Rent to Own - IT Financing

Deciding whether you should purchase or rent your new server, PABX, CCTV or IT infrastructure.

Companies need to proactively deal with the rapid changes going on in the world and implement new technologies to improve business systems to keep customers happy and stay ahead of competitors.

Conserve your company’s cash flow by avoiding large upfront capital purchases with ASG’s rent to own financing.

More and more companies are renting their IT equipment from rental companies. Not only can this minimize the risks that firms have to deal with, but it also makes the process of upgrading IT equipment significantly lower.

ASG Benefits of IT rentals over new purchases

With this in mind, our IT support company offers cost-effective, and flexible rental solutions for IT equipment, while also allowing firms to keep the pace with the world’s rapidly developing technology.

To put things better into perspective, we provide customers with various forms of IT infrastructure and equipment, at low prices, meant to reduce the capital being spent on IT, thus allowing customers to focus their funds on other developments for their businesses.

IT financing and rentals for the following:

  • Desktops, Notebooks, Tablets, Multi Function Printers
  • Servers and IT Networking Infrastructure
  • Financing for Software licensing, labour and cabling
  • PABX equipment and handsets with installation and setup cost
  • CCTV security camera systems with cabling and installation
  • UPS and Generators
  • IT Security equipment and Firewalls

Rent to Own Financing

ASG offers cost-effective Rent to Own Financing with the option to upgrade at the end of your rental term.

What exactly is Operating Rental?

  • Operating rental represents a great strategy, meant to allow clients to use assets, without having to pay the full costs, by renting instead of purchasing.

  • This can usually be done via network support companies, and of course, IT support companies.

Why should you consider financing from our company?

  • To kick things off, we make the process of renting IT equipment extremely easy, and most likely have all the equipment that your business is in need of.

  • This makes us a great solution for both small and medium-scale businesses.

ASG IT financing made easy

What are the main benefits of renting equipment?ASG IT financing

  • Firstly, renting equipment offers customers the possibility to better budget their rental payment plans, according to their current cash-flow. The equipment being rented will always be top-notch and the best technology, thus keeping you ahead of the competition.
  • Avoid lengthy administration processes, such as updating your fixed asset register, depreciation schedules and so on.
  • IT Financing and Rentals shows up as an operating expense on your income statement, rather than showing up on your balance sheet as an asset. In return, this improves your companies gearing and credit health.
  • Renting also allows businesses to claim the VAT back from the government on rental payments.
  • CAPEX investment purchases can also be done, regardless of whether there is no CAPEX budget available.

Some of the other advantages and features of renting equipment include:

  • Rental payments can easily be structured to suit budget restrictions and any form of financial constraints, thus leading to more capital freedom.
  • Large budgets are not needed for better equipment, as you’re renting rather than buying.

Tax and VAT benefits associated with renting.

  • VAT will not be capitalized at the beginning of the renting period, but rather paid on a monthly basis, thus reducing the initial costs. VAT can also be claimed back in some cases.

Credit and deposit benefits

  • It's worth pointing out that no early deposits are required, thus helping reduce the capital outlay. Additionally, using renting rather than other forms of funding methods will not affect your businesses available credit facilities with the banks.

Upgrading and rental options

  • Perhaps one of the biggest benefits associated with renting equipment is the fact that equipment can constantly be upgraded, without having to spend large sums of money whenever the technology being used needs a boost.
  • Rental options from our company are carefully structured judging by the budget of each company. Based on this, numerous escalation options of 0%, 12%, 15% and even more annually are being offered. The rental terms range from 24, 36, and go up until 60 months.

Benefits of Renting

  • The administration processes also completely disappear, as the funds will simply be extracted from the company’s account on a monthly basis, hence no money needs to be sent separately.
  • Judging by everything that has been outlined so far, by renting IT equipment, customers can enjoy their full use while paying a considerably lower price, while also getting access to the top equipment available on the market.
  • Not only this, but if the equipment is used correctly, and business goes well, then chances are that it will quickly pay the renting cost all by itself, thus granting customers access to virtually free IT equipment.
  • We are probably the best choice from all computer support companies in South Africa, and offer operations in numerous cities, including Johannesburg, Sandton, Pretoria, Midrand, Cape Town, PE and Durban.

  • Apart from us, most IT companies in Gauteng don’t offer services of such a high-quality either.

Benefits of IT Financing and Rent to Own.

 Traditional instalment saleRent to Own
Explanation An agreement whereby the bank finances the clients’ purchases of durable assets (e.g. cars, laptops, tools, etc.), and the clients, in turn, confirm their promise to pay for these assets along with the bank’s financial charges over a specific period of time. An agreement whereby the owner agrees to pay a series of monthly payments for the right to use IT assets for a specified period of time.
Assets Typically, non-income generating assets, for instance, servers, CCTV, PABX other IT equipment. Such non-income generating assets as servers, CCTV, PABX other IT equipment.
Initial payment / Deposit Negotiable to fit our clients’ expectations Any initial rental may be negotiable to meet our clients’ demands
Title of ownership Protected by the bank. When the credit amount is fully repaid, the ownership is transferred to the client instantly. The renter transfers ownership of the asset to the legal owner at the end of term.
Payment terms All payments are flexible and structured. The clients can pay to the bank on a monthly, quarterly, half-yearly or annual basis. Flexible and structured payments. The renters can pay to the owner on a monthly, quarterly, half-yearly or annual basis.
Period There are non-statutory time limits up to 60 months. Within 60 months or the period of time during which a rental asset can be depreciated
End of Agreement Ownership is transferred automatically to the client. The legal owners get their assets back. The hirer can take out a secondary rental or negotiate for full ownership.
Taxation For business users, interest and wear-and-tear can be deducted from their taxable income. Total (excl. VAT) rental deductible from income statement for business users.
VAT The Value Added Tax is capitalized and reflected in the credit agreement. In some cases, the clients can claim a credit for the VAT charges. The Value Added Tax is due and payable on each monthly rental. Normally, the clients may claim an input credit for the VAT charges.
Tax Liabilities After the end of the agreement, there is no income tax implication. In some cases, when the sale proceeds are higher than the depreciated cost of the asset, there may be a recoupment. May be applicable when the renter obtains ownership.
Balance Sheet Implications An asset is capitalized and listed on the balance sheet. As a rental is a contingent liability and contingent asset, no long-term liability is recorded.
Balloon Payments/Residual Value Depending on the type of purchased asset, the balloon amount can be discussed with the bank. Residual value can be negotiated with the owner.
Interest Rate The interest rate is a market-related rate that is linked to BA rate or the prime lending rate. Generally fixed. Depending on the client, rental amount, and type of asset, this rate is negotiable and market-related. Linked to the interest rate derivatives or prime lending rate.


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National number: 086 100 5179
International: +27 86 100 5179
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115 Monument Road

Kempton Park, 1620 

Gauteng, South Africa

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