Compare the same period and equipment.
Use equivalent equipment and a comparison period at least as long as the finance term. Ownership maintenance is included for both purchase options. Rental maintenance is separate so a maintenance-inclusive rental can be entered without adding it twice. Rental increases apply every 12 months.
Cash cost and ownership are different questions.
The ownership options assume the equipment is sold for your estimated resale value at the end of the comparison. The rental deposit is assumed to be fully returned then, with no asset resale proceeds. The chart shows cumulative cash outflow; a fall at the end reflects those receipts.
Finance uses a constant nominal annual rate divided by 12, with month-end repayments. Any balloon is settled at the finance term-end, and service fees stop then. Upfront fees are paid in cash rather than financed.
Read the result alongside the contract.
The lowest modelled net outflow is a cash-cost comparison, not a recommendation. Consider affordability, equipment condition, flexibility, maintenance obligations and expected resale. The model excludes discounting, tax deductions, depreciation, VAT recoveries, insurance and early termination penalties. Enter amounts on the same VAT basis for all options.
Put the plan into practice.
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