When Would Leasing Credit Card Processing Terminals And Printers Make More Sense Than Buying Outright?
When your bank credit is stretched, leasing may be your only option. Although you will be paying more for a printer and terminal, it has to be acknowledged that it’s the leasing company that’s taking the risk. Yours will be just one of a number of businesses the leasing company has taken on and view as high risk. Leasing companies categorises businesses as high risk because they wish to lease equipment from them in the first place. The assumption, which is not so far wide of the mark, is that companies that lease only do so because cash is tight, ergo there is a higher risk of them going belly up. As with so much in business life, your decision over leasing or purchasing will be determined by the availability of funds and credit. If you have the budget or access to low interest rate credit then go for a purchase. Having readily available funds also provides a negotiating position with which to beat down the asking price. If budgets are tight, leasing is the only answer. If you can pay
