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[E285]Equipment For Small Business
by Akhil Shahani, Akh

While this might not be on the top of your must-do list, it is something that you have to devote some time to. Getting the right office furniture might not make or break your business, but it's still important when it comes to comfort, productivity and the image you will project to your clients.

For a small business office, here are the absolute essentials:

• Furniture: At a minimum, you will need desks, chairs, tables and bookcases or shelves. Remember that the furniture you choose will project the image of your business. Whether you go in for new furniture or buy used stuff, it should look professional. Go in for a coordinated look and a simple color scheme throughout. A simple, tasteful design can be very appealing to clients who visit your office on a regular basis.

Most importantly, look for furniture that is comfortable and suited to working on for at least eight hours a day.

• Telephone System: This is one item that you surely cannot do without! But carefully consider your specific needs before purchasing a telephone system. A phone isn't a simple phone anymore. There are so many systems available in the market with advanced features designed to confuse. Consider for example, whether an answering machine will suffice or if you need a voice mail service.

Make a list of what you would need to handle your day-to-day communication needs. Buy the absolute minimum at the outset; you can always add on as your business grows.

• Computer Equipment: Just about every business today has a computer that handles a variety of tasks from accounting to human resource management. There are a host of software programs available that will help you with accounting, billing, creating financial projections, writing letters, creating graphics and drawings and email!

Research what is available, and shop wisely. Again, you can always add on or upgrade as your business demands change.

• Copiers: You could either lease a copy machine or buy one. But before spending money on a copier, see if a multifunction printer that can print and make copies can do the job instead. If you still feel that your business needs a stand alone copier, go for the lease option. This way you can check out product quality and service beforehand. You can then choose to buy it.

• Fax Machines: Most PCs have fax features these days and many businesses rely on them for transmitting documents. It is nearly impossible to find a business that does not need a fax at some time or the other. Some businesses use stand-alone instruments while others fax via software and modem built-into their PC. Whatever method you choose, research the options available and make a wise decision.
With this basic equipment in place, you can get your business off to a good start. As your business grows, you will need to add on to what you already have. These tips should come in handy at all times.


Leasing Explained

Leasing consists on hiring an asset which remains the property of the lender but can be used by the borrower. The contract lasts for a certain time at the end of which the borrower has the option to buy the asset by paying a lump sum (usually a small percentage of the asset's value). If he chooses not to do so, the contract ends or it can be renewed by replacing the leased asset with a new one. It's widely used for cars and business equipment.

Benefits of Leasing Equipment

Leasing equipment has many benefits; it combines the advantages of renting equipment with those of possession by means of loan financing. Furthermore, the main advantage leasing provides is flexibility. Due to it's mixed nature, most terms are subject to negotiation.

No Money Down

When buying equipment you need either to put money down or request a loan in order to purchase the equipment. When you lease, you pay monthly installments and get immediate tenure. It's just like if you were renting the equipment only you'll be able
to acquire it if you want to at a later occasion.

Tax Benefits

When you purchase equipment, it adds up to your taxable assets. If you requested a loan in order to pay for it, you can deduct the costs, but the equipment remains your property. When Leasing, you only hold possession of the equipment, it remains property of the lender and thus, you can deduct the monthly payments and it won't add up to your taxable assets.

Flexibility

If the equipment becomes obsolete, you can always request it to be replaced with a new one. Thus, you won't suffer the consequences of obsolescence. You can have up to date equipment just by paying a monthly fee for it. Once you have no more use of it, disposing of it becomes the lender's problem and not yours.

Given all the technological changes that occur everyday, chances are that you will make an excellent use of this leasing characteristic. When it comes to starting businesses and businesses in the technological field or technology dependent, leasing is definitely the best financial alternative.

Fast Approval

Since the asset remains property of the lender, leasing doesn't have many requirements. The contract usually includes insurance policies attached to it so the lender get's rid of certain risks related to the equipment and concentrates on its concern (financing).

Nevertheless a good credit history contributes a lot to getting a good deal on a leasing transaction. Bad Credit can increase the costs of leasing operations and since leasing is not the cheapest financial option, if you have really bad credit, it might be wise to consider other alternatives first.

Article Source : Pg. 259

About Author
Both Akhil Shahani & Mary Wise are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.

Akhil Shahani has sinced written about articles on various topics from Buy a Franchise, Public Speaking and Education Toys. . Akhil Shahani's top article generates over 22200 views. to your Favourites.

Mary Wise has sinced written about articles on various topics from Credit Cards, Unsecured Loans and Debts Loans. . Mary Wise's top article generates over 18100 views. to your Favourites.
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