Buying vs. leasing IT equipment is one of the biggest questions in business. There are a lot of payment options for IT equipment, so it’s important to choose the option that works best for you.
Typically, your options will be to buy upfront or lease. Whether you are just starting your company or your 1,000-person business requires new computers or other technology, it is vital to consider the pros and cons of these options.
Pros and Cons Of Buying Your IT Equipment Outright
You can use your own funds, a bank loan, or an overdraft to pay for the equipment if you wish to own it outright.
Buying IT equipment is less complicated than leasing and does not require as many complicated agreements as leasing. It is also frequently less expensive in the long run.
Moreover, buying company equipment may seem appealing due to ownership and tax benefits, but it isn’t an option for everyone due to large upfront costs.
Buying IT Equipment Outright Pros
Buying IT Equipment Outright Cons
Pros and Cons Of Leasing IT Equipment
Leasing IT equipment and tools preserves your capital and provides flexibility for your business.
Leasing allows you to rent computer equipment for a monthly fee. You sign a lease agreement with a leasing company, and at the end of the predetermined term, you normally either:
- return the equipment
- extend the least if you want to keep using it
Leasing IT Equipment Pros
Leasing IT Equipment Cons
Should You Buy Or Lease IT Equipment?
The best answer to this question depends on your situation. Leasing equipment can be an excellent choice for business owners with limited resources or who need equipment that needs to be upgraded every few years, whilst buying equipment can be a better choice for well-established companies or for equipment with a longer useful life.
However, if you’re really tight on cash, there are still many options that you can explore. One of these options is buying refurbished computers and other IT equipment instead. Sunol Tech offers high-quality new and refurbished IT equipment at very low prices. Feel free to contact us so we can help you with the things you should consider when buying IT equipment and see what’s best for your business.