What do you do with your computer equipment once it becomes obsolete? When it can no longer be upgraded, do you sell it to employees? Do you auction it off to the public? Do you donate it to charities like the National Cristina Foundation, or to a local charity perhaps? If you sell to employees, who supports the equipment? Often it is your own internal Information Technology (IT) folks who ultimately wind up with this responsibility. If you don't do either of those, then you probably have a room somewhere where this equipment is stockpiled "just-in-case". I have one of those rooms myself and so far, "just-in-case" rarely comes. And you can't just throw the old equipment in the trash - there are strict environmental guidelines for its disposal.
Leasing your computer equipment solves all these problems because our leasing company, Heller Financial, disposes of the equipment for you at the end of your lease.
Computer technology changes quickly. What was the "best thing since sliced bread" a few years ago is nearly useless today. Then there are the endless upgrades to consider. You see, components manufacturers will make motherboards that support both older and newer technologies, but not forever. Support will dwindle for the older technology as newer technology takes hold. The thing to remember is that if you don't upgrade frequently, you risk running into a situation where upgrading the current system becomes impossible and it has to be replaced in its entirety. New software purchases have to be put off because the hardware won't support it.
Leasing can solve that problem as well. Upgrades can be rolled into a lease agreement at any time. A series of upgrades totaling $1000 may only add about $33.00 to an existing lease payment. Note that this is an example only, numerous factors are involved in determining the payment difference, such as original lease term and lease term remaining.
How do you budget your Information Technology expenditures? Do you predict how much it will cost to repair the computers you own each year? Do you include new technology acquisitions as well? What about the costs of disposal of obsolete equipment?
Leasing your computer equipment to budget more effectively, and more accurately, thus allowing available funds to be spread around your organization more efficiently. For example, you might budget for the year's lease payments, plus 5-10% for the difference in the lease payment caused by equipment upgrades, and you're done.
Most companies will benefit more from the use of computer technology rather than the ownership of that technology. Let me suggest that a 36-month lease, coupled with our 36-month warranty, means that you won't have to pay for covered repairs on that leased equipment. And at the end of the lease, you just do it all again, with a new lease and a brand new warranty period. In this way, your lease payment is all you ever pay (for covered repairs) because your computer systems are always under warranty.
Please be aware that Texas Usury Laws limit the types of leasing available when the equipment cost falls below $5000 to a standard Fair-Market Value lease. All leasing types are basically the same. You agree to make a certain monthly payment for the term of the lease. The big difference between plans is what happens at the end of the lease. With the Fair-Market Value lease you have the option to purchase the equipment at its then-current fair market value. For leases having an initial market value exceeding $5000, additional options become available like a 10% buyout lease, or a $1 buyout lease. In these cases, at the end of the lease you may purchase the equipment for 10% of its original cost or $1.00, respectively.
For more information on leasing, including a custom quote, as
well as special lease programs for schools and municipalities, call us at (903)
586-4082, or if that isn't a local number (877) 586-4082.