Many business owners aren’t aware that there are several types of equipment leasing options available. While getting your hands on brand-new equipment can offer many benefits, such as having access to state-of-the-art features, it’s also possible to lease used equipment. What are the benefits of choosing to go with used instead of new? Here are six things to consider:
1. Almost-New Advantages
The truth is that in many fields, technology changes even faster than business owners can keep up. So while you may not be getting the very latest computer system or IT equipment, leasing used equipment can get you very close. By choosing last year’s model, you may be able to save a huge amount compared to something brand new.
2. Startup-Friendly Financing
Equipment leasing usually offers comfortable monthly payments anyway, but used equipment prices are unbeatable. For a new company, this reduction in overhead can help you boost your cash flow from the beginning. After all, you have a lot of things to balance, including marketing and employee costs.
3. Inexpensive Expansion
Are you weighing the pros and cons of expanding an existing business into new markets? Something that can make your decision easier is choosing to lease used equipment. That way you risk less capital and can get a good taste of the potential profits available. If the market is ripe for the taking, you can always upgrade to new equipment later.
4. Minimum Capital Investment for Seasonal Equipment
Have you ever needed equipment for a specific job, only to discover you don’t really use it that often afterward? With used equipment, you use your available capital wisely. You always have the right equipment available, but you don’t need to feel bad if it sits around during off-seasons.
5. Cost-Effective Competition
Matching and exceeding your competitors’ services is important for establishing your business as the best. However, today’s trends don’t always last into tomorrow. Consumers may love certain services this year and forget about them the next. Used equipment leasing lets you stay up-to-date with new techniques and products, but you’re not stuck with something if market interest doesn’t pan out.
6. Tried-and-True Technology
Some older equipment is popular because it was built to last. With things such as construction equipment and heavy machinery, you can often get a great deal on used items that perform exceptionally. The total savings can definitely make this option worth your while.
A big part of making used equipment leasing success is choosing the right leasing company. Find one with a friendly team and easy-to-understand terms that spell out fees and responsibilities clearly. True, going with used means extra effort compared to new equipment, but you may be genuinely surprised by the difference for your bottom line.