Outright purchases traditionally have been the norm in South Africa, but all that is changing. Following international trends, South Africans are becoming more aware of various other solutions to furnishing your offices other than purchasing office furniture outright.
For businesses where cash is required and better utilised as working capital, the lease rental and hiring solutions make financial sense as one can manage ones operational expense over a period of time without the big cash outlays – amongst other benefits.
With a lease rental you can amortise the cost of procuring office furniture over 3-5 years and avoid the big cash outlay required for purchasing furniture upfront.
In addition, you can write off the full monthly instalment amount to tax as an operating expense and keep the furniture off your balance sheet which would otherwise be a depreciating asset.
This convenient and flexible solution does require a credit application process where you will have to independently qualify for finance as you would for any financial institution.