Just like phones, computers and projectors, a copier machine / printer is an essential Office Automation equipment. However, as the cost of these machines usually takes up a big chunk off the budget, the contemplation of whether to buy, lease or rent a copier / printer is a common consideration for most companies. In this article, we will discuss the differences between buying, leasing and renting a copier / printer in Singapore.
To simply put, buying a copier / printer is a one-time exchange of money for the asset. This option often requires a huge, upfront amount of money. This may be too costly for start-up companies that are bootstrapped for cash and for companies with little or tight cash flow. The matter in consideration here is the opportunity cost – should this lump sum amount of money be used to buy a copier / printer, or can it be better used for other investments?
Cost-wise, leasing or renting a copier / printer is more cost-effective because unlike buying, leasing and renting do not have an upfront capital outlay. Instead, a fixed monthly payment will be determined and mutually agreed upon in advance. This way, companies get to preserve their working capital and are provided with the flexibility to choose between a leasing or rental tenure.
A typical leasing or rental contract period can range between 3 to 5 years. Naturally, a longer-term tenure translates to lower monthly payment as the principal amount is amortized over a longer period. This is a good option for companies with a high utilization rate for its copiers / printers.
That being said, there are short term tenures ranging between a few months to a year as well. If a company is uncertain of its business outlook or has a low utilization rate, it will be best to go with a short-term leasing or rental contract for the copier / printer instead of buying one. Such companies can also consider a refurbished machine as it will be more affordable.
By leasing or renting instead of buying a copier / printer, it also helps safeguard against obsolescence from the quick and ever-evolving technology cycle. A technology refresh option, which allows companies to upgrade their existing IT infrastructures at a regular schedule, is usually available in a longer-term tenure. Otherwise, be sure to ask for that option.
Copiers / printers need constant maintenance. Some maintenance services include labour for break-fix, spare parts replacement, and toner and consumables replenishment.
When buying a copier / printer, maintenance services are usually limited to a certain warranty period or are sometimes not included at all. Similarly, when leasing a copier / printer, the machine is given on a lease from a lessor to a lessee. The responsibility of maintenance lies on the lessee, which means that maintenance services are not included at all. However, in some cases, a maintenance service contract may be added separately from the leasing contract.
On the other hand, when renting a copier / printer, there will be a full comprehensive maintenance service contract provided by the service provider to complement the rental agreement. This maintenance contract offered is in the form of a meter click that charges a per-click cost for every monochrome and colour printout. In return, all the toner, consumables and spare parts will be inclusive.
As these machines require constant maintenance, renting a copier / printer will provide the best value for money. This is a point worth considering.
Managed Print Services, also known as MPS in short, is a service that manages all aspects of your business printing needs. Machines include printers, copiers, scanners and faxes; and managed services include maintenance and toner replenishment. Think of MPS as an all-in-one package offered at a monthly fee by print providers. Some of these providers have taken MPS one step further by being able to collect data that track print usage down to department level.
One company that provides Managed Print Services is Adventus Singapore Pte Ltd. We provide multiple brands of copiers (Canon, Konica Minolta, Kyocera and HP) on various payment schemes, be it on outright purchase, leasing or rental basis. All copiers purchased, leased or rented from Adventus will come with our full-fledged Managed Print Services that include:
In conclusion, the decision on whether to buy, lease or rent a copier / printer ultimately depends on the spending capabilities of a business as well as their need for print. Commonly, companies tend to find more value in renting a copier because a lump sum amount is not needed, and it comes with maintenance services. But why not take it one step further with Managed Print Services? MPS is not only based on a monthly payment scheme, it also provides more value as the services provided are a lot more than just maintenance services.
At Adventus, we understand the business needs of our clients and will provide a Managed Print Services package based on the solution and services that best fit their requirements. If you’re looking to improve the way that print is being managed in your company, contact us now!
To end off, here are some points for consideration when selecting a machine:
Knowing the selection criteria can help companies better manage their printing costs . Feel free to reach out to Adventus to learn more.