LEASE OR BUY
Equipment purchases usually involve a substantial financial commitment – the purchase price of the equipment and the cost to service and repair it. The primary reason to lease rather than buy an item is because the needed item is so expensive that its direct purchase is not possible and other financing mechanisms are unavailable or more expensive than leasing. In order to be considered for leasing, the item must have a value of at least $50,000 and must have CEA approval.
If the buyer decides to lease the equipment, provisions should be made for upgrading the equipment, if needed.For additional information see Leasing Policies and Procedures.
MAKING THE BUY
Once the decision has been made to purchase the equipment, the specification is prepared, the suppliers selected and the RFQ/RFP is developed.