Author Box
Articles Categories
All Categories
Articles Resources

Why Renting Office Equipment Can Be Better Than Buying

February 18, 2012 | Comments: 0 | Views: 177

A question that business owners often ask themselves when it comes to office equipment is "should I lease or buy?" It is a conundrum that is easily answered, if one takes time to think about the advantages of leasing over buying. Of course, there are many considerations to take into account when making the decision between leasing and buying, but increasingly businesses are taking the former option for all the benefits it offers.

Here are the advantages of renting office equipment rather than buying it:

Technological advances are being made with increasing pace these days. What was a valid method of operation yesterday is likely to be obsolete tomorrow. Leasing gives the flexibility to update outmoded equipment when necessary, meaning an office benefits from the most modern and advanced work processes available. This increases productivity.

Purchasing a depreciating asset ties up capital. Even if buying equipment with the aid of a bank loan, it's often the case that the bank will loan only 50% to 70% of the total required. Free capital can be used to invest in the business and increase profits. Capital that is locked away in office equipment will not be available to do this. Equipment leasing does not suffer this up front cost, and can often be provided on a 100% basis.

Financing payments can be structured in a way that satisfies the budget needs of the business.

Equipment rentals are an operating expense of the business. This means that the business can take advantage of taxable deductions on its lease payments over the entire term of the lease, and means that the company will ultimately pay less tax. When buying equipment for the office, sales taxes are added. Leasing avoids these taxes, too.

Leasing office equipment gives businesses the flexibility of taking advantage of advances in technology, as well as cost and budget benefits. By maintaining capital at the outset, the balance sheet is improved which will help when seeking financing for business expansion. A register of depreciation is no longer required, payments under the lease agreement are deducted as operating expenses for tax purposes, and equipment insurance is available at very competitive rates.

Whether a business decides to buy or rent, it is wise for it to explore all financing options available not just simply jump on the first option that they come to - you would be surprised at the wonderful deals that can be found with taking the right recommendations.

Finlease is one of those that work for its clients to come to a complete banking solution, which will offer the financial support required in the tough times and for business growth. Unlike the big banks, at Finlease; we take the time to visit you, understand your situation and assist you in selecting the right financing solution. If you are not satisfied with our solution, simply walk away with no cost. We are delighted to seek approvals as over 85% of them are taken up by clients! Find out more at:

Source: EzineArticles
Was this Helpful ?

Rate this Article

Article Tags:



Finance Company


Finance Companies








Office Equipment Gives

The 3 Month Payday Loans is most suitable options for the people who do not possess assets. There are a variety of loan options for the people who are willing to pledge assets against the cash

By: Cameron white l Finance > Personal Finance l July 09, 2013 lViews: 561

For many people, bankruptcy can make their world fall apart. The apparent loss of reputation coupled with the inability to take financial decisions can deter anyone from thinking clearly. But all is

By: noragwilt l Finance > Bankruptcy Lawyers l November 18, 2012 lViews: 304

If you are availing payday loans with monthly payments, it is easy for you to obtain quick money from online lending companies.By getting the best deals of loan, you can save money in terms of

By: Malen Cheks l Finance > Loans l November 16, 2012 lViews: 289

Loans online have become the popular source of income and people can make smart decision of taking it.Now, don’t go anywhere and sit in your home silently. Such deals would bring you money without

By: Marsh Jone l Finance > Loans l November 13, 2012 lViews: 288

Loans for the unemployed would let you feel comfortable with your unstable conditions due to jobless period.If you compare the rates of a few lenders, you would definitely get the suitable lender to

By: kelse roy l Finance > Loans l November 13, 2012 lViews: 467

By taking cash advance for bad credit, it is easy for you to improve your credit status. This loan is useful to relieve financial stress. This loan is totally free from credit verification and

By: Honard Nork l Finance > Loans l November 09, 2012 lViews: 301

These days, most people start online when they look for a place to live. But there are dozens of rental sites you could advertise on. How do you choose?

By: Brian Gregoryl Finance > Leases Leasingl April 09, 2012 lViews: 362

People are always looking to save money in these tough economic times and buying a new car is a big expense for most people. More and more people are turning to leasing new vehicles as it offers many

By: Jeera Mirl Finance > Leases Leasingl April 03, 2012 lViews: 158

When a business needs to purchase needed equipment, they will often have two options: lease the equipment and pay rental payments without obtaining the equipment or they could take their chances and

By: Juanita Swindelll Finance > Leases Leasingl April 02, 2012 lViews: 215

This is an article refuting some of the most commonly employed arguments in support of neglecting to apply for a lease extension. The short term saving approach of not applying for a lease extension

By: Tim Bishopl Finance > Leases Leasingl March 22, 2012 lViews: 202

Are you entering into a rental agreement for any residential or commercial property? The purpose of the agreement is to ensure that your interests as well as that of your landlord are met and that

By: Rizvana Abdull Finance > Leases Leasingl March 16, 2012 lViews: 165

A contract of lease is an agreement between a lessor/landlord and the lessee/tenant whereby the former agrees to rent out his or her property for a fee and subject to a contract of lease while the

By: Howard A Brownl Finance > Leases Leasingl March 10, 2012 lViews: 147

For those businesses that want to attract the best people, and provide a little extra to their staff, a novated lease offers benefits to both sides that often results in increased staff loyalty and

By: Mark O'Donoghuel Finance > Leases Leasingl February 15, 2012 lViews: 145

The world of business is possibly more difficult now than it has been for decades. Whilst there are opportunities to build and grow a company, years of hard work and dedication could be undone

By: Mark O'Donoghuel Finance > Leases Leasingl February 15, 2012 lViews: 137