Technology & Office Equipment Leasing

Technology & Office Equipment Leasing

Brief Excerpt from Industry Overview Chapter:

Companies in this industry lease technology and office equipment for use in business operations. Major companies include CSI Leasing, Electro Rent, and SmartSource Rentals (all based in the US), and Fuyo General Lease (Japan). Major manufacturers such as Hewlett Packard Enterprise, Canon, and Xerox also offer technology leasing services.

COMPETITIVE LANDSCAPE

Demand is driven by business activity, especially in industries that rely heavily on technology. The profitability of individual companies depends on the merchandising mix and the cost of financing rental inventory. Large companies have economies of scale in buying equipment and having multiple outlets to lease the equipment. Smaller companies can compete by providing specialty products for local markets and superior customer service. The US industry is highly concentrated: the top 50 companies account for over 85% of revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

According to The Insight Partners, the equipment rental software market is expected to grow to about $430 million by 2028, at a CAGR of 7.1% during 2021-2028. Major services include rental of computers and peripheral equipment, which accounts for about 45%. Rental of office furniture and fixtures accounts for about 35%. Other services account for over 10% of the industry revenue.