The Pros And Cons Of Leasing Office Furniture Versus Buying Office Furniture
When acquiring commercial furniture for a business, education center, health facility, or any other organization type, you have no shortage of choices. These choices include the style, the quantity, the specific furniture items, the colors, and the amount you will spend on it all. The last of those, spending, will be influenced by many factors, especially another choice you must make…Do you lease or buy commercial office furniture?
It is a choice that will influence many things, not least what you must pay upfront for your office furniture, any ongoing payments, and the total amount you will spend. It may also make a difference to the quantity, type, and quality of the office furniture you can acquire. Investing in premium quality furniture from trusted brands including Atama, would have more benefits than buying cheap furniture from Kmart or IKEA.
Ultimately, whether you buy or lease, office furniture will come down to which options you believe is the most advantageous. Determining that will require you to look at the pros and the cons of each option. If you are wondering what these pros and cons are, wonder no more, as we have laid them all out below.
Leasing Office Furniture
- Low Upfront Cost: You may have to pay a deposit; otherwise, you will not need to find a large sum of money upfront to pay for your office furniture.
- Upgrade Options: You might wish to upgrade some items as you use office furniture. This is much easier when leasing than purchasing new furniture.
- Maintenance/Repairs Covered: Most office furniture leasing agreements will include maintenance and repairs of any office furniture that develops an issue.
- Useful For Temporary Scenarios: If you require office furniture on a temporary or short-term basis, most office furniture lease companies will have packages that can accommodate those needs.
- You Never Own The Office Furniture: The office furniture will always remain the property of the leasing company and, therefore, can never be considered a business asset.
- Potential For Never-Ending Payments: If you wish to keep using the office furniture, you can only do so by paying your monthly lease fee, which could continue for many years.
- Early Release Penalty: If you return the office furniture before the date stated on your lease agreement, you must pay a penalty fee to the lease company.
Buying Office Furniture
- You Own The Furniture: Quite simply, by purchasing the office furniture, you own it outright, which can be considered an asset of your business.
- No Ongoing Costs: Given that you have paid for your office furniture in full, you will incur no long-term, ongoing costs.
- Tax Breaks: As the value of the office furniture diminishes, you might be able to write some of it off as part of your tax deductibles.
- Greater Choices: The range and diversity of office furniture available for purchase will massively exceed that of leased office furniture, and thus, you have a much more excellent choice.
- Bespoke Options: You may have a scenario in your office that requires bespoke furniture or the means to utilize it to suit. Lease furniture companies are unlikely to offer any such options.
- You Can Sell It: When the time comes to renew your office furniture, any existing furniture you have, assuming it is in reasonable order, can be sold second-hand to help fund the cost of the new office furniture you are buying.
- Large Payment Upfront: You must have enough liquid capital to fund your office furniture purchase.
- Maintenance/Repairs: Unfortunately, the adage “You own it, You fix it” applies, or at least you have to pay to have it fixed. In other words, owning office furniture after any warranties expire means you must bear the cost of any maintenance or repairs.