The Pros and Cons of Leasing Versus Buying

The Pros and Cons of Leasing Versus Buying | RYAN Business Systems

Is it time to replace an aging printer? Do you know if you’re going to lease or buy? Both options offer you pros and cons. Your final decision comes down to your specific business goals and needs, along with your cash flow.

Here are some of the pros and cons of leasing versus buying to help you make an educated decision on your next printer.

Business Leases

There are two leasing options available to businesses, they are:

Operating Leases: The most popular type of lease option because the payments are lowest. Basically, you’re renting your equipment and it is not listed as an asset on your corporate balance sheet. If you don’t want the hassles of owning, and always want to have the latest technology an operating lease is a good choice.

Capital Leases: Also called the “$1 buy-out lease,” these are less common and it’s more of a loan than a lease. At the end of the term, you have the option of purchasing the equipment for a pre-determined price. During your lease the equipment is listed as an asset on your corporate balance sheet, but the monthly cost is higher. If you want to buy, but can’t or don’t want to outlay the entire purchase price upfront, a capital lease might be an option.

Leasing Pros and Cons

Here are some pros and cons for leasing your next printer:


  • Leasing provides you with the latest technology
  • Low or even no upfront costs
  • There is no resale or disposal costs, and most leases include maintenance


  • By lease end, you will spend more than the original price of the equipment
  • If your needs change, you are under contract

Buying Pros and Cons

Buying, like leasing, offers pros and cons including:


  • Buying is less expensive than leasing
  • Because you own the equipment, you can sell at any time to recoup or upgrade
  • When you buy, there are no contracts
  • When you own you can choose your repairperson, leasing typically requires you use their recommended technicians


  • Initial upfront costs are higher
  • If you need to replace or upgrade you won’t be able to recoup the full value of your device.

Both leasing and buying have tax implications that can help you to make your decision – be sure to speak with your accountant or finance department to learn more. Ultimately your choice rests on your business and cash flow needs.

Contact us to learn more!



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