The end of a photocopier lease is the point where businesses most often lose money — not through anything dramatic, but by not acting.
Your four options
Return the machine. The agreement ends, the machine is collected. Check who pays for collection and what condition it needs to be in.
Buy it. Pay the residual value and own the machine outright. Sensible if the machine still does the job and you are happy to take on servicing costs separately.
Extend. Continue on a rolling arrangement, often at a reduced rate. Worth negotiating rather than accepting whatever the default is.
Upgrade. Start a fresh agreement on a newer machine. The most common route, and the point at which you have the most negotiating leverage — use it.
The clause that costs money
Most agreements do not simply stop. They continue automatically, frequently at the same monthly payment, until you give formal notice.
That means a machine you have finished paying for keeps costing you the same amount every month, indefinitely. Businesses have paid for years past the end of a term without noticing, because the direct debit never changed.
Two things prevent it:
- Find the notice period in your agreement — commonly 30 to 90 days before the end date.
- Put a reminder in the calendar for three months before the term ends, not on the end date itself.
Getting the return condition right
If you are handing the machine back, fair wear and tear is expected — scuffs, worn rollers, general ageing. What is usually chargeable is damage, missing trays or finishers, and missing consumables.
Clear the hard drive before it leaves. Modern multifunction machines store copies of scanned and printed documents, and that data is your responsibility. Ask the supplier to confirm in writing how the drive will be wiped or destroyed — see device security.
If you are switching supplier
A new supplier may offer to settle your existing agreement so you can move early — we do this ourselves, so the advice below applies to us as much as anyone. That can be a good deal, but the outstanding balance does not disappear — it is folded into the new agreement.
Ask for two figures in writing: the settlement amount being paid off, and how much of it is being added to your new monthly payment. If a supplier is reluctant to break that down, that tells you something.
Six months out: a checklist
- Locate the agreement and note the end date and notice period
- Read the end-of-term clause
- Take a meter reading and check whether your volumes have changed
- Decide whether the current machine still fits
- Get the buyout figure and the extension rate in writing
- Get at least one comparison quote before committing to an upgrade
Doing this six months ahead rather than six weeks ahead is the difference between choosing your next agreement and being handed one.
Frequently asked questions
Do I own the photocopier at the end of the lease?
Not automatically. On most leases the finance company retains ownership and you either return the machine or pay an agreed amount to buy it. Some finance leases include a nominal purchase option at the end — check which type of agreement you have.
How much notice do I need to give to end a photocopier lease?
Commonly between 30 and 90 days before the end of the term, but it varies by agreement. If notice is not given, many leases continue automatically at the same monthly payment, so it is worth setting a reminder three months before the end date.
What should I do with the data on a returned photocopier?
Multifunction machines store copies of documents on an internal hard drive, and that data remains your responsibility. Ask your supplier to confirm in writing that the drive will be securely wiped or destroyed before the machine is redeployed.