Having reliable equipment can make a huge difference in being able to deliver for a customer and leaving them hanging. Having said that, you don’t want to overbuy. A great example is if you need a copier. Standard copiers today scan and email documents, and that’s great, but buying the very biggest and best machine is often unnecessary. Buying a shredder? Do you really need the one that can clear the rain forest in under an hour? It’s unlikely.
We have a few tips that will help you get high-quality equipment without going over budget. Remember, the money you keep can be spent on other important things, like marketing, bonuses, or even a fun night out.
Find Outgoing Competitors for Great Deals
If you’ve been in business even a year, you’ve gotten to know some people in your industry. Over time, some competitors are going to close up shop. It could be retirement, bankruptcy or any number of reasons.
The question is, what will they do with their equipment? After all, are they going to need all of their filing cabinets anymore? What about the old work truck? Perhaps they have a copier that simply won’t fit the decor of their home.
In cases like these, business owners are ready and willing to part with good equipment for a fantastic price, particularly if you’re paying in cash.
It’s not unusual to get office furniture, computers or even machinery for 10-25 cents on the dollar. All you have to do is pick it up.
Accelerate Depreciation for a Great Tax Break
Once you have the equipment there’s a great way to decrease your tax liability at the end of the year, and it deals with depreciation.
Let’s say you bought a $20,000 machine that has a 10-year life, according to its amortization schedule. You could use accelerated depreciation to bring its book value down to zero in a shorter time period.
This is very valuable when you want to decrease your company’s tax burden, saving hundreds, if not thousands, of dollars in the short-term.
Always Put Quality First
In the end, quality must be paramount when purchasing equipment for your company. You need something that will get the job done. There are many business owners who shirk their responsibility in this area, thinking it won’t make a difference, but it never fails to leave a lasting impression on customers.
When it comes to buying equipment, the best place to go is the closing sale of a competitor’s business. They’ll be happy to part with just about anything for a fantastic price, and you will be able to get something you need. This could include an ergonomic chair for your desk, a case of #11 business envelopes, or even Jan-San products, such as toilet paper, cleaning solutions and more.
Costs of Promotional Materials
Marketing is too important to let slide. While many people consider large campaigns on the TV and radio, they often forget that effective marketing can be done for a very favorable cost, and the actual promotion can be repeated over and over without paying for it multiple times.
This is done by purchasing promotional materials. You’ve seen them many times without even taking notice. In fact, if you were to get a pen out of your car right now it’s more likely than not that the pen has a promo of some kind, be it a hotel where you stayed, the bank you just went to the other day, or an insurance agency.
These pens are relatively effective, meaning that they cost little, and the company gets their money’s worth out of them. And that’s the key! However, if promotional items cost more than you can budget for, you might consider emergency business loans.