Options

Up-Front Expense

Credit Rating

Upside

Downside

Reliability

Tips for Success

Own

Down payment

Average

Resale up to 60% of purchase price

Locks money in Depreciates

High

Buy the best you can afford

Lease

No down payment

Strong

Deductible as an operating expense

No resale

High

Determine the true cost over time

Rent

N/A

N/A

Deductible as an operating expense

No resale

Medium

Watch for age and reliability of equipment

Contract Out

N/A

N/A

Deductible as an operating expense

No resale

Mixed

Pay promptly