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Strategies for Business Success - Buy or Lease?

You are starting or expanding your business - great! Deciding whether to buy or lease what you need might seem overwhelming. Leasing is tempting to many, as it requires less cash up front.

Buying 20 computers will cost you thousands of dollars; leasing 20 computers may only run you a few hundred dollars per month. You can even “lease” your business management software and services by way of online subscription.

Some Advantages of Buying Equipment and Supplies Outright: Lower Lifetime Costs: Many things will cost you far less in total if you purchase them outright rather than leasing. The same chair, if leased, might run you $30 per month. Lower Monthly Overhead:

When you lease, you must pay the lessor on time, regardless of the level of cash on hand. If you lease the larger items, you can budget to save and purchase your own later, and still have management and promotion funds available now. Find out the Financial and Tax Implications of leasing versus buying for your individual situation.

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