Renting Means No High Fixed Cost
It’s true if you rent your tech and equipment for your business you won’t have to pay a heavy fixed cost at the start. Instead, you can look forward to smaller costs that you’ll need to pay throughout the life of your business that ultimately is far more affordable.
You might think that getting the cost out of the way is an advantage but don’t be so sure. If you have a bill for renting tech, in the grand scheme of all your other business costs, you’re probably not even going to notice it.
Buying Means You Own It
Yes, it is useful to know that you own your tech. That means that you’ll be able to get it fixed or scrapped whenever you want. You also won’t be tied down by what company you need to use for repairs. This is often the case if you rent tech and it fails.
Usually, you’ll have to get it fixed by a specific company, and they may not be offering the best deal on the market. Ultimately this could drive the cost of renting up further than you’d expect. Don’t forget, if you do want to buy, you don’t have to settle for a huge expense that is difficult to pay.
Instead, you can use a service such as http://workingcapital.co. That way, you’ll still own the tech, but you’ll be able to pay it off gradually, just like renting. It really does give you the best of both worlds here.
Keeping up to date
There is some debate as to which option provides the best deal for upgrades. Some people suggest renting is better because you can upgrade whenever you want. However, this isn’t true. Usually, when you rent, you will sign a contract agreeing to use the tech for a fixed period. If you want to upgrade before that time, you might have to pay the penalty.
While buying equipment might lead to larger costs, you will be in complete control of when you want to upgrade. The only issue is whether you’ll make this type of choice after already spending a fortune on the previous tech. You can look at the benefits of upgrading on https://www.forbes.com.
So which is the right decision here? Weighing up all the factors it seems that buying the tech is the best option. You will have more control, and as there are ways to escape the crushingly heavy first fixed cost, there really is no downside.
You can easily make sure that buying the tech fits into your business budget and then pay back the cost at a later stage in your business. If you do buy though, you should still only keep the tech for two to three years before upgrading. After this, it will start to cause you to drag behind the competition.
Rizwan is an avid mobile geek and a gaming lover. He loves to keep a tab on new Tech and loves to share latest tech news and reviews on Smartphones, Gadgets, Apps and more here on cyberockk.