adopt effortlessly. 
    3. Get quotes from your top options: As with any business purchase, you must understand a platform’s pricing model, fees and add-on costs. To get an accurate estimate, consider the number of phone lines you’ll need (likely in groups of four), the vendor’s setup fees, feature add-on costs and other charges. Ascertain your monthly bill and contract terms. It’s also crucial to understand precisely what’s involved in installing your phone system — both in terms of costs and installation requirements.
    4. Select your four-line phone system: Choose the phone system provider that best meets your needs, timeline and budget. Work with your vendor to ensure smooth installation and setup and iron out any issues. 

    Understanding four-line phone systems

    Four-line phone systems use bundles of analog phone lines to let multiple people in your business communicate simultaneously via your phone setup. They can support modern features like voicemail, texting and call transfer and often work with a wide array of hardware. They’re not right for every business and some may prefer a VoIP phone system but they can be a good option for many organizations.

    Contact phone system providers to learn more about their offerings and determine if a four-line phone system is suitable for your business.

    Steven Melendez and Kiely Kuligowski contributed to this article.

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    author image
    Written By: Jeff HaleBusiness Operations Insider and Senior Analyst
    Jeff Hale is a communications and content marketing expert with extensive experience leading teams as a managing editor. He has deep knowledge of B2B communications technologies, including business phone systems and customer relationship management (CRM) software. Jeff is also an entrepreneur who knows the realities of launching and managing a small business, where he serves as a Content Director and SEO Consultant. At Business News Daily, Jeff primarily covers business technology, including VoIP phone systems, remote PC access software and CRMs. Jeff is also an entrepreneur who knows the realities of launching and managing a small business, where he serves as a Content Director and SEO Consultant. In his role as an entrepreneur and professional, Jeff has identified new market opportunities for Fortune 500 clients and developed communications strategies and digital branding for tech startups and small businesses. Jeff holds a Bachelor’s degree in English from the University of California, Irvine, and an MBA from Chapman University.
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