Leasing vs. buying: What’s the best option for your business?
Starting a small business means you have to make some big financial decisions early on. When it comes to printing machines, you have two main options to choose from: you can either buy a printer for your business or you can lease one.
There is no right or wrong solution; it is all about doing your research and then deciding what is going to be right for your business. With that being said, read on to discover everything you need to know to determine what is the best option for you.
When leasing is the right solution:
• You don’t have a lot of capital at present – If you are short on cash, for example, if you are just starting your business, you may wish to hire a printer to begin with and then purchase one in the long run. The initial cost of hiring a printer is a lot lower than it is to buy one outright, which appeals to those who do not have the money to fund the purchase of a printer at present.
• You want to benefit from manageable monthly expenses – The good thing about leasing is that you know exactly how much money is going to come out of your account every month. There are no nasty surprises, and this makes it a lot easier to manage your finances.
• You need to keep up to date with technological changes – New printers are released onto the market regularly. If it is vital for your business to stay abreast of these changes and innovations, leasing may be the best solution. This gives you the ability to upgrade your printer whenever necessary.
• You don’t want the hassle of having to deal with printer repairs – If you own your printer outright, you will have to deal with any damage that occurs. In most cases, when you lease a printer, it is up to the leasing company to fund the repairs.
• You want a machine you cannot afford to purchase – One factor a lot of business owners overlook is that they will gain access to a better machine if they go down the leasing route. You will be able to use printers that you may not have been able to afford outright.
When buying is the right solution:
• Printing is central to your business – If you print documents on a regular basis and a printing machine is central to your business activities, it can prove more effective and cost efficient to buy a printer. There is no denying that you may have to spend a considerable sum of money to begin with, but you will save much more money in the long-run, as on-going costs will be a lot lower.
• You call the shots when it comes to maintenance – While some business owners like the fact that maintenance is taken care of when leasing, there are others that would prefer to be in control of this aspect. After all, there are some instances when leasing companies will require you to maintain equipment periodically as per their instructions. This can become expensive. When buying, you are in complete control.
• You don’t want the hassle of leasing – Leasing a printer can be a lot of hassle. There is paperwork that needs to be dealt with and you will need to provide financial information amongst other details. After all, the company wants to be sure that you are someone who is going to pay them back. When buying a printer, all you need to do is decide what you want and hand over the cash – it is as simple as that.
• You want to avoid on-going payments – Finally, it is likely that your business has enough on-going monthly costs without adding to them. Moreover, if you lease a machine, you are obligated to continue paying for it even if you stop using the equipment. If the printer were yours, you would be able to sell it, and, even if you can’t do this, at least you won’t be paying a monthly fee.
Now you’re up to speed on the pros and cons of buying vs leasing, you’ll be far more able to make the right choice for your business. Midshire offer options for both buying and leasing top quality printers.
Founder and editor of www.motherswhowork.co.uk, a mother of two wonderful children, wife, entrepreneur (check out www.geekschool.co.uk) and journalist.