Business phone guide
Telephone Answering Company: What One Does and How to Choose
A telephone answering company handles incoming calls for your business when you cannot. Instead of a caller reaching your voicemail, a service answers in your business name, takes messages, and in some cases books appointments or transfers calls based on rules you set. Companies in this category fall into two broad groups: human receptionist services and AI receptionist services. Both connect to your existing number through call forwarding. This guide explains how they work, what they cost, and how to choose.
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What a Telephone Answering Company Does
A telephone answering company receives calls that you forward from your business number. When a call arrives, the service answers using your business information, such as your name, services, hours, and pricing. Depending on the company, the caller may get a message taken on your behalf, an appointment booked, or a transfer to you or another number you choose.
Most owners answer their own phone, so an answering company is less about replacing staff and more about covering the times you are busy, closed, or simply unavailable. The service should follow your instructions: what to say, what questions to ask, when to take a message, and when to reach you.
- Answers calls in your business name using information you provide
- Takes messages with caller details and the reason for the call
- May book appointments based on your services and availability
- May transfer calls to a destination you configure, with rules you set
- Makes calls, transcripts, summaries, and bookings visible in a dashboard
- For a broader look at how answering services work as a category, read this overview. answering service basics
Human Services vs AI Receptionists
Human answering companies employ receptionists who listen to each caller and respond in conversation. Companies such as Ruby offer live virtual receptionist plans, with a starting price of $245 per month as of October 9, 2026. Smith.ai also offers human virtual receptionists using per-call pricing, where the cost depends on the needs you select. These starting prices are not complete comparisons; you need each company's current quote, included allowance, overage rates, hours, and contract terms.
AI receptionist services answer calls with automated voice instead of people. Smith.ai offers a separate AI receptionist product alongside its human service, which shows the two models can come from the same company. AllDayDesk, the product on this site, is an AI receptionist that answers around the clock using your saved business information. With an AI service, setup usually involves entering your business or website, checking the details it learned, hearing a personalized sample call, and then connecting your phone line.
Neither model is automatically better. A human service may suit callers who need judgment on unusual requests; an AI service answers consistently at any hour and is commonly priced as a flat monthly plan. Compare documented features and current quotes rather than assuming one is always cheaper or always better.
- Human services: real people answer, often with per-minute or per-call plans
- AI services: automated voice answers, usually a flat monthly plan with included minutes
- Ask each company what happens when it does not know an answer or price; good services take a message
- Ask how appointment changes are handled; with AllDayDesk, changes to existing appointments are requests for you, not confirmed changes
- Verify hours covered and whether transfers are guaranteed to reach you
Sources: Ruby live virtual receptionists · Smith.ai virtual receptionist pricing · Smith.ai AI receptionist pricing
- For a side-by-side decision framework between the two models, see this comparison. AI receptionist vs human receptionist
- If you are new to the terminology, this guide explains what a virtual receptionist is. what is a virtual receptionist
What Answering Companies Cost
Pricing varies widely. Ruby advertises human virtual receptionist plans starting at $245 per month, and Smith.ai prices its human receptionist service per call. AI services are commonly flat monthly plans with a set number of included minutes and a per-minute rate beyond that. AllDayDesk, for example, offers plans with included minutes and overage pricing, displayed separately on its pricing page.
When comparing quotes, look past the starting number. A low base price with high overage minutes can cost more than a larger plan. Check the included allowance, the overage rate, what counts as a billed minute, contract length, and any setup fees.
- Compare included minutes or calls, not just the base price
- Check the per-minute or per-call overage rate
- Ask whether transferred calls and messages count toward your allowance
- Ask about contract terms and cancellation
- Request the current quote in writing; advertised starting prices change
Sources: Ruby live virtual receptionists · Smith.ai virtual receptionist pricing
- For a fuller breakdown of pricing models and what drives cost, read this cost guide. answering service cost
How Calls Reach the Answering Company
Answering companies do not take over your phone number. You keep your public number and forward calls to the service. How you forward depends on your phone carrier or phone system, and the steps differ by product. On Verizon mobile, for example, you activate all-call forwarding by dialing *72 plus the 10-digit destination from the phone itself, and *73 disables it. T-Mobile uses codes like **21*1 followed by the destination and # for unconditional forwarding. Business landline and hosted systems often manage forwarding through a portal instead: Spectrum Business Voice uses forwarding settings in the SpectrumBusiness.net dashboard, and Vonage Business Communications offers Call Forwarding to a phone number in its settings.
Two cautions matter. First, identify your exact product before using any code, because the same carrier can use different steps for wireless, landline, and hosted voice products. Second, Google Voice does not support forwarding calls from a Google Voice number to an automated system, so a Google Voice line is not a compatible path to an AI answering service.
With AllDayDesk, setup starts by choosing your business or entering its website, checking the details it found, hearing a personalized sample, and then choosing your phone setup. The sample call creates no real booking, so you can test safely.
- Verizon mobile: *72 plus destination to activate all-call forwarding, *73 to disable
- T-Mobile: **21*1 plus destination and # for unconditional, ##21# to disable
- Spectrum Business Voice: manage forwarding in the online dashboard under Voice Settings or Forwarding Manager
- Vonage Business Communications: enable Forward Calls to a phone number in Call Forwarding settings
- Google Voice numbers cannot forward to an automated answering system
Sources: Verizon mobile call forwarding · T-Mobile short codes · Spectrum Business Voice user guide · Vonage Business Communications call forwarding · Google Voice linked phone setup
- For forwarding steps across many carriers and phone systems, see this guide. business phone forwarding guide
- If you want calls forwarded only when you miss them, rather than all calls, read this Verizon-specific guide. Verizon conditional call forwarding
How to Choose a Telephone Answering Company
Before signing up, test how each company handles a real situation from your business. Ask what the caller hears, what the service does with an unknown question, and how you receive the result. A good service takes a message when it does not know an answer, a price, or an available appointment, rather than guessing.
Check the practical details: how you see messages and transcripts, how bookings appear on a calendar, and what happens when a transfer does not connect. With AllDayDesk, calls, transcripts, summaries, and bookings appear in a dashboard, and new appointments go to the built-in calendar by default once you have configured services and availability. An optional Google Calendar connection is available in Settings after you connect and authorize your Google account. Transfers require you to configure a destination and rules, and neither pickup nor an immediate response is guaranteed, so ask any company you evaluate the same question.
Finally, match the service to your trade. Message-taking needs differ between a plumber handling emergency calls and a dentist booking cleanings, so look for a provider that understands your call types.
- Ask what happens when the service does not know an answer or price
- Ask how you receive messages, transcripts, and booking details
- Ask whether transfers are guaranteed and what rules you can set
- Confirm how the calendar works and whether your existing calendar connects
- Check the plan's included minutes against your typical call volume
- For criteria tailored to small businesses, read this guide. best answering service for small business
- To see how call handling differs for a trade with urgent calls, see the plumber example. answering service for plumbers
Steps to Get Started
Once you pick a company, setup follows a predictable path. Provide your business details so the service answers accurately. Configure your services and availability if you want appointments booked. Connect your phone by forwarding your existing number using your carrier's steps. Then place a check call during a quiet moment to confirm the forwarding works and the service answers the way you expect.
Keep your instructions current. If your hours, prices, or services change, update the service so callers get correct information. Review your dashboard regularly to see what callers are asking and adjust your instructions over time.
- Provide accurate business details, services, and pricing rules
- Set services and availability before enabling appointment booking
- Forward your number using your carrier's verified steps
- Test with a real call after forwarding is active
- Update business information whenever it changes
- For a detailed walkthrough of the full setup process, read this step-by-step guide. how to set up a call answering service
Pricing
Choose a plan that fits your calls.
Solo $99/moBusiness $199/moGrowth $349/mo
Each plan includes call minutes. Extra minutes cost more. See your estimate before you start. Your first 30 calls are free, with no credit card. Paid plans are monthly; cancel anytime.
More questions, answered
Do I have to change my business phone number?
No. You keep your public number and forward calls to the answering company. Callers dial the same number as always; the forwarding happens on your carrier's side.
Can an answering company book appointments on my calendar?
It depends on the service. AllDayDesk books new appointments to its built-in dashboard calendar by default once you have configured services and availability, and optionally connects to Google Calendar in Settings after you authorize your account. Changes to existing appointments are requests for you to approve, not confirmed changes.
Will every call be answered if I use one?
Around-the-clock availability describes when the service is able to answer, but no company can guarantee that every call connects. Ask any provider you evaluate how availability works and what happens when a transfer does not go through.
What if the service does not know an answer?
A well-configured service takes a message instead of guessing. With AllDayDesk, when an answer, price, or appointment is unknown, the caller is offered the chance to leave a message for you.
Can I use my Google Voice number with an answering company?
Google explicitly does not support forwarding calls from a Google Voice number to an automated system, so a Google Voice line is not a compatible path to an AI answering service. You would need a line from a carrier or phone system that supports forwarding.
Is a human answering service always better than an AI one?
Not necessarily. Human services offer real conversation, while AI services answer consistently at any hour. The right choice depends on your call types, budget, and hours needed, so compare current quotes from each.
Hear the receptionist for your own business
Enter your business name or website, check the details, and listen to a personalized sample call. The sample creates no real booking, so you can hear exactly how your calls would be handled before you connect your phone.
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