Purchasing your point of sale system using leasing, rental, and finance options allows the merchant to immediately maximize the efficiency and control provided by a new POS system while minimizing the up-front investment and impact on cash flow by paying for the equipment over time. Using the “Money today is worth more than money tomorrow” rule, the relative payment becomes less and less of an impact on the business, while the system is depreciable and the interest is tax deductible. Regardless of the tax advantages, the increased efficiency, error control, theft prevention and opportunity provided by a POS more than compensates for any interest or cost to borrow.
For these reasons, Armagh offers a variety of solutions that allow you to pay over time and can assist you in finding the leasing, rental, or financing route that makes the most sense for your business.
Traditional Equipment Leasing or Financing
No need to go to the endure the slow processes at the bank to obtain a loan for an equipment financing arrangement, and merchants shouldn’t exhaust the convenient lines of credit needed for day to day operations for a medium term equipment purchase.
Armagh sales representatives will work with you to find a leasing plan that suits your needs and facilitate an POS system purchase that fits your business. Our simple application process only takes a few minutes and approvals are delivered quickly.
Our flexible leasing options can have variable payment terms that match your payments to predetermined budget allotments or seasonal variations. Leasing is available with step-up schedules, step-down schedules, or other creative structures that meet specific challenges. If you have a specific borrowing need, please let your sales representative know, we’d be happy to help you with it.
SaaS and PaaS Rental Programs
An alternative to leasing which has become increasingly popular are “Software as a Service” and “POS as a Service” programs. These are rental programs which turn a depreciating liability with a large up-front expenditure into a paid-over-time solution that usually bundles additional value like extended warranties and upgrades while having a negligible up-front investment. SaaS and PaaS also often requires no credit check as well, so it’s perfect for start-ups and struggling businesses attempting to improve their operations as well as successful operations just looking to turn a cap-ex into an op-ex to maximize cash flow and the service offerings.
Software as a Service
Software as a Service is also known as “SaaS” and refers to point of sale software product offering that is provided as a subscription. Rather than paying thousands of dollars for software licenses up front and thousands of dollars annually for upgrades, the software can be obtained and used for a reasonable monthly fee which includes both the license and the upgrades. The advantage of SaaS software products is that you can purchase the same software products without large cash outlays, converting the capital expenditure to an operating expense, and SaaS programs often don’t count as debt against the business credit profile and don’t require a credit check. Software as a Service products can be run on existing hardware avoiding any hardware expense, or, they can also be combined with a hardware purchase and can be provided as a part of a PaaS program.
POS as a Service
POS as a Service is also known as “PaaS” and refers to entire point of sale systems – which include both the Software as a Service (SaaS) and the point of sale hardware together, and is often bundled with other services such as extended warranties and upgrades, all for a monthly subscription fee. This type of program is similar to a rental service in that the merchant has a very small up front cost, and the software, hardware and services are spread out during their usage converting the entire capital expenditure for POS into an operating expense. As it is similar to a rental it doesn’t count against the business credit profile as debt and they often don’t require a credit check.