New vs. Used Networking Equipment

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July 19, 2012

When purchasing network equipment for a company, you have the choice to buy new networking equipment or buying used networking equipment, and obviously both have benefits. Networking equipment plays a vital role in the world of business, and for that reason, time and care should be taken when deciding on your preference. Here, we will explore the two choices in more detail.

New Networking Equipment

One option for new networking equipment, if you want to lower the initial cost is to lease the equipment. Leasing network equipment offers a way to avoid the substantial capital expenditures that are necessary each time a change or upgrade needs to be made. Additionally, the lease payments for the equipment simply become part of the operational expenses of the business contrary to a large capital expense that is incurred every time a change needs to be made. These lease payments are typically much easier to budget. One downfall to leasing the equipment is there is no equity in the equipment and there are ongoing service payments.

Buying new networking equipment is advantageous because it allows the business to customise their network. In addition, the company will earn equity with the equipment over time. However, purchasing new networking equipment can be expensive and will require a significant capital investment each time an upgrade is necessary.

Used Networking Equipment

Used networking equipment often offers a great alternative to leasing equipment and buying new. The used equipment can typically be customised to meet the needs of the business allowing for some control and flexibility over the network. Additionally, the cost of this type of equipment is much less than the cost of new equipment. However, the problem with buying used equipment is that it may not be as reliable and support will be next to impossible to receive without cost. If you do not have somebody to work IT in your company and there is a network issue, and you do not have support, then this can take hours to fix.

When considering a network for a business it is important to consider all aspects of buying new networking equipment, buying used networking equipment, and leasing network equipment. When it comes down to it, your decision will probably be based on budget, and as this is the case, taking the time to budget for the expense of networking equipment and considering all the aspects of each type of equipment is crucial.

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