Are you looking for server leasing? Selecting one is complicated.
Yes, we know.
In fact, you need to know the hardware specs, Microsoft licenses, backup, security and those technical jargons.
Bottom line? If you want fast, fixed monthly cost & excellent IT support, server leasing is a great option.
And we’re going to show you everything you need to know about server leasing.
Let’s dive right in.
What is Server Leasing?
Server leasing rents out a new server to your company. You can either place the server in your office or a data centre. Through this, you get to avoid a high upfront fee and costly IT maintenance. Depending on your preference, the leasing period can be from 1 to 3 years. Some benefits include a peace of mind and fixed monthly cost.
Why do You Need Server Leasing?
Paying upfront for an on-premise server has its benefits as well as the downside.
the responsibility of the server is on you. You incur the cost of IT outsourcing services, security and the administration of the server.
Not forgetting, an IT owned asset depreciates over time. So this is where server leasing comes into the picture.
Below are the reasons why you need server leasing:
Low Monthly Cost
New servers are expensive upfront. The price includes hardware, software license, backup, security and hardware redundancy. On the other hand, server leasing gives you a predictable fixed low monthly cost.
When server leasing ends, you can choose to end or renew. Either way, the leasing company takes back the old server. Best of all? You don’t have to figure out how or where to dispose of the server. It also reduces the burden of asset depreciation.
With zero or little upfront capital cost, you can manage your cash flow better. You can channel your resources to other investments. Or use the resource to buy goods for your customers.
With a fixed monthly cost, it’s easier to do IT budgeting for the new financial year. You can spread the expense over each month. There’s no unexpected cost due to hardware repair or troubleshooting. Also, it allows you to make a budget based on needs rather than a capital requirement.
With leasing, you can upgrade your server by topping up your monthly cost. This flexibility enables you to improve server performance. Most importantly, you can keep up with the changing business needs.
Server Leasing vs Buying On-Premise Server
Should you lease or pay in full for a brand new server? To guide you in the right direction, below are the quick comparisons.
Lower fixed monthly cost
One time high upfront & maintenance cost
Server leasing company handles all the maintenance within the leasing period.
You have to take care of the IT maintenance by yourself. These include software updates, hardware replacements, and engaging IT professional.
Top up on monthly leasing cost.
Cost for labour, hardware & software upgrade is upfront.
Reflect as IT expense as there's no IT asset depreciation.
Reflect as IT depreciation expense in your profit & loss statement.
Claim smaller tax monthly during the leasing period
Able to claim total tax in one go.
Server Leasing vs Cloud Server
How about choosing a server leasing over a cloud server? Both have benefits and risks to consider. Below are the comparison factors between the two that might help you in the selection.
Data Transfer Speed
When you place the server in your office, it’s fast. It also allows you to move a bulk file (for example, software image) faster. But, the cloud server is slower in moving bulk files due to internet speed.
Whether it’s cloud or leasing server, it is prone to outages. There are many factors that can cause a server downtime — for example, hackers or power failure. Usually, the cloud server has better redundancy.
For confidential data, you may not want to store them in a public cloud server. A cloud server tends to have better compliance, but it is a frequent target of attack. Lease server is excellent to store highly sensitive data.
It’s easy to backup your data for both cloud and leasing server. However, restoring large files consumes time for both choices.
For high processing of small amount of data, cloud servers works well. But, if you are dealing with huge files and software, lease servers are more suitable.
With the lease server, you have total control over your data. Yet, with cloud servers, you have no physical control over your data. You wouldn’t know where is your data residing.
Both cloud and lease server is excellent for unlimited remote access. However, remote access for lease servers depends on your office’s internet connection.
Cloud server is inexpensive since there is no hardware. You need to buy software licenses for both types. If you need a high-performance cloud server, the overall cost can be higher than a leasing server.
How does it work?
The process of getting a new server may seem haunting. However, once you know what you want, it’s easy. The system integrator can build and integrate the new system into your office. Below is a quick checklist to define your requirements.
Who needs server leasing?
Different roles in a company have a different perspective on leasing a server.
Here is what’s important to them:
You’re wearing multiple hats and ‘firefight’ almost every day. Yet, generating sales is of your top priority. You prefer to fork out a low upfront cost for any new purchase. This cash flow helps you to preserve working capital to buy goods and pay salary.
You know that a healthy financial report is crucial for AGM and attracts new investors. It’s better to have reduced IT asset depreciation. And a better cashflow. When you have a predictable fixed cost, it’s easier for you to plan for the annual IT budget.
You have many reports and meeting to make IT work for business. The last thing you want is getting complaints from your users about IT. You want a fuss-free IT solution ready for business use so that you can work on the priority task.
You’re hired for what you’re good at. Though you may be IT savvy & helpful, you need to Google and takes time to troubleshoot your colleague’s IT issues. You would prefer to call a single point of contact when an IT problem arises. So that you complete your task (and go home) on time.
What’s in for you?
Through leasing, the server control and management remain with us.
You get to enjoy:
Peace of mind
When you apply for lease server, you are free from the responsibilities of the server. The leasing company takes care of maintenance and uptime. This leasing gives you time to focus on your core business.
You have a brand new machine after completion of the leasing period. And you can expect high uptime due to healthy new server.
What Our Customers Say
Providing IT Maintenance for companies since 2009
Cheefoo is very resourceful and I always ask him for IT advice. His team was in charge of several difficult server migrations and did the projects well. Whenever we need any procurement or new IT requests, we always check with Connectbit.
Very pleased with your quick response to our IT concerns
We would like to express our appreciation of an excellent job done by you and your team for our recent IT full system transfer and upgrade works at our new office.
It was indeed a remarkable performance in terms of service, commitment and workmanship by your team despite the time constraint and frequent changes. We also very pleased with your quick response to our IT concerns.”
Great service provider we ever have so far
You and your company always give us whatever supports we were required. You are one of the great service provider we ever have so far. Well done and keep it up…
Fast lease approval
You are given a fast response when you apply. Thus, it enables quick implementation and service delivery for your company.
Our entire technicians are familiar with the hardware and system. Thus you don’t have to worry about service delivery and reliability.
Wide variety of servers
Depending on your business needs, we provide the right one for you. Even if it’s an entry server, we’ll settle for you.
Contact us today to get a quote for your new leasing server. We’re more than happy to hear from you.
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