Should You Buy or Lease to Own an Office Multifunctional Printer In Toronto Canada? (And What Does it Cost)?

Okay, so you have decided that your business needs a new Office Printer or multifunction Copier (MFP)? Now you wondering if you should buy your copier outright? Or are you considering leasing what are the available leasing options and what is the benefit of leasing to own your office equipment? The manufactures like HP, Canon, Kyocera, Toshiba, IBM, Lexmark, Dell, Epson and the two most reliable brands Ricoh Office Printers and Xerox Office Printers and Copiers offer financing or leasing, but applying through AbsoluteToner and Copiers will provide you with the lowest rate through our partners or throughout our in-House financing. 

Depending on how you look at things, this could go either way. Leasing allows you to spread out smaller payments over time which may be more budget or cash-flow-friendly for companies with slim budgets. You may have also considered the pros and cons of buying and leasing your office space. The peace of mind and billing predictability of a service contract is valuable for almost any organization.

The Pros of Leasing Your Copier
One of the main reasons to consider leasing is the upfront cost, or rather, lack thereof. There are often financing options available but the interest costs may not be something your business is willing to take on.

Standard maintenance is something that should be always be considered over and above the original purchase cost. Often, the dealer will help you save a few dollars by bundling this into the total price of the copier or printer. Will you pay for this servicing on a time and materials basis or will you purchase a service contract? Many buyers choose the predictability of a service contract, but in either case, this is a cost you should budget for.

Finally, if technology changes render your equipment outdated, you may be stuck with equipment that cannot be resold or repurposed. You cannot sell the equipment to recoup costs but you also don’t run the risk of being stuck with equipment after the lease term.

Lease agreements typically require the purchase of a regular maintenance service contract for the device. This allows you to recoup some of the original cost which you can put toward new, upgraded office equipment. If managing cash flow is a concern for your business, this may be the best solution to get new equipment without having to make major changes in the budget.

The lower payments of leasing may open up more options for higher-end equipment that is simply unaffordable when paying the entire cost upfront. Choose a reputable company with flexible agreements and a record of good service otherwise you may be stuck in a lease that only serves to frustrate you.

Additional Cons to Leasing:
Interest is bundled into your lease payments so the total cost of ownership may be more expensive
Leasing periods are locked in (normally for three to five years)
The MFP belongs to the leasing company
Most leases require you to purchase a service contract
You may be responsible for transporting the device back to your dealer at the end of the lease (check the fine print)
How Much Does it Cost to Lease a Copier?
Here at Office Interiors if we were to lease to a customer, they would have the option to make payments monthly or quarterly. This equipment will be an important part of your operation so it’s important to make the right decision for your particular organization.

The Pros of Buying Your Copier
One of the main benefits of buying outright is ownership. Determining the price of a lease depends on the cost of your device, any financing fees and interest that the leasing company adds and the duration of the lease. They would then select how long the lease payments would last for, usually from three to five years. Purchasing costs can often also be claimed on your taxes but you should consult an accountant to see if the tax benefit will be worth it for your business.

Of course, there are some reasons that buying your copier may not be the right decision.

The Cons of Buying Your Copier
The upfront cost of buying is higher. Instead of having to put down a large lump sum, you can spread out payments over several years. On average though, you should be able to expect prices in this range (assuming a five-year lease):

20-25 ppm MFPs starting from $45 to $65 per month
30ppm MFPs starting from $65 to $85 per month
40ppm MFPs starting from $75 to $95 per month
50ppm MFPs starting from $85 to $195 per month.

Production Printers start at $125 - $1500

There are many moving parts in a copier or printer and they will require regular servicing and maintenance beyond the occasional replacement of a broken part. If you want the newest technology working for you then leasing could be the best way to achieve that within your budget.

Additional benefits to leasing:
Upgrading incurs little or no out-of-pocket expense
The option to buy out your device at the end of your lease, often at reasonable market value
A longer payment period may mean you can upgrade to more advanced technology
Qualifies as a business expense rather than a capital expense / depreciating asset
With all of those benefits in mind, it’s time to look at the cons of choosing to lease your office equipment.

The Cons of Leasing Your Copier
While your monthly payments may be less when choosing to lease, over time, the total cost may actually be higher than buying. Plus, at the end of the agreement, there is no property left.

You also need to be careful about the lease terms you agree to and what your options will be at lease expiry. This isn’t likely to happen quickly but should be a consideration if you plan to keep your equipment for a number of years.

Should You Lease a Copier?
Choosing to lease office equipment has its own advantages and drawbacks for your business. Let’s start with a few points that could be viewed as either a pro or a con.

The equipment belongs to the leasing company. A manufacturer’s warranty may cover faulty parts but they may also require you to take the device to a regional facility or even send the equipment back for those repairs.

Since not all companies are the same there is no single right answer, it depends on your specific situation and priorities.

It’s impossible to say that buying is always right or leasing is always right. If you want to make customizations or changes to the equipment then you can make that call.

By owning the copier, you are free to sell it whenever you want. However, there are some important questions to ask yourself before coming to a final decision about whether buying vs leasing a copier is best for your business.

Should You Buy a Copier Outright?
First, let’s consider the benefits and drawbacks of buying an MFP. Once you have paid for the device, you are the owner of that device and what you do with it is completely up to you. So you have decided that your office needs a new copier or multifunction printer (MFP)? Are you wondering if you should buy your copier outright? Or are you considering leasing options on this critical and often expensive piece of office equipment?

The question to buy or lease is one that seems to come up time and time again when there is a major business decision to be made but can have a substantial impact on your business’s return on investment from this purchase.