Forum Thread

why do businesses buy one line of desktops/laptops

br1ckhouse 339 50 September 29, 2015 at 12:43 PM
Hi all,
I wanted to check my thinking with the IT pros on this forum. I know that businesses like to buy computers that are from the same manufacturer, even if they aren't all the same model. Is the only reason so that you only need to have one vendor relationship?

the reason I'm asking is my small office needs a new computer and we've been a lenovo customer for a long time but we have a few new staff coming on board and they won't be power users. I am looking at HP and Dell and wanted to get a budget computer from one of their business line. Is there any issue with starting to mix the brand of computers in an office?

11 Comments

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#2
For a small office the benefit is minimal. For a large company, the benefit is fewer images of machines to maintain, easier deployment of drivers, and fewer machine specific quirks to track.
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#3
Business workstations have management tools to manage them such as BIOS, firmware, and security settings. You would NOT want to learn and manage multiple setups.

Pick a brand. Nothing says you can't change but you would need to go through the management process at that time.

If you are talking about a few computers then no, it won't matter. If you manage more than a handful I see no reason to buy different brands.

Also agree with jkee for imaging, drivers, components, and troubleshooting.
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#4
In theory, it is because they get a better deal buying in bulk and also have the advantage of a streamlined support base as was noted already. In reality, this is only part of the answer for most big companies.

There is also the Purchasing corruption factor that needs to be accounted for. Most Purchasing departments in larger firms are ripe with kickbacks on everything from computers to paper clips. If you do not think a big PC manufacturer will throw a bone to a purchasing agent\manager to go with them on a big contract you are very naive.
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#5
Same reason taxi companies choose a single (or very few) model(s) of cars - maintenance and such. FAR easier to setup and maintain a single model (or two) than some haphazard number.
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#6
Also businesses get deals in contracts or bulk buying. It's only really helpful for national companies.
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#7
Also, many large companies don't even bother to actually purchase PC's. Instead, they get them on a 2 or 3 year lease. This gives them up to date hardware, a recent OS, warranty service until the day they go off lease, and a very predictable TCO. This is the reason you see so many used "refurb" PC's on the market. They've come off lease and the leasing company just wants to get rid of them.
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#8
Quote from HarryH3 View Post :
Also, many large companies don't even bother to actually purchase PC's. Instead, they get them on a 2 or 3 year lease. This gives them up to date hardware, a recent OS, warranty service until the day they go off lease, and a very predictable TCO. This is the reason you see so many used "refurb" PC's on the market. They've come off lease and the leasing company just wants to get rid of them.

Leasing also allows them to deduct the full expense immediately in most cases, instead of having to depreciate it over a number of years like a purchase would require. That said, leasing is always more expensive in the long run and there is less opportunity for Purchasing Dept kickbacks, which is why it is not as popular as you might think. Where I used to work, they re-defined the meaning of the words cheap an corrupt, which is why they never leased desktops.
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#9
for me the Dell outlet is the place to buy for a small business or even the off lease ones.
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#10
Quote from YanksIn2009 View Post :
Leasing also allows them to deduct the full expense immediately in most cases, instead of having to depreciate it over a number of years like a purchase would require. That said, leasing is always more expensive in the long run and there is less opportunity for Purchasing Dept kickbacks, which is why it is not as popular as you might think. Where I used to work, they re-defined the meaning of the words cheap an corrupt, which is why they never leased desktops.
What accounting method allows you to expense the entire lease immediately? An operating lease would allow you to expense it monthly as payments are made. A capital lease would have you set up an asset and depreciate over time. I'm not aware of any accounting guidance that says you could expense the whole lease immediately.
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#11
Quote from mortar235 View Post :
What accounting method allows you to expense the entire lease immediately? An operating lease would allow you to expense it monthly as payments are made. A capital lease would have you set up an asset and depreciate over time. I'm not aware of any accounting guidance that says you could expense the whole lease immediately.

You expense it as you pay it, i.e., expense the monthly\yearly amount paid in any tax year it is made. No you cannot pay future long term amounts...never said you could. Buying it outright will cause the need to depreciate the amount paid to purchase over time meaning a capital expense that can not be fully deducted in year 1.
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#12
I bought a new computer system for my business this year. Can I deduct the entire expense on this year's taxes, or do I have to deduct the cost of over a five-year period?

It is really up to you. Although the "normal" way to deducting the cost for your computer would be to deduct it over a five-year period, Section 179 may allow you to deduct the entire cost of the computer in the year you bought it. Section 179 provides an exception to the normal rule for deducting the cost of capital equipment (equipment that has a "useful life" or more than one year, such as a computer system).

However, there is a limit for the total amount of business property expenses that you can deduct from your business taxes for the year under Section 179. For the 2010 tax year, the limit is $134,000. In addition, if you purchased more than $800,000 worth of capital equipment in 2010, you may be subject to a phase-out. However, this phase out limit does not apply to many small businesses that can normally fit all of their capital expenditures within the $134,000 limit. Keep in mind that the Section 179 limit is expected to decrease in the coming years.

Section 179 does not apply to all capital expenditures that a small business may make. For example, Section 179 does not apply to land, buildings, inventory, intangible assets, or climate control (air conditioning and heating). However, Section 179 does apply to automobiles that you purchase for your business, but there are special rules in that case.

- See more at: http://smallbusiness.findlaw.com/...1gNzR.dpuf
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