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How to Know Whether to Buy or Lease a Printer

December 12, 2016

Every company is different, which is why it’s important that workflow solutions are personalized to your business. One of the biggest decisions when choosing a printer is whether to lease or buy. There are benefits and downsides to both, and many things to consider, such as cash flow, financing, total expenditure, and technology needs. Here is a guide that can help you make the decision:

The Benefits of Leasing:

For businesses with limited cash flow, leasing does not require a down payment, so initial expenses are lower. Monthly expenses are more predictable, too, with leasing since printer maintenance and repair is almost always included in the terms.

Manufacturers are always coming out with new printing technology, and if you lease a printer or copier, you can easily upgrade those machines when needed. Staying up-to-date with technology allows companies to stay competitive.

The Benefits of Buying:

While upfront costs are higher, buying offers a lower overall cost of ownership.

There are greater tax deductions for initial purchase and depreciation. Under Section 179 of the IRS code, you can deduct the full cost of newly purchased assets like printers in the first year of use, whereas you can only deduct the monthly payment of a lease.

Ownership provides total control of the printer, copier, or multifunction printer. That means you aren’t tied to maintenance requirements of a lease.

When it’s time to upgrade your printer, there is the possibility of resale.

The Downsides of Leasing:

  • Your overall costs are higher.
  • You are tied to a lease, so you may end up paying for the entire lease even if you don’t use it anymore.
  • You’re not building equity in the printer, copier or MFP.

The Downsides of Buying:

  • Your initial expenses are higher.
  • Maintenance and repair costs are unpredictable.
  • It can be difficult to upgrade an outdated printer, copier, or MFP when printing technology changes.

Lastly, consider your equipment needs. Do you need a lot of equipment? Leasing is likely your better option. However, if your printing or copying needs are fairly minimal, purchasing a machine — provided you have the money to do it — is a good choice.

Still confused about whether to buy or lease? With 40 years in the printer and copier business, we have worked with nearly every type and size of company. We can help you find the best printer or copier for your needs, as well as help you discern whether to lease or buy. We offer printers and copiers from the most trusted manufacturers in the world, like Canon and Konica Minolta, and our award-winning sales and service teams will work with you every step of the way to ensure you get the best machines and the best lease or purchase terms. Contact Pacific Office Automation for a free workflow analysis today.

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