A copier lease is a finance agreement for a photocopier, usually over 36, 48 or 60 months, with fixed monthly payments. The dealer supplies the machine and a finance house often holds the agreement, which some call an instalment sale or a photocopy machine on instalment. Service and clicks may be bundled in or billed separately. This page explains how leases are set up, escalations, what happens at the end of the term, the cost of cancelling early, and how to compare the quotes that independent dealers and leasing companies send you.
How a copier lease is set up
In most deals the dealer sells the copier to a finance house, and you sign the agreement with the finance house for a fixed term. Your monthly payment covers the machine. The service contract, priced per click, is with the dealer and covers toner, parts and call-outs. Some dealers put both on one monthly invoice; others bill them apart. Ask who the agreement is with, who you call when the machine breaks, and what happens to the lease if the dealer stops trading.
New businesses are usually credit checked and may be asked for financial statements or a surety. Ask early so the paperwork does not hold up delivery.
Escalations and the total cost
Many leases have an annual escalation, a percentage increase each year on the payment, the click rate or both. Over five years that adds up, so ask for the escalation in writing and work out the total you will pay over the whole term. Compare that with buying a new copier outright plus its own service contract. A lease spreads the cost and keeps cash in the business; buying usually costs less over the life of the machine if you have the money. Whether lease payments are tax deductible for you is a question for your accountant.
End of term and upgrades
Read what happens when the term ends before you sign. Common options are to return the machine, renew on a new machine, or carry on paying monthly. Some agreements renew automatically unless you give written notice a set time before the end date, so diarise it. Dealers often offer an upgrade in the middle of a term by settling the old lease into a new one. That can be useful, but check whether the remaining payments are simply added to the new agreement.
Cancelling a lease early
A lease is a binding contract. Ending it early can cost all or most of the remaining payments, and moving to another dealer does not cancel it. If your needs are uncertain, a rental on a shorter term may suit you better. When the machine is returned, ask for its hard drive to be wiped or removed, so that scans holding personal information do not leave with it.
What to put in your request
- Pages a month in black and in colour
- The lease term you prefer
- A4 or A3, colour or mono, and finishing
- When your current lease ends
- How long the business has traded
Photocopier Leasing for offices, schools and home offices
- Home offices: rarely worth it; a bought printer usually costs less than any lease
- Small businesses and shops: one copier on a 36 or 60 month lease with fixed monthly payments
- Corporate and head offices: fleet leases renewed together so every floor upgrades at the same time
- Schools, colleges and universities: an A3 copier leased over several years and budgeted for in the school fees
- Medical practices, clinics and hospitals: a leased colour multifunction copier with scanning to patient records
- Law firms, accountants and agents: a leased A3 copier for contracts and plans, upgraded at the end of the term
- Government and municipalities: leases through tenders or framework contracts with set rates for every site
- Factories, mines and warehouses: a leased mono copier for the depot, with service included for dusty conditions
- Churches, NGOs and community groups: a small leased copier when monthly giving is steady but a lump sum is not
Frequently asked questions
What lease term should I choose?
Can I lease a used copier?
Is a lease better than renting?
Do you arrange leases or finance yourselves?
Photocopier Leasing by province and city
- Johannesburg
- Pretoria
- Centurion
- Midrand
- Sandton
- Randburg
- Roodepoort
- Krugersdorp
- Randfontein
- Germiston
- Boksburg
- Benoni
- Kempton Park
- Alberton
- Vanderbijlpark
- Vereeniging
- Durban
- Pinetown
- Pietermaritzburg
- Richards Bay
- Newcastle
- Ladysmith
- Gqeberha (Port Elizabeth)
- East London
- Kariega (Uitenhage)
- Mthatha
- Cape Town
- Bellville
- Paarl
- Stellenbosch
- George
- Worcester
- eMalahleni (Witbank)
- Middelburg
- Secunda
- Mbombela (Nelspruit)
- Rustenburg
- Brits
- Klerksdorp
- Potchefstroom
- Mahikeng
- Polokwane
- Tzaneen
- Kimberley
- Upington
- Bloemfontein
- Welkom
- Sasolburg