Category: HaaS Los Angeles

The question of whether to buy or lease hardware equipment is one that plagues business owners and managers across the globe. There is no universal solution to this question. Leasing makes sense for some companies while purchasing is more prudent for others. However, an IT consulting team in Los Angeles can help you with that. Here is a look at whether leasing or buying is better:

The Case for Leasing

Leasing makes sense for business owners who have limited capital. It also will prove quite helpful for companies in need of hardware that must be updated fairly frequently. Once the lease ends, the company can upgrade to the next version. Leasing is also the best way to keep up with the life cycle as leases tend to run between two and three years. This is just about the amount of time required to upgrade. Leasing also helps to limit the initial cost. Preservation of cash is essential for companies looking to grow or launch.

There is also less paperwork to deal with when a company leases hardware. There is no need to fill out loan paperwork, visit the bank and so on. The vendor handles all of the equipment servicing, updates, patching and other adjustments from thereon forward. This outsourcing of maintenance work empowers your team to focus on what they do best. Add in the fact that hardware automatically depreciates as the years progress, and it is easy to see why plenty of small to medium-sized companies opt to lease.

The Downside to Leasing

There are a few negatives to leasing hardware. The long-term cost will inevitably be higher than the cost of an outright purchase. The customer does not build any type of equity in the leased equipment. However, some equipment might prove obsolete by the lease end. Another downside to a lease is the fact that the user is forced to make payments over the full lease period no matter what.

Buying Hardware Equipment

Established businesses and organizations that require equipment with a long life cycle are prime candidates to buy hardware. If your certain specific types of equipment won’t be outdated in the near future, purchase them to get the most for your money.

Buying also empowers you to take advantage of tax incentives. You can deduct some or all of the cost of newly bought assets. Equipment that is not eligible for this portion of tax deductions might prove eligible for others, like depreciation deduction. Meet with an IT consulting staff in Los Angeles for more information about the tax breaks available for buying hardware.

The Negatives to Buying

The main flaw with buying is the exorbitant initial cost. Initial cash payments might prove too high for certain businesses. The down payment will likely be a minimum of around 25 percent. There is plenty of paperwork to boot. When in doubt, reach out to our IT consulting for advice pertaining to hardware.

If you are looking for an IT consulting company in Los Angeles, Advanced Networks is at your service. Our IT support will minimize downtime, boost your digital security, enhance your team’s productivity and help your business grow. Contact us now for more information.

Corporate dependency on IT shows no signs of lessening. From onsite systems and desktop computing to cloud platforms and the Internet of Things, the need for your business to stay current— both with trends in IT and the state of your own systems— grows every day. Given that an effective business focuses on core competencies, how can your company both maximize its revenue streams and ensure all facets of your IT needs are being met without creating bigger budgeting and strategy headaches? The answer is Hardware as a Service (HaaS) from an IT consulting company in Los Angeles.

Fundamentally, HaaS gives your organization a way to let a provider take responsibility for meeting your hardware needs. Safe in the knowledge that your IT requirements are being met and at a budget that fits your strategy today and tomorrow, you can aim all of your investment in building your business.

What Are The Benefits Of Haas?

The exact benefits of HaaS vary between organizations and HaaS contracts, but at a headline level, they generally include:

1. No More Obsolescence – Your HaaS Los Angeles supplier will ensure your company’s IT hardware is always up to date. No longer do you have to worry about old, vulnerable, inefficient hardware.

2. Always Patched – The operating systems (OSes) and applications will be maintained on your behalf, with all updates and patches handled so you don’t have to.

3. Reduced Security Risks – Because your systems use up-to-date hardware, applications, and OSes, your company’s security is optimized. Old vulnerabilities are banished.

4. Eliminate Up-Front Costs – The cost of supplying and maintaining your IT hardware is wired into the supply contract and spread over the life of the agreement so you don’t have to worry about large capital expenditures.

5. Increased Available Capital – Because your company doesn’t have to find and fund the often huge capital outlay required to update generations of enterprise-wide IT hardware, you have more budget available to invest in building your business.

6. Fixed Costs – Your HaaS provider agrees to specified charges for your contract so you know exactly how much your IT hardware will cost for the life of the contract. With no more worry about fluctuating budgets, planning becomes much easier and more accurate.

7. Simple Billing – The administrative overhead and cost of directly handling the budgeting for your hardware are eliminated. You get simplified billing from your IT consulting provider in Los Angeles.

8. Scalable – With Hardware as a Service, you don’t have to worry about managing and budgeting for expanding hardware needs. Your HaaS provider takes care of it. There are no sudden capital costs to worry about.

9. Tax Benefits – In addition to all the day-to-day, long-term budgeting/strategy, and stability/security benefits, your company enjoys tax benefits from using HaaS services.

Hardware as a Service is not a totally new phenomenon. In reality, it’s simply a repackaging and repurposing of traditional business concepts. As the critical role of corporate IT grows, however, the benefits of using an IT consulting service in Los Angeles become ever greater. Don’t allow your business to be held back by real or perceived problems with your corporate IT— let an expert provider take the load off your shoulders. Contact us at Advanced Networks today and learn more about how we can help your business with HaaS and other IT needs you may have.