Electronic security systems are an essential component of any modern business. These systems provide added security, peace of mind, protection and deterrence against theft and other crimes. While some businesses may consider purchasing these systems outright, leasing electronic security systems can provide numerous benefits.
Lower Upfront Costs: One of the primary benefits of leasing electronic security systems is lower upfront costs. When purchasing a security system outright, businesses must pay the full cost upfront, which can be a significant expense. On the other hand, leasing allows for smaller monthly payments over the lease term, making it more affordable to implement a high-quality, robust security system.
Latest Technology: Additionally, leasing electronic security systems can allow businesses to stay up-to-date with the latest technology without having to pay for costly upgrades or replacements. This can be particularly important for businesses, as a company's security needs can change over time.
Tax Benefits: Another benefit of leasing electronic security systems is the tax benefits. The Canadian Revenue Agency (CRA) classifies electronic security systems as Class 8 property, which means that they can be depreciated at a rate of 20% per year.
When leasing an electronic security system, businesses can claim the lease payments as a business expense, which can be deducted from their taxable income. This can help reduce the overall tax burden, making leasing more cost-effective than purchasing outright.
Flexibility: Leasing electronic security systems provides flexibility that purchasing does not. For example, businesses may be able to add or remove components from their security system as their needs change, and upgrade to a newer system at the end of the lease term without having to bear the full cost of a new system.
Additionally, leasing can provide businesses with more flexibility within their budget. Rather than paying a large lump sum upfront, they can make smaller monthly payments over the course of the lease term, which can be easier to manage from a cash flow perspective.
Maintenance and Support: Leasing electronic security systems provides businesses with access to maintenance and support services. Lease agreements include regular maintenance and support, which ensures the security system is functioning properly and lowers the risk of downtime and the significant impact system failures have on operations.
Leasing electronic security systems can provide numerous benefits over purchasing outright. With lower upfront costs, tax benefits, flexibility, and access to maintenance and support services, leasing can be a more cost-effective and convenient option for businesses.
