Furniture Leasing Companies: Should You Buy or Lease?

In Blog, Purchasing and Value by Morgan Dix

A lot of colleges and universities buy their residence hall furniture outright. But that’s not necessarily the right choice for everyone. For some schools, working with furniture leasing companies to lease their furniture is the better route.

Of course there are pros and cons for both buying and leasing, but let’s take a little time to explore the benefits of leasing your residence hall furniture.

Based on this information, you can decide if leasing is the right option for you.

And one quick note before we start. At DCI, we’ve recently partnered with one of the most trusted furniture leasing companies. Why is this helpful for you?

Finding a leasing partner can take a lot of time. So if you decide leasing is the right choice for you, having a partner in place will help you skip a time-consuming and arduous part of the leasing process…finding a leasing agent.

The Benefits of Leasing Vs Buying

1. Conserve Your Capital

It’s expensive to furnish a residence hall. Buying long-lasting beds, dressers, desks, chairs, and tables can quickly add up to a lot of money. One clear and immediate benefit of working with furniture leasing companies is that it allows you to hold onto your capital for use in other areas.

You can generate other kinds of earnings when you keep your capital and that can make leasing more appealing.

2. Preserve Your Cash flow

One huge benefit of leasing is that it doesn’t require a downpayment to secure new assets. As a result, your initial investment is small and you don’t put a dent in your cashflow.

3. Deduct Your Lease Payments

Most of the time you can deduct your lease payments as business expenses on your tax returns. Overall that helps you cut down the net cost of your lease.

4. Enjoy Flexibility

Leasing terms are more flexible than other financing contexts. According to Denise Headley from Community Leasing Associates:

Normally beyond traditional methods of financing, leasing provides payment structures, terms and end of lease options which give you latitude to purchase your equipment, trade-up or add-on. Your specific needs define your lease.

The folks at quickbooks put it this way.

Leasing is flexible and offers more options when it comes to the type of equipment you get. You aren’t as restricted by high up-front costs or other hesitations to try something new that may help your business.

5. Upgrade Easily

If you aren’t happy with your furniture and you want to upgrade, leasing makes that easier. Through leasing you don’t have to bear the expense of that upgrade. In general, this is better for equipment with a short half-life—think computers and electronics—and may not be as important when it comes to long-lasting residence hall furniture.

6. Don’t Worry About Maintenance

Here’s another benefit of leasing. You aren’t responsible for the upkeep and maintenance of the furniture. If something breaks, the leasing company is responsible for fixing, replacing, or upgrading it.

So it’s clear that leasing has tangible benefits. Especially if you have capital constraints or want to dedicate your capital to other projects. If these benefits line up with your own needs, please feel free to reach out to us here. We’d love to support your efforts.


To set up an order today or to talk with one of our representatives, you can write to us here or call: (800) 552-8286.

You can also learn more about our industry-leading FSC CoC certification, our MAS certification, and our green materials sourcing, sustainable manufacturing, and our unique zero waste Vertical Integration Process (VIP).

Download the DCI Sustainability overview here.