How can a pizza shop equipment lease become an asset to your restaurant?
Pizza is one of the biggest meal-related pastimes around, especially in America, and that’s why pizza restaurants have a tendency to do so well. There are a few chain pizza restaurants, but the vast majority of them are standalone, startup businesses, run by one or more than one business savvy chefs who are aiming to make themselves successful.
The fact of the matter is, you can be successful as well with your very own pizza shop, as long as you make smart business decisions and set the entire system up appropriately. There are quite a few factors involved with running any business, especially a restaurant, like employees, location, furbishing, hardware, bills, permits, and more, and having anything in a business made easier is extremely convenient.
A good example is by getting a pizza shop equipment lease instead of buying the equipment. With a lease, you can easily get all of the hardware you need loaned to you at a flat monthly rate instead of paying for it. However, many business owners are still skeptical when it comes to getting a pizza shop equipment lease; they’ve heard horror stories about leases and don’t know if it’s the best move for their pizza shop.
So, when it comes to comparing leasing your pizza restaurant equipment and buying it, what should you do?
Why is Buying Equipment not always the best Move?
Many business owners have a sense of possession when it comes to their business, which is very understandable. After working so hard, it’s finally your opportunity to own your own business, and the idea of something being loaned out to you for the sake of your business just doesn’t quite feel right.
Buying hardware does offer you this benefit as well as the ability to claim the equipment as an asset, but the benefits stop there. When you buy equipment, it becomes tied to you in the sense that you paid a sum of money on it (most likely a good deal of money), you most likely can’t return the equipment, and it’s essentially a way to make you money.
So, in the case of most equipment, when the hardware breaks down or becomes outdated within a few years, buying the equipment is almost not worth it. Imagine spending all of your hard-earned money on a piece of equipment, just for it to break beyond repair or become another old relic technology-wise within a couple years.
You need longevity in your equipment, but that comes at a price that’s normally too high for business owners to afford considering their budget. Oftentimes, business owners will even take out bank loans to pay for the equipment they want to buy, which is exactly what they’re trying to avoid in the first place!
Overall, a lease acts like a bank loan with flat rates and other various benefits tailored to equipment leasing.
How does a Pizza Shop Equipment Lease Work?
Leases are very straightforward contracts: you pay a low monthly rate, and in return you are loaned whatever equipment you need for a pre-determined contract period. If you want to get rid of the lease, you can pay a cancellation fee to get out of it; otherwise, you wait until the end of the contract and can either get equipment upgrades, return the equipment, buy it, or keep leasing it.
Of course, many people fall prey to bad leases due to a lack of research and just picking the first lease that pops up. Leasing companies offer a wide variety of leases ranging in price, equipment, contract period, and other factors of the contract itself, and you need to know what you want out of that contract.
For instance, you don’t want to get a five year contract on equipment you won’t be using for five years, or you don’t want to pay too much on monthly rates to the point where the equipment is better off being bought. There are good leases and bad leases, and when it comes to getting a pizza shop equipment lease, you want to find the best deal possible.
Do your research on the equipment and the leases you look at, know what you want out of the lease, and above all, don’t settle: get the lease that you want. To learn more about how you can get a pizza shop equipment lease, click here.