A Guide To Buying "Off-Lease" Products

By Definition: Off-Lease

Typically businesses either buy or lease their business computers.  When they lease their computers, the computers will ultimately be returned to the leasing company at the end of the lease period.  Thus the term “Off-Lease” refers to merchandise that has been leased to, and used by, a customer, then returned to the leasing agent at the end of the lease period.

Upon receiving the merchandise at the end of the lease period, the leasing agent (or a third-party), inspects, repairs, cleans and re-packages the merchandise, then offers it for sale as “Off-Lease.”

The best way to describe an Off-Lease Computer is to compare it  to a leased automobile. A consumer leases a car for a period of time (usually for between 1 and 4 years), then at the end of the lease period, the car is returned to the leasing agent.  The car would then be evaluated, tested, restored, repaired, cleaned, and resold as a certified pre-owned automobile. In this same way, corporations lease technology products (usually for between 1 and 5 years). Then at the end of the lease, the computer is turned in, tested, restored, repaired, worn components replaced, cleaned, wiped and reinstalled, and resold as a Recertified Off-Lease Computer.

For businesses, institutions, public entities, and consumers alike; Off-Lease is a great way to pick up technology at deep discount pricing.  Plus, Off-Lease products have plenty of power and functionality to meet your computing needs.

However, there are some things you need to know first, to make an informed buying decision about Off-Lease products.

Quality Of The Off-Lease Product

There are several “grades” or quality designations for Off-Lease equipment, such as A, B, C, D, etc.

Some Off-Lease resellers will carry a range of Quality Designations.  However, it is recommended that you buy only Class "A" Off-Lease products.

Class A - product is in very good physical condition, and restored to fully functional condition.  The operating system has been reinstalled and the hard drives wiped and prepared for your use - just as though it was a new computer.  Usually sold with a limited warranty and some level of customer support.  It is recommended that you only purchase Class A Off-Lease Products.

Class B - product is in good physical condition, and restored to fully functional condition.  The operating system may have been reinstalled and the hard drives may have been wiped and prepared for your use - just as though it was a new computer.  These are typically clean, but older equipment (Windows 98, ME, 2000, NT).  Usually sold with a very limited warranty and no customer support.

Class C - functional, but little preparation for resell.  May be physically very worn or damaged.  Usually sold as is, with no warranty.

Class D - sold as is, typically poor or unknown condition, with no representations of functional condition.

Recertified Condition

As with a car, at the end of a lease, computers are returned to the lease agent.  Then a series of technical evaluations are performed to determine the condition of the Off-Lease computers. A technician performs several tests and maintenance activities. First, the machine is cleared of passwords and personal settings; then using special diagnostic software, the machine is tested to certify it meets original specifications including processor speed, memory, disk storage, Input/Output devices (and screen performance for laptops). The hard drive is then reformatted and the machine readied for reload of the operating system.

A Note About Software Licensing

The software (including the Operating System) should all be legal installations.  Therefore, only purchase Off-Lease products from a reseller that is also an authorized Microsoft reseller.  This will help you be certain that whatever software comes with the Off-Lease computer, is fully licensed for your protection.  Additionally, this also makes it easy to upgrade the Operating System - since you can purchase and Upgrade pack, should you choose, at much lower cost.

Age Of Off-Lease Products

Off-lease computers can be months (still carrying the manufacturers original warranty) to years old. Typically, Class A items will be less than 3 years old, and retain the majority of their useful life.  In today's marketplace, the difference between a couple year old system and a new one is generally not significant for normal office or small business use.  Always examine the specifications of the item being purchased to determine its features, and how they match your specific needs.

Types Of Off-Lease Products Available

Typically, the answer is all types: mainframes, mid-sized, servers, workstations, desktops, towers and notebooks. However, in practical terms, laptops/notebook computers, desktops, and servers are typically what are offered, since they are available in greater quantity, and are more universal in their application.  These are also the kinds of products that are most often leased by larger corporations.

Why Consider A Recertified Off-Lease computer?

Unless you require the latest in computer technology, such as with PC gaming, chances are your applications will easily operate on hardware manufactured during the past several product cycles. Remember, new computers are introduced about every 6 to 8 months, and in all likelihood, your business will operate perfectly on hardware produced in the last two to five years. This is especially true with a few low cost upgrades added; such as: memory, a second hard drive, better video card, etc.  With the availability of Recertified Off-Lease products, you will be able to leverage the corporate lease cycles for your benefit, at a significantly reduced price. 

Examples of perfect uses for Recertified Off-Lease Computers:

• Extra Office Systems
• Small Business Computers
• Home Office Startup On A Budget
• Young Children's Computer
• Computer For School Work & internet Browsing
• A Computer For Your Parents
• Internet Access System
• Low Cost Laptops For A Field Sales Force
• Industrial Use
• Institutional or Non-Profit Organizations

And remember, Class A Recertified Computers come with a limited warranty.

A Word About Warranties

While Class A Recertified Computer products come with a limited warranty, it is almost always a good idea to purchase an extended service plan.  Extended service plans are relatively inexpensive, and give you peace of mind.  Some service plans even provide "on-site" service for very little cost, and provide better service levels than a brand-new computer!

Any Issues Mixing Recertified Off-Lease Technology With New Products?

Absolutely none!  Recertified systems are ready to be put to use in any context that would be appropriate.  Whether on your network, in your business, or in your home.  They are safe, reliable, and ready to use at a very affordable price.

TMC/GF