| When you consider a copier lease, there are | | | | important to your business. If you dont rely on |
| many things to consider if you are thinking about | | | | the latest technology, you will often find its a |
| obtaining office equipment like a Konica Minolta | | | | more cost effective option to update your |
| Copier or a Utax Copier for example. One of the | | | | copiers less often. |
| first things you should think about is, wether | | | | - What are the financing options when considering |
| you should decide to lease a copier or should you | | | | copier purchasing or leasing? |
| purchase one? Both options have advantages and | | | | Purchasing your copier will normally have a higher |
| disadvantages depending on your current business | | | | initial outlay as opposed to financing your copier |
| situation. When making any business decision, | | | | using a lease. Depending on your companies cash |
| you should always ask yourself the following | | | | situation, this may not be an option for you. A |
| questions: | | | | copier lease will normally require less cash as a |
| | | | downpayment, and the monthly payments are |
| - How long are you intending to keep the copier? | | | | often smaller. |
| If you're only planning to keep the copier for a | | | | - Is there a tax benefit when leasing a copier? |
| short period, you could find that a leaseof a copier | | | | It's important that you think about all the related |
| is an easier and more cost effective solution than | | | | tax implications for both options as they relate to |
| actually making a purchase of a copier and then | | | | your business. There's usually a tax benefit thats |
| trying to sell the copier on once its no longer | | | | associated with a copier lease where you will get |
| required. Its also worth investigating if there is a | | | | to deduct the full copier lease payment |
| buyout option when the copierlease period is up | | | | immediately. You should ensure that you speak to |
| should you choose to keep the item once your | | | | your tax professional as each type of copier |
| original copierlease is over. | | | | lease has different accounting for tax purposes. |
| - Do you need to have a brand new copier or will | | | | This will determine how much you can deduct as |
| a used copier be sufficient? | | | | an expense on your companies profit/loss |
| Do you need new equipment, or will used | | | | statement. When purchasing and financing the |
| equipment meet your needs? Used equipment, | | | | copier, you will only be able to deduct the interest |
| particularly office equipment like a copier, is often | | | | portion as an expense. The principal amount that |
| available at a much lower cost but although you'll | | | | your company pays on a copier loan isn't a |
| save money on the price of the copier, its | | | | taxable deduction on your profit/loss statement |
| possible that you wont be able to lease the copier. | | | | but is considered a reduction of your overall loan |
| New copiers, however, can often be available to | | | | liability. Either a copier lease or an outright copier |
| either buy or to lease. One important thing you | | | | purchase both offer an advantage to a business. |
| will need to investigate is the benefit/cost of a | | | | The key to making the right choice is to fully |
| new copier vs. a used copier particularly if you're | | | | understand what your company's copier needs |
| a new business thats just starting out. Investing | | | | are and the purpose of the copier. |
| your possibly limited resources in a new copier if | | | | Answering the questions above will help ensure |
| you're just getting started in business can place a | | | | that you're making the best choice for your |
| considerable strain on your finances. | | | | situation. |
| - How often do the copiers change their | | | | Talk to one of our copier lease specialists at |
| technology? | | | | In-Doc or send us a copier lease request and we |
| For items like copiers which are superceded often, | | | | will contact you to help you with any copier lease |
| it may be a better choice to use a short lease on | | | | or print requirements you have. |
| the copier so you can always have the most up | | | | In-Doc. |
| to date copier, particularly if technology is | | | | |