The Benefits of Renting a POS System for Merchants
As merchants dive into best practices for meeting ever-changing customer preferences, the subject of renting a point-of-sale device — instead of purchasing — comes up.
Often shop owners don’t know what a rental entails and how they can reap the benefits right away and in long-range plans. A little bit of homework, some research and a tad of Google may help to understand the idea of Hardware-As-A-Service (HaaS).
Multiple benefits accrue for small merchants with HaaS. The apparent advantage is economic savings. Buying one (or several) devices may be prohibitive, while the cost of renting is more manageable. Further, since the machines are rented, adding or subtracting POS devices as needed is easier — just another way a POS system benefits shop owners.
Maintenance and Tax Issues
By renting, the burden of dealing with technical issues falls on the provider. The provider will update software and repair hardware; two more benefits smaller shops without deep pockets can enjoy. And we haven’t even talked about the ongoing maintenance.
Often there is a tax benefit given to smaller businesses when they rent. Buying equipment is a capital expense, whereas renting is merely a service — services come with less tax liability. Often, depending on specifics, rental costs may be tax deductible.
When shop owners think about ways to leap to the next generation of devices, the problem highlights the benefits of HaaS. It is expensive to purchase new point-of-sale terminals even just once every ten years, but with HaaS the technology is updated by a provider every few years. The machines never drift into obsolescence. When other issues such as liability arise, there’s nothing to worry about.
For small merchants, HaaS is like leasing a car but also enjoying a top-notch service program, which ensures everything remains up to date for the life of the lease.
Boots on the Ground
When contemplating how a service plan can help a small shop, one benefit to keep in mind comes from the certainty which service provides. If a device experiences any down time — ever — it won’t require hours, or days of waiting for a third-party provider to fix the problem. The HaaS provider can deal with the problem quickly, and get stores back to peak efficiency in a short time. Not to mention reduced stress on the owners — the smooth service program aids businesses over the life of the contract by streamlining operations which are unseen by the buying public.
Besides relieving stress from maintenance and repairs, the entire purpose of upgrading is to increase the security of each transaction. Mobile billing is more secure than magnetic strip cards, so extending a stronger posture to security helps the operation’s back end.
Designed for Small Merchants
Although big businesses have the cash to go with high-end security and the latest tech-upgrades as often as they need to, that isn’t the situation for small and medium-size enterprises. Merchants should ask themselves if HaaS is right for them as concerns:
- Cost, and
The more ‘yes’ answers, the more HaaS will be useful, and more shop owners will be enjoying POS systems benefits everywhere.