Traditional Lease

Pros

• Low upfront costs
• Manageable monthly payment
• A good alternative to a cash purchase if the intent is to own the equipment
• Easily bundle in support services with the monthly payment

Cons

• The accounting of assets and liabilities may create unwanted balance sheet implications or financial ratio issues
• Capital will have been used on depreciating assets rather than appreciating assets or income generating projects
• Due to technology's rapid advancements, you may find yourself stuck owning outdated equipment that holds back your growth and competitiveness. 

Technology will certainly continue to change at a rapid pace. As much as possible, it is important for a business to understand their own needs in the short and long term when considering the purchase of technology equipment like unified communications, AV technology, video surveillance, cybersecurity, and any other related technology solution. If your company expects growth or change, a termed rental option like TAMCO Shield, technology equipment as a service, may better suit your needs. Be sure to understand all of the lease options that are available so you are able to make an informed decision.