Create a business plan, including your mission and vision statements, startup and operating expenses, projected revenue, funding sources, and ways to make profits. Identify your competitors and assess. You may need a maximum of $5,000 to start your own long distance phone company. You will need a minimal amount for office expenses for printing some business cards, building a website, a mail drop and other advertising costs. Your only monthly recurring cost will be only the telecommunication infrastructure costs, two elements of which are co-location and local access or T1/PRI circuits.
2
Purchase a good Intel P4 server, Linux software and a backup drive. You can do this for about $2,000 as of September 2010.
3
Obtain some software for an open source TDM/VOIP PBX. Check the internet for the software--there are free downloads available.
4
Locate your Telephone Carrier PBX in a managed host environment. They provide the power, environmental and access to various carrier circuits all in a single place.
5
Install network interface cards for the software that you have chosen to purchase. You may need some 2 PRI cards--each will cost about $800. Try negotiating with the sales representatives for the PRI circuits. Obtain a quad card, if possible.
6
Hire a telecom technician who is knowledgeable in voice, data and Linux. Start assembling the platform and make your interconnections.
7
Apply for a business license with your city or county business department. The fee may vary based on your state.
8
Set competitive pricing for your long distance calls. It is possible to make profits by charging just 2 cents per minute.
9
Plan an advertising campaign that includes distribution of fliers, placing ads in phone directories, billboards, yellow pages and local radio and TV stations.
Tips & Warnings
Conduct a good competitor study and price your service according to the market.
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