Purchasing essential office equipment like copiers is a huge investment that involves a large upfront cost. Along with this is the inevitable fact that this asset will become obsolete in no time. Leasing the copier is the wise alternative available for all business owners to enjoy and take advantage of its benefits.
Let’s summarize in three points, the benefits of leasing a copier rather than purchasing one:
1. HASSLE-FREE EQUIPMENT UPGRADE
We all know very well a copier does not appreciate in value, but rather it depreciates faster than any other office equipment you might have. It is highly recommended that you save your purchases for assets that depreciate less. Leasing enables consumers to obtain updated copiers and ultimately improves cash flow. It also protects the lessor from obsolescence, inflation, and depreciation. This allows business owners to take advantage of the latest technologies whenever and wherever at a very reasonable price.
In contrast, if you purchase a copier, the only way to upgrade it is by the disposal of the existing one.
2. PRESERVATION OF CAPITAL AND BUDGETING
Instead of using up the capital one time by purchasing a copier, it would be wiser to use it for business expansion or investing more on other assets that appreciate it. Leasing a copier will lead to the preservation of your capital resource and expansion of your business by redirecting the resource to other ripe business opportunities. It also optimizes your credit sources.
Furthermore, payments for your copier lease are not affected at all by the market’s fluctuating interest rates. Thus, you can plan in advance for your lease payments. As a result, cash flow can easily be determined and future budgeting can be planned.
3. REDUCED TAXES
The major benefit of leasing your copier is you can take full advantage of Section 179 Deduction. You can deduct the full amount of the equipment, without paying the full amount in the current year. If you think about it, you can save a huge amount in taxes. The amount you save will largely exceed the payments you’ve made leading to improved cash flow.