For many businesses, the office copier is an indispensable piece of equipment. But when it comes to acquiring one, should you buy it outright or lease it? Both options come with their unique set of advantages and challenges. In this article, we’ll delve into the pros and cons of each, helping you make an informed decision for your business.
Leasing an Office Copier:
- Up-to-Date Technology: One of the primary benefits of leasing is that it allows businesses to always have access to the latest technology. As the business landscape and needs evolve, so does copier technology. Leasing provides the flexibility to upgrade to newer models without significant upfront costs.
- Predictable Monthly Expenses: Leasing allows for consistent budgeting. Businesses can allocate funds for their monthly lease payment, ensuring there are no surprises down the line.
- Lower Upfront Costs: There’s no need to make a significant capital investment when leasing. This can free up cash flow for other pressing needs or investments.
- Tax Benefits: Depending on your jurisdiction, lease payments might be deductible as a business expense, providing potential tax benefits.
- Total Cost: Over the long term, the total outlay for a leased copier might exceed the cost of purchasing one outright.
- Contractual Obligations: Leasing means you’re bound by a contract. Exiting this contract prematurely can lead to penalties or fees.
- No Ownership: At the end of the FMV lease, you don’t own the copier. This means you’ll continually pay for a copier without ever gaining an asset for your business.
Owning an Office Copier:
- Asset Ownership: Buying a copier means it’s an asset for your business. This can be beneficial for balance sheets and company valuations.
- No Monthly Payments: Once the copier is paid for, there’s no monthly expense tied to it (apart from maintenance and supplies). This can result in long-term cost savings.
- Flexibility: Owning a copier means you aren’t tied down to usage restrictions that some lease agreements might impose. You have the freedom to use it as much or as little as you wish.
- Potential for Resale: If you decide to upgrade or no longer need the copier, there’s the option to sell it and recoup some of the initial investment.
- Upfront Costs: Purchasing a copier requires a significant initial investment, which might not be feasible for all businesses, especially startups or small enterprises.
- Risk of Obsolescence: Technology advances quickly. Owning a copier might mean sticking with an outdated model for longer, potentially hindering efficiency and productivity.
- Maintenance Responsibility: When you own a copier, the onus of maintenance and repairs typically falls on you. This can mean unexpected costs and the challenge of finding reliable service providers.
Pahoda Copiers & Printers for Copier Purchase or Lease
The decision to lease or own an office copier hinges on various factors, including your business’s financial health, long-term goals, and appetite for managing assets. Leasing offers flexibility and access to the latest technology with fewer upfront costs, making it a favorable option for businesses that prioritize staying updated and don’t want to commit a large sum upfront. On the other hand, owning can be a cost-effective solution in the long run for businesses that have the initial capital and want an asset on their books.
Whether you are looking to purchase or lease a copier, Pahoda Copiers & Printers can help your company.
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