Should We Lease a Copier?

The Equipment Leasing and Finance Association conducted a survey that crossed 25 companies who represented a cross section of the $903 billion equipment finance sector. In December 2014, they discovered that business volume has increased by $12.9 billion, which is up 20 percent since December 2013. What is the reason for this increase? Essentially, the trend has occurred because business owners want to stay competitive. Entrepreneurs opt for leasing a copier, rather than financing one because purchasing the machinery becomes obsolete quickly.

The technology industry has been expanding faster and faster, and leasing allows business owners to keep step with the latest technological advances. Another reason it has become popular is due to overhead costs. A startup business cannot afford to furnish their office with $10,000 copiers without breaking their budget. The long-term lease lets them stay competitive with corporate moguls who have limitless funding. State-of-the-art equipment becomes accessible without paying top dollar. In addition, many lease companies realize that startup businesses need flexibility, so they make the payments lower to increase over a period of time. Leasing companies call this a step lease, which is more flexible than being locked into a rigid system.

You never want your large scale investment to become an alarming loss, and leasing helps you to avoid outdated equipment that constantly needs repairs. In addition, your available credit will not become impacted when you choose to lease your copier, and in most cases, the company does not require that you have collateral. However, when signing a lease, you should beware of the fees that include: documentation fees, commitment fees, site inspection fees and lien search fees. The company often charges for insurance as well.