Essentials to Successful Leasing
First, you should always establish the capital value. Copier salespeople are similar to car salespeople who try to get you to focus on the monthly payment, rather than the capital value of the machine. They attempt to get you comfortable with the monthly price to disguise the actual payment. However, do not fall for it. Always negotiate the price of the machine as if you were buying outright. When you have received your discounted price, ask the salesperson to calculate your lease payment based on the discounted capital value.
Avoid Unnecessarily Long Contracts
The typical lease contract runs 36 months, and we recommend most buyers stick with that. The exception would be when you need a high volume copier of 60 pages per minute, which makes a 60 month lease term appropriate. Shorter leases are better because ordinary copiers do not have a proven track record of durability, and if you decide on a 60-month lease term, you could end up paying for months on a machine that constantly breaks down. A lease company is only the finance provider, so they only want their monthly check and do not care if your copier jammed six times in one day.
Finally, know the expiration date and give your notice of cancellation early to avoid the ever-green clause that allows lease companies to automatically extend your original term. If you keep these things in mind, leasing becomes as advantageous as buying.