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When it comes time to expand your business’ IT capabilities, you may find yourself asking which servers are right for your business. The options can be confusing, and the wrong choice can end up costing you more in the long run. In this blog post, we’ll break down the three most common server options—renting, leasing, and lease-to-own—to help you decide which is right for your business.

Renting Servers

There are many advantages to renting servers, especially for businesses that need a lot of storage and processing power. For organizations that don’t anticipate needing servers for an extended period of time, renting servers is a popular option for businesses with limited up-front capital. When you rent servers, you pay a monthly fee to the server provider. The provider is responsible for maintaining the servers and ensuring that they are always operational. This is a huge relief for businesses that don’t have the manpower or expertise to do it themselves.

One of the benefits of renting servers is that you can scale up or down as needed without having to make a long-term commitment. This flexibility can be helpful if your business is seasonal or if you’re not sure how much capacity you’ll need in the future. However, it’s important to keep in mind that rental rates tend to increase over time, so you may eventually find yourself paying more than you would if you had leased or purchased the servers outright.

Leasing Servers

Leasing servers is similar to renting in that you make monthly payments to a server provider. However, with leasing, you have the option to purchase the servers at the end of the lease term for a predetermined price. This option can be attractive if you know that you’ll need the servers long-term but want to lower your up-front costs.

Another advantage of leasing servers is that you can often negotiate a lower monthly rate than you would pay if you were renting. This is because when you lease servers, the provider knows that they will eventually recoup their investment through the purchase price at the end of the lease term. However, it’s important to keep in mind that if your needs change and you no longer need the servers before the end of the lease term, you may be stuck paying for them until the lease expires.

Lease-to-Own Servers

With a lease-to-own agreement, you make monthly payments on servers just as you would with renting or leasing. However, at the end of the lease term, ownership of the servers transfers to your company automatically—you don’t have to make a separate purchase as you would with leasing. This option can be attractive if you want to own your servers outright but don’t have the up-front capital to purchase them outright.

One thing to keep in mind with lease-to-own agreements is that they often include early termination fees. These fees are charged if you try to cancel your agreement before the end of the lease term. As such, it’s important to be absolutely sure that you need the servers before signing a lease-to-own agreement. Otherwise, you may find yourself stuck with an expensive bill for servers that you no longer need.

Final Thoughts

There are several factors to consider when deciding whether to rent, lease, or lease-to-own servers for your business. The most important thing is to evaluate your needs and determine which option will best meet those needs both now and in the future. If you’re not sure which option is right for your business, talk to an IT professional who can help guide you through the decision-making process. ReluTech offers all three options when it comes to servers, storage, and networking devices. Request a quote today to learn more about your data center equipment options.

ABOUT THE AUTHOR | JASON FIGLIOLINI

Jason Figliolini is our Marketing Content Manager here at ReluTech. His top priorities are content creation for articles, blogs, and collateral to educate customers about cloud, hardware, and maintenance solutions. Outside of work, he enjoys reading books, attending concerts, and exploring Atlanta’s hidden gems.

Get in touch with Jason: jfigliolini@relutech.com

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