Deciding to invest in a commercial coffee machine for your business can be a daunting prospect, but it’s one that can be made much more manageable though leasing, rather than buying outright. Whether you’re thinking about getting a bean to cup machine for the office or an espresso machine for a bar, the upfront cost of an outright purchase can be significant as they are not cheap pieces of equipment. A coffee machine lease gives businesses the option to spread out the costs into easy monthly payments to remove the financial burden of purchasing. Leasing can be a great option for coffee shops, cafes, restaurants, offices, and just about any other professional setting that may require a coffee machine. Before you decide to jump head first into a lease contract, however, take a look at the pros and cons associated with leasing a commercial coffee machine to make sure it is the right option for your organisation.
The Pros Of A Commercial Coffee Machine Lease
- Ability to spread the cost into manageable monthly payments
- Option to own after the lease period ends
- Able to afford a better model than you would be able to if you bought outright
- Option to upgrade if your circumstances change
- No upfront costs
- Lease payments are tax deductible
- Avoid spending a large amount on the wrong coffee machine
- Tech support and servicing from a company you know and trust
Spread The Cost Into Manageable Monthly Payments
The main difference between leasing and renting is that at the end of the lease period you have the option to of ownership, meaning it retains its value within your business. Renting, on the other hand, does not give you an option to own and is usually more expensive than leasing over longer periods of time. We don’t recommend renting if you require a bean to cup machine for longer than 2 years. However, renting can be a better option if you only wish to have a commercial coffee machine for a short period of time. Leasing is essentially a form of loan, where you pay off the cost through monthly instalments. Purchasing a coffee machine for the office, cafe or shop can be a daunting prospect as they often come with a pretty hefty price tag. However, investing in one is a significant addition to any business. A commercial coffee machine lease allows businesses to spread this initial cost into monthly payments, which makes measuring the return on your investment much easier. With no upfront costs, other than your first month’s payment, leasing is great options for small businesses and startups.
No one likes parting with large sums of money. By avoiding the large upfront costs associated with buying a commercial coffee machine, you are able to free up money for other business investments or for access in a cash-flow emergency. Leasing enables you to budget better with predictable monthly costs. It is also a tax-deductible business expenditure, whereas purchasing an espresso machine outright is not tax deductible. Leasing enables you to easily work out of your monthly outgoings and income so you are always on top of your finances. Leasing is usually cheaper per month than renting and allows you to keep the machine at the end of the lease contract.
Get The Right Commercial Coffee Machine
It is sometimes difficult to know which option will best suit your business requirements, with various types of models, different daily capacities and capabilities available. You don’t want to spend loads purchasing a coffee machine for the office, shop or cafe only to realise later on that it was the wrong choice to make. Our reviews-based website allows you to read the reviews left by other people in the same sector as you on a variety of bean to cup machines, espresso machines, filter coffee machines, and hot drink vending machines, allowing you to make an informed and confident decision that is right for your business. Additionally, our helpful staff are also always on hand to provide any advice you require and point you in the direction of a vendor who can find your perfect match. Leasing gives you a certain level of flexibility to upgrade that you don’t get when purchasing upfront. It can be hard to predict changes in your business. If you experience unexpected growth, leasing gives you the option to adjust your lease payments to upgrade your commercial coffee machine, therefore meeting your increased volume. If you were to buy a certain model, you may find yourself needing to buy another one only a few years later due to changes in circumstance.
Afford A Better Model
By spreading the cost into small affordable payments, leasing enables businesses to choose better commercial coffee machines than they otherwise would have been able to afford had they bought outright. Being able to invest in a superior model, you are able to provide a finer coffee experience with better taste quality, a wider selection of drinks and more capabilities. By affording one of a higher quality, you will receive a more reliable and robust model. Coffee is a serious business these days, and you need either a bean to cup machine or espresso machine that is capable of meeting the high standards set by coffee drinkers. A filter coffee machine just won’t cut it now; people expect frothy cappuccinos, rich mochas and velvety lattes at home, at work and on the go. By being able to invest in a more expensive model, you will have more options to choose various high-tech features such as one-touch cappuccino makers, LED panels, touch screen displays and mobile app technology.
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Ongoing Tech Support
As well as a manufacturer warranty, businesses will be able to access ongoing tech support and advice from a company you know and who knows you. Feel secure in the fact that if something was to go wrong, your supplier will be able to organise a technician to fix it at your premises, so your coffee machine will be back to work in no time.
The Cons Of A Commercial Coffee Machine Lease
- The total price of the lease can equate to more than the cost of buying outright
- May be subject to penalties or fees if you wish to terminate the lease contract early
- Subject to credit check
- As with any contract, payments need to be paid on time to avoid debt recovery action
As with any loan subject to interest, a coffee machine lease may end up costing more over the agreed time period than the cost of buying upfront. However, leases are designed to be affordable for companies who, for example, would struggle to find the £13,600 required to buy a 3 group Sanremo Verona RS espresso machine up front. As lease payments are tax deductible this can help to offset the additional costs.
Tied into a contract
When you lease a commercial coffee machine you are tied into a contract for the agreed lease period. If you wish to terminate this contract before the end of the lease period, you may be required to pay a penalty or early exit fee. It is important to read the terms of your contract before agreeing to anything to avoid unexpected costs.
Subject to a credit check
It is common with a lot of loans to be subject to a credit check, this also applies before a coffee machine lease is offered to you. If you are a start-up company with a limited credit history or you don’t have the best credit, purchasing outright may be a more viable option.
Pay on time
As you will have signed a contract agreeing to monthly payments, you are liable to pay this on-time each month. Failure to do so can result in the lease company taking debt recovery action against you, which can result in repossession. However, leasing is an affordable option with small, manageable monthly payments that allow companies to safely invest in a bean to cup machine and easily keep track of their budget and spending.
Commercial coffee machine leases are a great option for a lot of businesses who would rather spread costs instead of making purchases outright. Coffee is quickly growing in popularity, so by investing in the correct equipment, you are adding a valuable asset to your business. If the cost takes you by surprise, don’t feel like you are not able to afford a high-quality espresso machine or a high volume bean to cup machine. Take a look at our website to find out more about how to lease a coffee machine, and whether it could be a viable option for you.
Our Coffee Machine Recommendations For Businesses
|Coffee Shop||Iberital IB7, La Spaziale S40, Rocket Espresso R58, La Marzocco Linea Classic|
|Café||Rocket Espresso R58, La Spaziale S40, Jura Giga X8, WMF 1500s|
|Restaurant/Bar||Jura Giga X8, WMF 1500s, WMF 1100s|
|Hotel||Rocket Espresso R58, La Spaziale S40, Jura Giga X8, WMF 1500s|
|Office||WMF 1500s, WMF 1100s|