Why 8 in 10 Small Businesses Lease IT Equipment
According to a recent Gartner report, worldwide IT spending is projected to total nearly $4 trillion in 2019 as companies race to keep up with the latest technology. Staying ahead of the technology curve is critical. However, the balance between getting the latest tech to remain competitive and keeping a healthy cash flow can be tricky, especially for small businesses.
The solution for more and more businesses is to lease—instead of purchase—their IT equipment. In fact, Equipment Leasing and Finance Association reports that eight in 10 businesses finance equipment.
Worldwide IT Spending Forecast (Billions of U.S. Dollars)
|2018 Spending||2018 Growth |
|2019 Spending||2019 |
|Data Center Systems||210||15.5||204||-2.8||207||1.7|
Source: Gartner (April 2019)
Growth in Leasing
Small businesses must invest in a more robust and secure network that protects their data and allows them to better serve their customers through digital services.
Keeping pace with the rapidly evolving digital transformation is key to staying in business; yet it can be expensive. (link to Couchbase)
So how can small businesses–many with limited resources to spend on new technologies–compete? They join the growing number of companies that view IT as an investment instead of an expense. That changes the equation.
With the right approach, IT investment is an opportunity to make your business more competitive and efficient to manage. When a small business chooses leasing, it will save on upfront expenses to reinvest in innovation and boost growth or to focus on other priorities.
Cisco surveyed IT professionals in the Spiceworks community about their experience leasing IT networking equipment. Here is what Robert Hummel, with 43 years experience as the IT Director at Cheshire County Keene, had to say.
“There are many factors from an IT perspective to consider. In times of rapidly advancing hardware, leasing makes sense. It gives you the opportunity to upgrade your hardware at set intervals. Doing one-third or one-fourth of the company at a time can help with IT workload planning as well.”
Why you should consider leasing
an almost cost-neutral technology refresh capability. It keeps your equipment
up-to-date and secure, which is important when comparing the long-term value it
brings to the overall organization. Your business can start benefiting from the
technology instantly, realizing increased productivity, without waiting for
budget to become available. Other benefits to leasing include:
- Predictable monthly expenses
- Pay nothing up front
- Stay on top with the latest technology, gaining a competitive edge
No one knows Cisco better than Cisco
Many small businesses turn to Cisco for technology innovation, but few know that Cisco can also help with financing. Our goal is to help customers get the best technology to optimize their business in the most cost-effective way. Leasing lets small businesses, such as yours, match their technology and business needs. In addition, leasing helps you take advantage of the full benefits of the technology whilst staying in control of your cash flow and investment needs. With flexible payment plans, no upfront costs and predictable monthly payments, leasing provides immediate value and helps optimize cash flow for years to come.
A payment plan gives your small business immediate access to the latest Cisco innovations – to upgrade to the next-gen firewall, enable your network to keep pace with new digital needs, enhance your data center platform, and allow people to collaborate more effectively across your organization.
Buy now, pay over 3 years as low as £1,000
Let us help you get the latest Cisco tech at no cost to you and future-proof your business! Save your valuable cash and use our funds–cost free. You can spread the cost over 36 months with the option to add more solutions to the agreement as your business grows–so you always stay up-to-date.