Procuring office equipment is not only through direct purchases. Recently, you can also get them through lease or dollar buyout; however, there will be similar advantages and disadvantages to each option which you need to consider.

Leasing copiers may not be a popular option because most businesses think that the process is a complex one, not to mention the lease rates. In addition to the contract agreement, effective on 2019 there will be a new set of laws governing leases. To understand your options, we will differentiate Fair Market Value or FMV, dollar buyout and, purchases.

If you are in Jacksonville and you are looking for a Copier in Jacksonville for your business, you may contact Clear Choice Technical Services in Jacksonville. You can ask about Copier Leasing Services in Jacksonville, Copier rental services in Jacksonville, and Copier Repair in Jacksonville.

Fair Market Value

Fair Market Value is also known as the operating lease. It is the lowest standard amount of owning a piece of equipment, which needs to be paid on a monthly basis. FMV resembles renting for a fixed period, but you won’t consider the leased equipment as assets of your company, so it won’t appear on the business balance sheet.

If you are looking for a budget-friendly option, this is the best way to go since you are not paying the full price of the copier or the printer. You only have to pay for the period specified in the contract unless you decide to keep it after the term.

At lease end, you can purchase the copier from the leasing company for its fair market value. Your other option is to return the equipment to the company or extend the contract if you need to. Leasing eliminates concerns about equipment disposal after the lease and reduces worries about obsolescence.

Buyout Option

Dollar buyout option is when you buy the equipment for just $1 after the lease period. Monthly payments are higher than FMV, but at contract end, you can keep the copier for just one dollar. Another difference is the tax benefits. With FMV leasing, the company owns the equipment; with dollar buyout, you own it and receive tax benefits.

Direct Purchase

Compared to lease contracts regarding copier lease rates, purchasing a copier outright means no monthly payments required from you. After purchase, you own the copier, which becomes an asset on your business balance sheet. Since you own it, you will receive the tax benefits applied to it. On the other hand, owning one means securing the supplies needed for paper and toners on a regular basis. Maintenance ensures the machine works well, allowing you to use it without worrying about lease contracts. However, you need to designate a particular space within the office to become the copier’s permanent place.