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The following article was published in our article directory on November 1, 2011.
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Article Category: Business Management
Author Name: Tom Cordova
Computer equipment lease is a more practical option than to buy all your computers at once for your business needs. Leasing means you have entered a formal agreement with the computer owners where you will pay an indicated monthly payment for a specified term. What is good about this scheme is that you will be able to purchase at a minimal cost the units after the lease expires. The difference between a lease and a rental agreement is that the former has a term that lasts for years while the latter can last only for a few weeks. In this article are the steps on how to lease computer equipment for your business.
You should first know what your business needs are in terms of computer equipment usage. Afterwards, compare them with your present economic and business situation and your future endeavors and projections. This will make you comprehend better your leasing costs.
Know the taxes you will incur in computer equipment lease. Make sure to ask a tax expert about this. You can also go online and enter government websites in getting information about taxes in leasing equipment.
Search for computer owners that can give you a plan or rate you can afford. Check the interest rates they provide. Also, choose the vendor that gives discounts if you pay the loan before the due date.
Once you have chosen your computer vendor, read carefully their lease agreement form. Make sure you conform to everything it says before signing it. Sign the form and get a copy of it for your own records. Pay a deposit fee and make sure you get an official receipt for this. This should also be indicated in the agreement form.
The good thing about computer equipment lease is that the upfront costs are minimal. A computer unit will cost thousands of dollars when bought outright but in leasing it, this will cost you not more than a hundred dollars a month. This will provide you the opportunity to get a good computer unit immediately.
Leasing is more beneficial than to buy equipment outright especially if you plan using the computer for a few years. There are vendors that allow their lessees upgrading their units to more high-tech ones. This will allow you having a modern and updated business with no obsolete equipment.
When you avail of computer equipment lease, the computer vendor would pay for any malfunction and breakdown of the unit. If you bought the units, you would have to pay for maintenance costs and will make you incur additional charges. You would also be forced to learn how to maintain your computers which can take much of your time.
Computer leasing can be more practical especially if yours is a new business. You can use your money intended for buying computer units for other purposes. You can spend your money on renovation or office fixtures thus improving your cash flow. Just make sure that you allot a portion of your profit for payment of your computer equipment lease monthly for a good credit standing with your computer vendor.
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