No IT business can function without servers.
Servers are an essential part of every business, whether they are startups, small and medium-sized businesses, or large corporations. Any organization with more than three or four employees needs a server to manage day-to-day business data. With the many different devices (desktops, laptops, phones, etc.) used in your business, it’s essential to stay organized and do so securely.
Servers are used for file sharing, security, backups, application hosting, and many other important functions. When you need a server, need to expand your storage, or your requirements have changed, you might wonder whether to opt for server rental. Here’s a bit more information about this service we offer at MercadoIT.
What is server rental?
Server rental is a process that involves a contract between the server provider—in this case, MercadoIT—and the server user, who is the individual or company that will use these services. This contract grants you the right to use the server for a specified period of time in exchange for a monthly payment agreed upon in the contract for a specific term. Once the rental period has ended, MercadoIT will collect the server or replace it for you if necessary. Alternatively, we can offer you an extension of the rental contract if you need to continue using the server.
When is server rental the best option for your business?
There are certain factors to consider before deciding to rent servers for your business. Cost is the main factor that can guide your decision. Business growth and your team’s technical skills are other important factors. Rented servers offer scalability in architecture and flexibility in management. With unmanaged rented servers, you retain administrative and management privileges. You may have to put in a little more work, but in return, you gain full control over the server. It’s more affordable for your IT budget, and at the same time, you get reliable, high-performance servers. You can use part of the budget you would have needed for a purchase to improve and grow your business instead of covering maintenance, management, and support costs.
Which companies should choose to rent servers rather than buy them?
Renting servers may be a better option than buying them if:
- You have a new or small business that is in the launch or growth phase, and cost is a major factor. Renting servers is cost-effective, since it doesn't require as large an initial investment as purchasing servers, whether new or refurbished.
- You need your own server to develop new utilities and applications.
- You prefer to handle the security of your server and its data in-house.
- You won't be using the server for very long, or you want to adapt it to your business's changing needs.
What are the benefits of renting servers?
Easy to update and configure according to your specifications.
In today's world, new technologies are constantly being launched and updated. Although we know that companies use, on average, no more than 30% of their equipment's technical capabilities, it's important to keep your equipment up to date and configured to meet your needs so that it fits your business perfectly.
Server leasing allows you to keep your equipment up to date and in line with your needs, even as those needs change over time. You can easily upgrade your leased server without having to dispose of equipment or buy new ones.
Avoid the initial investment
When you rent a server for your business, you save on the large initial investment you would need to purchase one. Renting servers instead of buying them keeps your company's budget and cash flow in the telecommunications department virtually intact.
Quick return on investment for short-term projects
If your company frequently undertakes short-term projects, server rental is a good option for you. These temporary projects have a defined scope and are mostly completed within the stipulated timeframe. Their successful completion provides you with a quick return on your investment in server rental for those one-time workload needs.
Affordable Options for Performance Testing and Applications
Testing applications is an important step in identifying any errors or bugs before they are released for practical use. Most applications undergo user acceptance and end-to-end testing, and it can take up to weeks to complete all phases of testing. Purchasing a server for application testing projects unnecessarily increases costs; in this case, renting is the better option.
Predictable monthly expenses
A rental contract gives you full access to the rented server for a fee until the contract expires or your needs change. You pay that predetermined fee each month, so the initial cost is much lower than it would be if you were to purchase the server. The predictable monthly expenses help you manage your budget effectively.
Save on computer hardware depreciation costs
In any company, the depreciation of hardware assets measures the amount and rate at which they lose value. As their value decreases, the company can deduct that amount as an expense for tax purposes. Since you don’t own the asset, you don’t have to worry about hardware depreciation costs. In fact, you save on them.
If you have any questions or need more information about all the options we offer for server rental, purchase, and maintenance, please contact us, and our technical team will be happy to assist you with whatever you need.
