Under-utilized
in-house facilities are costly to buy and expensive to maintain as well as
occupying valuable space. Swift
technological advances also make yesterday’s tools slow and inefficient.
When you
“farm out” tasks, you save on the costs of ownership and the substantial costs
related to the employment of the people required to do the work.
Outsourcing
allows you to have access to high levels of specialist expertise without
becoming involved in the hassle factors of pension funds, medical aid and leave
etc.
Cost
conscious companies also find that the purchase of equipment, which they use
continuously, unproductively ties up capital that can be used more productively
elsewhere. They tend to resort to
leasing.
The full maintenance
leasing of machinery and other equipment limits your exposure to the costs of
maintenance. Furthermore, it prevents
you from being subjected to the rapid depreciation of your out-of-date assets.
And lease
fees are also fully tax-deductable!
You will
often find that outsourcing certain functions costs you less and gives you
more.
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