Why Business Internet Costs More Than Residential Internet

business vs residential internet

Internet packages for the home start from as little as $20 per month in Indianapolis, while internet plans for businesses cost considerably more. It might seem tempting for small businesses to choose the cheaper option and just use residential internet, but don’t fall into this trap.

There are legitimate reasons why business internet costs more than residential. Business internet caters to organizations that require faster, more reliable speeds than residential users. Many business users also need a dedicated connection, service level agreement (SLA), dynamic IP address, enhanced security, and more varied customer service options. Read on for more reasons why business internet costs more than residential.

Differences Between Residential and Business Internet

Both residential and business connections allow users to access online services, but a business service typically provides the following additional benefits.

Faster Speeds

Business services, especially business broadband and fiber optic internet, come with faster speeds than residential services. Many business owners require these speeds to execute day-to-day tasks, such as videoconferencing, posting online content, and emailing clients.

Dedicated Connection

Business broadband provides a dedicated internet connection that you don’t have to share with other users. When several groups share a connection, it can affect bandwidth, which might slow down your internet and make it difficult to carry out daily operations.


An SLA (service level agreement) is an agreement between you and an internet service provider. This contract defines the level of service that you can expect from the provider and any financial compensation you might receive if the provider doesn’t meet its commitments. An SLA provides you with clear expectations and a source for accountability. 

Dynamic IP Address

You get a dynamic IP address with a business package instead of a static IP address. A dynamic IP lets you host a server or file storage so you can complete business-critical tasks at scale, such as customer data collection and ensuring your website has enough bandwidth.


Business internet offers a more secure connection for businesses than residential internet. This benefit proves valuable if you collect customer data, such as names, telephone numbers, and credit card details. You will require a secure internet connection to prevent cybercriminals from stealing this data. 

Customer Service

Business owners like you require more advanced customer service options than those that come with residential services. These options might include 24/7 phone, email, or live chat support, which prove useful if your internet service goes down or you experience technical problems that affect day-to-day tasks.

Why Is Business Internet a Better Option?

Business owners can use a residential internet connection, but what you’ll save on your internet bill you’ll likely pay for in downtime and poor reputation. Investing in a business connection improves productivity and performance in your work environment. If you rely on the internet to carry out essential tasks like communicating with customers and selling products online, a business connection provides you with far more scope than its residential counterpart.

Invest in a business connection to reap the numerous benefits! Contact AxiaTP to find out what business internet will cost you and how it will enhance the way you do business.