Leasing versus buying your technology

There are a lot of companies out there that are asking the same question, are it better to lease your technology or is it better to buy you technology? Depending on what type of company you are will play a big factor in your answer. Here is some information that will help you look at both sides of leasing versus buying your technology which might help you to decide for yourself which will work our better for your company.

The first thing to take into consideration is the cost of leasing versus buying. Depending on what type of technology you want will depend on the price. For example if you are looking at buying technology that is going to be rapidly changing or is always updating you might want to look into leasing so that you are always up to date with the current technology without having to continue paying the cost every so often to update it. But if it is technology that your company needs to get it up and running and you are not planning on updating it for at least a couple of years you might want to look at buying it so that you have it on hand for when ever you need it and don't have to worry about re leasing it over and over.

The second thing is the taxes that you might pay on what you buy or lease. For example when you lease something you get some sort of deduction for the lease payment right away. Where as if you buy something you might have to depreciate it over so many years or just be able to write off the interest which might not be as much as you would like depending on what it is.

The third thing is how much money your company has available. If you are planning to lease something you won't have to pay as much down as you would if you were going to just out right buy it. You may have to put money down when you leasing but no where near what you would be paying to buy. You may want to go over your finances before you make your final decision so that you will know exactly where your business is at financially before making a decision one way or the other.

The fourth thing is how long you are planning on keeping whatever technology you are buying. If you are not planning on having your asset for more than a couple of months or even a couple of years you will want to look into the cost difference between leasing and buying. Knowing what you are going to use your technology for and for how long will help you be able to shop around and get an idea of how much it will cost whether you are going to buy or lease.

These are just some of the things you will want to keep in mind when you are trying to decide which is better leasing verses buying your technology. When you are looking at either option you will want to make sure that you do your research and find out what type of warranties come with each option. You may also want to make sure that if you decide to lease that you look into how the costumer service is and what other benefits you will get. Knowing exactly what you are getting into when ig comes to leasing versus buying your technology will help you to know that you are making the best decision.