There was a time when the only options available to companies when it came to their business technology was to either buy or lease it. That created roadblocks for smaller, undercapitalized entities and start-ups who did not have the cash to make a full purchase and may not yet have established sufficient credit to be approved for a lease.
Today, those roadblocks are removed with brightstack’s Technology Rental Program. We offer a rental option for your hardware needs (including laptops/desktops, servers, storage devices, phone system, etc.) which translate into a predictable monthly expense with no upfront capital outlay. Unlike a leasing program, there are not “early termination” fees, and you are not responsible for the ongoing maintenance of your equipment. You simply pay a monthly fee, which covers all of the services associated with your equipment and software, including:
- Hardware maintenance and upgrades
- Software licensing fees (you will have access to the latest version of most common business applications, including Microsoft and Windows products).
Your equipment can reside on premise, in the Cloud, or a combination of both options (Learn more.)
And you can change this arrangement at any time. For example, if you initially decide to have on-premise servers and storage, brightstack can seamlessly migrate you to a Public cloud without increasing your monthly service fees (in fact, they are typically lower in most cases).
Our Technology Rental Program is ideal for companies who:
- Prefer a predictably monthly operating expense vs. a large upfront capital expenditure.
- Would like a trial period to determine whether the equipment is the right fit for the business.
- Have the need to quickly scale up or down as their business demands.
- Don’t want to worry about unpredictable maintenance or repair costs.
- Would like the tax advantages of equipment rental (renting equipment may be deducted on your tax return; check with your accountant or tax attorney).
- Would like to keep pace with technology in an affordable fashion, positioning them to better compete against larger or better capitalized competitors.
Purchasing Equipment Still Has its Advantages for Some Companies
For some companies, there are compelling reasons to want to own their own business technology. Like owning your own office building, purchasing your equipment is a capital expenditure which can increase the value of your business assets and provide tax advantages (the purchase is depreciated over the “life” of the equipment; again, check with your accountant or tax attorney for advice). You have complete control and flexibility with your technology when you purchase it; you can make modifications to suit your unique needs and you can manage your data, storage and server provisioning internally. Some companies with highly sensitive data can feel that their own equipment gives them more control over their security concerns. You have complete control of who accesses your systems, your software and your data.
Here is a summary of the advantages of buying vs. renting:
- Purchasing equipment adds assets to your business.
- You can take advantage of tax depreciation benefits on the items that you own.
- Once items are paid for, you’ll pay no additional monthly expenses for simply keeping them.
- Any technology you own is always the property of the company and doesn’t have to be returned.
A brightstack representative will carefully review both options before you have to decide. And as mentioned previously, with all matters of a financial and/or business tax nature, it is best to consult your own accountant or attorney as well.