You’re just starting out in your new business venture, and you’re looking to equip your office with some office equipment. Maybe you’ve got a home office, and you need some affordable equipment. In these circumstances, there are a couple of options at your disposal: you can rent the office furniture you need, or you can purchase it for yourself. What is the most viable option? And how can you find the most affordable of that option?
The advantages of leasing office equipment
The primary advantage of renting office equipment is that you can often return that equipment for upgrades without charge. You pay weekly or monthly rental or leasing fees for the equipment, and then, in return, you are allowed to operate the equipment as if it were your own. Some leasing agencies will even send service personnel out to your office if the leased equipment ends up breaking down. For large ticket office equipment items, leasing them is often a strong consideration because not every business can drop $5,000 down to pick up one item they may need.
Other office equipment, such as rugs, often seem to make sense at first because the leasing agency maintains them. The issue becomes how much you’re willing to pay someone to maintain equipment compared to how much it would cost you to maintain it yourself. For many people, that’s why owning office equipment makes sense.
The advantages of buying office equipment
The primary advantage of purchasing office equipment is that it becomes an asset for your business. The depreciation on these assets can be taken in up to 10-year increments or all at once when you make the purchase in some countries. This equipment is also yours, which means you don’t have to worry about accidentally scuffing the equipment or using it too often based on the leasing contract that you have with someone.
Let’s say you’ve decided to move your offices to a new location. In some rental agreements, this would be considered a breach of your leasing contract. You would either have to start a fresh contract or pay contract termination fees to finish the move. If you have purchased the equipment, you can simply put it on the moving truck and set it up at your new office.
What is the best choice?
The best choice to obtain office equipment is always to purchase it for yourself if you can afford to do so. Leasing equipment may make sense in certain situations when there isn’t enough money to make a purchase, but considering there are no limits on use and you won’t be liable for any unexpected leasing charges, a purchase of equipment always makes sense if it can be done. Remember – a common stipulation in many rental contracts is that you must return the equipment in as good of condition, or better condition, than when you first received it. If you don’t, you could be liable for repairs or purchase the equipment outright anyway.