Rhonda Abrams in USA Today:
Congratulations, you’re starting or growing your business. But you’ve got to spend money on equipment, computers, furniture and vehicles. With each, you face the same question: Should you buy, or should you lease?
- Buy less expensive items; lease more costly ones. It doesn’t make much sense to lease a fax machine or printer — they’re only a few hundred dollars. But if you need a major piece of equipment, don’t tie up your cash.
- If you’re unsure of your plans, get short-term leases. Don’t burden yourself with a lot of stuff you won’t know what to do with.
- Check with a tax adviser. Always understand the financial and tax implications of leasing vs. buying for your individual situation.