One of the main factors influencing your decision to buy a new copier/printer is likely the cost. A new copier is an investment that will be well worth your money. A high-quality multi-function printer (MFP) provides print, scan, copy, and fax all in one machine to decrease clutter in the office and increase productivity.
When someone purchases an MFP, they might discover a few charges on the invoice they didn’t expect. People often refer to these as hidden fees. We are going to discuss several fees that tend to catch people off guard so that there are no surprises in your buying journey.
Make sure you have read our guide that breaks down the base costs of a multi-function printer (MFP) before discussing the hidden costs.
After reading the cost guide, and going over the fees we discuss today, you’ll have a better understanding of what you should be budgeting for your business.
5 Commonly Overlooked Fees
1. Maintenance Fee and Click Rate Changes
On the date of your contract each year, you'll notice a small increase in the rates, usually no more than 10%. This is due to wear and tear and the amount of service increasing. Additionally, if you have your copier for long enough parts becoming harder to find.
If you prefer, you can opt for the price to be “fixed” at the start of your contract. This will keep your maintenance and click rate the same price for the term of the contract, but it will be higher. We typically don’t recommend this option. Start with the lower payment and understand that you’ll see a small rise in the rate over the years.
2. Lease Document & Insurance Fee
The Lease Document fee is the one-time charge from your leasing company. This fee is only for leasing.
Another fee that is required when leasing a copier, is insurance. The insurance fee covers natural disasters like earthquakes and floods. The cost of the insurance fee depends on your machine. For example, a $15,000 fee would be $15 per month for insurance.
Most business or home insurance do not cover copiers. However, if yours does, provide the copier vendor with proof of insurance to avoid being double charged.
3. Property Taxes
While you may be a property tax-exempt business, your finance company is not, and that fee gets passed to you. How much this fee costs can fluctuate from place to place. For your convenience, we include the property tax fee in your leasing rate, unless otherwise instructed.
4. Shipping Fee for Supplies and Parts
We don’t charge a shipping fee. However, some vendors charge for shipping toner and other supplies.
5. Returning your Copier at End of Lease
At the end of your lease, you are responsible for the cost of shipping the machine back. We recommend asking for this to be included in your price at the start of your contract. This way, you won’t have any surprise fees at the end of your contract.
4 Potential Fees
There are a few potential fees you could encounter, depending on your agreement. Your sales rep will address these fees to make sure you are getting the best deal possible. However, some are things listed below you’ll just need to keep in mind.
Initial training, when your machine gets installed, is typically included. If you hire new employees and want additional training, there could be fees for this service. However, Xerox offers many free online training recourses that you can use instead.
2. Maintenance (if you did not purchase a maintenance plan)
Without a maintenance plan, you will be responsible for the costs of any parts that need replacing. As the years go on, like any piece of machinery, the copier/printer will need more maintenance. Therefore, we recommend the maintenance plan, so you’re not stuck spending hundreds of dollars a month in repairs.
3. Not Canceling your Contract on Time
Some companies will automatically extend your lease and/or service contract by several months to a year if you do not cancel on time. Make sure you understand the terms and conditions of your contract. We want you to be aware of this common issue that can arise.
This one is entirely up to you, but at some point, you could want upgrades on your machine. With most vendors, you can upgrade at any time. However, depending on where you’re at in your lease, it might not make financial sense. This is something to keep in mind for the future.
The costs we discussed above are often referred to as hidden costs. It can lead to some understandable frustrations when you receive your bill and see charges you were not aware of. Hopefully, this article eliminates your fear of hidden costs. Strategic Technology Partners of Texas is dedicated to making sure you know exactly what to budget for when buying a new copier/printer.