Your office photocopier can be an expensive piece of equipment and many companies when looking to acquire one maybe hesitant in spending a huge lump of money in one go, which is understandable. There are different leasing options available for you to choose from.
You can take out a lease for any time period; generally many companies offer you a lease from 1 to 5 years, although it is general practice to take the lease over a 3 to 5 year period. With technology evolving so fast and the price of photocopiers being so competitive, companies are looking to keep their equipment up to date.
There are positives and negatives of leasing, the most common being:-
* The ability to spread the cost of leasing your photocopier over the same usable life span of that equipment.
The life span of a photocopier, on average, is between 3 and 5 years although it is plausible with continued servicing to go beyond this with no loss of quality. You do also get the option of upgrading in the latter stages of your lease.
* Tax Efficient - each fiscal year, a company is able to claim a tax refund from corporation tax against the amount that is leased, enabling a company to save the capital normally wasted on buying equipment. This gives you more opportunities to purchase company equipment that is not available to lease.
* Leasing also enables you much more flexibility in the long run for upgrading or downgrading, depending on your needs, without the need to wait until the end of your contract.
* The photocopiers ‘title of ownership’ belongs to the leasing company during your lease but there is always the option to buy title at the end of your lease for a nominal fee. The only issue with this is that you end up with a photocopier that is nearly at the end of its life-cycle.
* You may also need to inform your accountant regarding purchasing the photocopier at the end of its lease as you may be liable for the tax benefits from the leasing period.
This entails having your photocopier for a specific length of time in which you will be paying for the equipment throughout its lease term. There will also be a ‘minimum term’ for leasing a photocopier so if you decided you wanted to end the contract early you will still have to pay upfront for any installments you have remaining.
For the duration of a Lease/Rental the photocopier remains the property of the leasing company as they retain ownership even after expiry of the lease. On the positive side there are no one-off payments at the end of the lease and some come with a maintenance package to service the photocopier for the duration of the lease/rental. Most photocopier dealers for free, will also offer to upgrade you to a newer copier model in the latter stages of your lease.
With a Lease/Purchase agreement you generally have lower quarterly or monthly payments, but unlike a Lease/Rental agreement
you will be given ownership of the copier at the end of the Leasing period. You will still have to pay a settlement amount if you wish to terminate the contract before the end of your minimum term to get ownership of the photocopier.
Consumables (toner and paper) are sometimes included in a maintenance agreement for the duration of the lease; alternatively
for an annual payment, photocopier companies offer their own maintenance agreements and stipulate certain items that will/will not be included.
Make an enquiry
Please use the button below to make a fresh enquiry - Please remember to fill in all the fields so we may best help you.
If you are keen to get talking to someone straight away you can always call us directly on 0800 413 953.
Leasing is a credit agreement in compliance with The Finance and Leasing Associations code of practice. DMC have several vendors who we have long standing relationships with and who are all the best in the market place. We can offer different plans to suit all types of companies. Please note that leasing can sometimes be rejected for all sorts of reasons but we follow every avenue that is open to us to find a way that new start and exisitig companies can find leasing at a rate that suits their budget.