While leasing office space equipment has many advantages, there are also a lot of other factors to consider that might not make it the best fit for your business. Here are a few things to think about if you are considering renting your equipment, as suggested in the article “Leasing Business Equipment”:
- If you are planning on renting for just a short period of time, this might be a cheaper option, but long term renters should be aware that the lifetime cost of renting a piece of equipment will usually be higher than purchasing it.
- You are forfeiting ownership interest by renting, which means that if you have become dependent on the equipment and want to purchase it at the end of the lease, it might be too expensive.
- One way to try to establish equity in an asset is to negotiate for some of your rental payments to go towards the purchase price so that you might be able to fully purchase the item at the end of the lease.
- To avoid unwanted legal effects, you might want to consider hiring a lawyer to help you with the equipment lease before agreeing to it.
Do some research before leasing equipment and decide if this is the best option for your business.