Sometimes, renting equipment creates is more logical than purchasing, especially if you require the equipment for long periods
Here are some incentive of renting products
Money Impact
1. There is no cash outlay which frees up fund for other working capital requirement
2. It is like an added line of credit or extra working capital for the business
3. The equipment is financed at a flat rate for the term of the hire. i.e. the monthly expenditures will not change.
Accounting Impact
1. Simplified accounting procedures via monthly invoices
2. Hire payments fit within your operating budget, remove the need for capital expenditure approval
3. There is less formality required for funding approval and personal guarantees are not required
4. Leases are a form of off-balance sheet funding, without affecting your ability to take loan
5. leasing improves the ROI & ROA financial ratios
Technology Ownership
1. You are not investing cash in rapidly altering and depreciating technology
2. You are paying for the product as you use it
3. By removing the hassle and TCO, renting lets you concentrate on your core business
4. leasing is a hedge against price rises - you can have cutting edge technology of today and pay for it with tomorrow's dollars
5. Avoid outdated technology and manage the technology platform lifecycle
6. There are no repair responsibilities that come with ownership of products
7. The trouble of selling used office products are removed
Tax Effective
1. Disbursement for hire is usually income tax deductible. Note Please check with your regional tax authorities
What Can You Rent?
Typically, any larged IT Rental Company will be able to supply you the following IT products on rent:
1. Server Computers from low end to mid or high end.
2. Workstation Computers from low end to mid/high end.
3. Notebooks to Notebooks & Apple Macbooks
4. PC, Mac, AMD
5. Printers Laser, Inkjet, MFD, Network printer, Color laser printers
6. Copiers Entry level to mid level
7. Scanners Entry level to mid level. AFD and Duplex
8. LCD Projectors of 1500 ansi lumens to 5000 ansi lumens
9. PA systems for about 25 people to 1000 people.
10. Plasma TV 32 inch to 42 inch
Tytec Group: Copiers, PBX and Telecoms Cape Town. We provide managed print services, CCTV systems, IT solutions, Telecoms, Rent a Printer and much more.