Whether you have a brand new startup or a company that’s expanding into a bigger, better facility, the chances are that you’ll need to outfit it with office equipment. And if you’re just getting started or stretched thin during growth, you’ll probably have to consider financing your office technology instead of just using your cash reserves to buy it outright.
When you’re ready to search for laser jet printers Jackson MI, you have two financing options that are designed with office equipment in mind:
1. Equipment Loan
Equipment loans can be great options if you have good business credit and a little extra cash on hand. They often require a relatively high down payment, sometimes as much as 25%, but the trade-off is that you can generally find better interest rates than you would with other financing solutions.
When you purchase the office equipment with a loan, you’ll own it free and clear, and the IRS offers a depreciation benefit that might be good for your return. However, this also means that when it breaks down or becomes obsolete, you will be responsible for repairing or disposing of it.
2. Equipment Lease
With an equipment lease, you’ll likely end up spending more money in the long run, but the monthly payments are usually more reasonable, and you only have to make them while you keep the equipment. At the end of the lease, you usually have the choice to purchase, renew or return the equipment.
Some leasing companies even offer an option to upgrade to newer models at the end of their terms. Many packages frequently include delivery, setup, maintenance and supply deals for the duration of the lease.
When considering whether to secure a loan or sign a lease, it’s essential to assess first what you need, how long you expect your office equipment to last and consult your budget. Analyzing that information should help you determine which option is best for you.
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