The office equipment universe is an expansive one, with a plethora of brands, features, and devices to choose from. Making the right decisions for office equipment is an ordeal in itself, but there is another question to consider after you’ve determined what your business needs:
Should my business buy or lease office equipment?
While there might not be a right or wrong answer, one option might be a better fit for your company than the other. Let’s consider some pros and cons of each.
Buying Office Equipment
One of the most significant benefits of buying is owning the equipment that your business uses. The equipment is yours; therefore you get to do what you think is best with it. If you want to make changes, upgrades, or customizations, you have the freedom to do that.
You also will have the opportunity to sell the equipment whenever you’d like, which can be put towards upgrading towards new office equipment. Another benefit is having the ability to claim many office equipment purchases on your taxes.
There are some reasons that buying equipment might not be the right decision for your business, however.
Buying office equipment presents a much higher upfront cost. Leasing equipment will give you the opportunity to spread out costs through payments, so it doesn’t get in the way of cash flow. This benefit is helpful to companies with cash flow limitations or with low spending budgets.
Equipment maintenance is another important consideration for this decision. Even if you have a warranty on specific equipment, manufacturers might have you jump through hoops to get equipment repaired and back in your business. You will be responsible for scheduling on-time service appointments for your equipment.
Leasing Office Equipment
The first benefit of leasing equipment is the lack of upfront cost. If controlling cash flow is a concern for your business or if you are on a smaller budget, leasing equipment is an excellent direction for your company.
The second benefit is that the equipment belongs to the leasing distributor. If your business plans to keep upgrading to current equipment, this is an excellent choice. Leasing companies typically will require maintenance service contracts as well, so your devices will be covered for repairs and routine maintenance.
However, buying will most likely be more affordable when considering the long-term costs of a lease contract. When the contract is over, the equipment isn’t yours either.
Whether your business buys or leases equipment, Peter Paul Office Equipment can help you with your office equipment needs. Contact us today to get started!