Just as you might find with other products and big investments, you can lease copiers under different terms.Essentially you get a choice in the way you plan to finance your copier as you use it for your business. It is important that you research all of your options because copier leases can last a few years.
The most common agreement you may encounter is an operating lease– which is sometimes referred to as a fair market value (FMV) lease. Basically the way this lease works is that the costs associated with the operation are accounted for, not the capital expense which can depreciate with time. And under this kind of lease you can write off expenses for taxes and get the money back. It also means that should at the end of your contract you decide to purchase the copier, printer, or multifunction machine you get it at market value. But you don’t have to purchase it. This is a popular option for businesses for exactly this reason. You don’t lose anything financially really and you get to pay only for what you use.
The other lease that you will hear often is a capital lease. It is referred to as a dollar-purchase option, or DPO for short. At the end of the lease the lessee gets to purchase the equipment for a dollar, or with a 10% purchase option they get to purchase it for 10% of its starting price. This sounds great but there is a catch. The monthly price is much higher. It is an option that a business would choose when they know they intend to buy the copier once the agreement expires.
These are the two major types you will encounter. Choose wisely.







