When you need to add a copier or high-end printer for your business, you have to decide if you are going to lease or buy the machine. Both options provide benefits and drawbacks, and you will need to determine which is the best fit for your business’s unique needs.
Benefits of Leasing
When you lease, you can keep your equipment up-to-date, without a costly upgrade. At the end of your leasing agreement, simply sign a new agreement for a new copy machine. Leasing also keeps your monthly expenses predictable. Your monthly fee will be the same, no matter what happens in your office. Also, most lease agreements do not require an upfront payment, which can be helpful if you are a small business.
Drawbacks of Leasing
While these benefits are great, there are some drawbacks to leasing. In the long-run, you will almost always pay more out of pocket for a leased machine than one you purchase. The payments are just smaller each month for as long as you lease a machine. Also, if you stop using the equipment, but are still in your lease contract, you must continue to pay for it.
Benefits of Buying a Copier
If you have the funds, buying a copier is much easier than leasing. There are no contracts to deal with. Simply choose the copier you want, and buy it. This also means you are in control of the maintenance on the machine, rather than being required to stick with the leasing company’s pre-arranged maintenance schedule.
Another benefit is the tax deduction. You can deduct the full cost of your copier if you put it into use the year you buy it. For operating leases, only the monthly payment amount is deductible.
Drawbacks of Buying
One of the reasons many companies do not buy a copier or printer is the high upfront cost. For new or small businesses, this may not be possible. Available funds or lines of credit often need to be used for advertising and marketing as you grow. Buying can also leave you with outdated equipment, and the need to buy a new copier down the road. However, you can sell the old one to offset some of the cost of the new purchase.
As you can see, these two options are both a good way to get a copier for your business. You will need to weigh these benefits and drawbacks to determine what is best for your business. Whether you choose to buy or rent, Carolina Business Technologies can help you get the copier you need for your South Carolina business.