More small businesses today are looking for a way to securely extend their network-based business applications and resources to remote employees, partners and customers.

However, private wide-area networks (WANs) based on dedicated, leased transmission facilities are far too costly for most small companies to install and maintain.

With virtual private networks (VPNs), companies of any size can get secure, flexible, and cost-effective connections using Internet technology to link widely dispersed locations. With VPNs, the cost of connectivity plummets, while a company's potential reach becomes boundless.

1. What is a VPN?

VPNs have all the characteristics of a private WAN, except that communications occur over the public Internet. Users benefit from the same end-to-end networking, but without the high cost required for private WANs. In addition, VPNs provide easily deployed connectivity to new sites, the ability to add users easily, and the flexibility to reach any location.

VPNs make connections securely, ensuring that communications stay private. VPNs guarantee security through an industry standard called IPSec, which ensures the confidentiality, integrity, and authenticity of data transmitted over the public Internet Protocol network. In addition, VPNs offer such vital features as traffic prioritization, management and reliability — just like dedicated lines.

2. What kinds of applications can you run over a VPN?

VPN applications vary greatly from company to company. However, most businesses find that VPNs are especially useful for customer service, sales, collaboration, document/application sharing, and security applications. Practically any application that requires remote data sharing is a good candidate for a VPN.

3. How do you set up a VPN?

You can certainly set up your own VPN. Most small businesses, though, find it easier to contract with a service provider. Many service providers offer a portfolio of VPN services, each at different price points and performance capabilities. The flexibility of VPNs is one of their great benefits, especially for a small business.