Should I Buy Or Lease My POS Hardware?

Mar 18, 2021 | Weekly Articles

If you are a business owner and planning to invest in POS equipment, there are options you need to consider, the biggest is whether you should buy or lease. It may seem like buying is best if you have the funds, but there are benefits to leasing worth knowing and you may find leasing to be a better business decision for you depending on your business type.

As a POS provider, BNG Point-of-Sale has extensive experience in selling and leasing POS equipment. We have created this article to help you make the right choice by comparing the best features of both.

Benefits of buying point-of-sale systems

When buying, the average price of a POS system can range from $500 to up to ten thousand dollars, depending on the number of stations and functionality you need. If you are a new business owner or have overhead and certain marketing goals that limit available funds, you may benefit from another solution such as leasing. If you have the money, however, buying is a strong option. Here are some of the benefits of buying a point-of-sale system.

Cost Efficiency

The chief benefit is saving more money over the long term, and the longer that term is, the more profit you make from your investment. Much like buying a house, the more money you can invest in property upfront, the less you pay overall.

No Contract Needed

Unless your contract allows for easy maneuvering or canceling, you may be locked into a lease. This is especially true when working with less-than-reputable providers. Owning, however, is like buying a car with cash. You have full control over the systems and the ability to change them however and whenever you like.

Better Long Term Investment

If you buy a POS system that will only last for a year, then you’re back to square one. Remember, owning a point-of-sale system is meant to be an investment. It’s a fundamental piece of equipment that should bring money back into your business. The right POS system won’t COST you money; it will save you money and help you make more money.

Business Benefits Of Leasing

Immediate ROI

One of the major reasons businesses lease is the ability to gain maximum ROI right off the bat. By paying a lower payment at the start, they can reap the same rewards immediately as if purchasing one without paying the full price.

Wise short-term investment

If you’re just starting out and don’t have a lot of business yet, it’s a good idea to go with leasing. That way you start off with a smaller system, grow your business for a year or two before investing thousands of dollars in a POS system. Waiting to see what your needs will be once you’re established, you’ll enjoy perks like:

  • Improved sales solutions
  • Better and more powerful sales software
  • More sales hardware options
  • Increased sales functionality

For example, let’s look at credit card machines and credit card processors. You can accept more types of credit card payments and more processors to avoid or navigate high card processing fees. You can also opt for card readers that accept other forms of payment like chip cards and contactless payments.

Each option for businesses results in higher profits, both immediately and over the time of your lease.

Tax benefits

You also get some nice tax benefits. In most cases, you can write off your lease payments entirely as you pay them, rather than buying them outright and amortizing them over time.

If you are a new restaurant or retail location, overhead is a major factor. You may find that these incremental payments and write-offs are a major plus.


You can also analyze the results of your POS options and change your strategy more economically than if you bought outright. This gives your business a chance to test out what system you enjoy the best, as well as what key features your business will use the most. This benefit may not always be the case – particularly with less than reputable POS providers. You could find you are more limited than you would like, and may need to pay exorbitant fines for changing your systems. It’s important to look over your agreements carefully to make sure you have the ability to break the lease without significant issues.

Other hardware to lease

Leasing can be good for expensive items outside of your point-of-sale system. It takes many additional pieces of equipment to make a business run. One of the best things to lease is firewalls, wifi devices, and other networking services.

The Benefit Of Leasing-to-own Your Equipment

If you lease, you can choose between basic leasing (renting) or lease-to-own options. Lease-to-own means your lease payments work toward ownership of the systems. As a POS provider, we focus on lease-to-own as our HaaS (Hardware as a Service) because it is more economical for your business in the long run. Here’s why:

Best of both worlds

This option combines the short-term benefits of standard leasing as well as the long-term benefits of owning.

Payment anytime

Leasing-to-own also gives you the option to purchase when the time is right. You get the same benefits of a standard lease but with the ability to buy the items and save significantly over the long run.

BNG Point-Of-Sale offers lease-to-own options for POS systems, giving you a chance to enjoy a robust system upfront and pay for it over a long period of time.

What To Look For When Leasing A POS System

Clarity in sales costs

When leasing your hardware and software, it’s important to look at the numbers closely. If your POS system’s costs are low, the company may be trying to present attractive pricing on the surface and then charge you high amounts on the backend. Hidden fees are common with less than reputable providers. At BNG POS, we make sure all costs are clear at the outset.

Processing rates

Check to ensure the processing rates are fair. Do your due diligence and shop around, but don’t look only at the lowest cost because actual costs can be buried. This includes how costs are distributed. For instance, you may be paying a low rate on the hardware, but a high rate on monthly processing agreements.

Support plans

The more support you get on the backend, the more you benefit from reliable purchasing and protection. As a POS provider, we offer support options with all our HaaS plans.

Not sure what’s right for your business?

If you’re still not sure what’s right for your business when it comes to leasing or buying a point-of-sale system, why not chat with an expert? Contact us for a free discovery call. We’d love to learn about your business needs and give advice on what solution will work best for you, even if it’s for a competitor.

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