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March 23, 2023

2 Additional Ways to Save Network Upgrade Costs

save network upgrade costs How are you going to save network upgrade costs? As technology continues to advance at a rapid pace, businesses and organizations must keep up with the latest innovations to remain competitive. One of the most significant challenges they face is upgrading their networks, which can be both time-consuming and costly. However, upgrading a network is crucial to ensure that the company can operate efficiently and meet the demands of its customers. When it comes to network upgrades, there are two significant costs to consider: the cost of the new equipment and the cost of disposing of the old equipment. In this article, we’ll discuss the advantages of selling the old equipment before it reaches the end of its life and the tax advantages of donating the equipment. Selling Equipment Before End of Life One of the best ways to offset the cost of a network upgrade is to sell the old equipment before it reaches the end of its life. While it may be tempting to keep the old equipment as a backup or as a spare, doing so can actually end up costing more money in the long run. First, the value of used equipment tends to decrease over time. So, the longer you wait to sell it, the less money you’re likely to get for it. Additionally, there is a significant drop in the value of the equipment once a manufacturer announces that a product has reached end-of-life (EOL). By selling the old equipment before it reaches the end of its life, you can recoup more of the cost of the new equipment. This can help offset the cost of the upgrade, making it more affordable for your organization. Additionally, selling the equipment can free up valuable space in your facility, which can be used for other purposes. So you made the decision to sell your equipment, what are my options to get this done? There are a few and each has its costs in both cost of equipment and labor costs for you and the team making the upgrade:  
  • Maximize Savings at the Expense of Time –  You or your team can take the time to catalog, assess, secure and/or delete all sensitive information on the equipment. Then find a buyer for the equipment and arrange all shipping and handling.
  • Maximize Time for Less Savings – If you and your team have your hands full as it is  and can not afford the time required, as it can be significant, to do item 1 above, then you should consider using a company like TeleTraders that can do as little or as much as it required in this process. They can come to your site and do a complete analysis of your old equipment, sanitize it for data security and remove the old equipment from the site. Just be sure that the company you choose is licensed, bonded, insured and follows industry guidelines for secure network equipment disposal.
Tax Advantages of Donating Equipment Another option for disposing of old equipment is to donate it to a charitable organization. In addition to the satisfaction of helping those in need, there are also tax advantages to donating equipment. Under current tax laws, businesses can deduct the fair market value of donated equipment from their taxes. This means that if you donate equipment that is still in good condition and has significant value , i.e, before it reaches end-of-life!, you can receive a tax deduction that can help offset the cost of the upgrade. To qualify for the tax deduction, you must donate the equipment to a qualified charitable organization. This includes organizations that are recognized as tax-exempt under section 501(c)(3) of the Internal Revenue Code. You’ll also need to obtain a receipt or other documentation that proves the value of the equipment you donated. In addition to the tax benefits, donating equipment can also help your organization build relationships with the community and enhance your brand reputation. By supporting a charitable cause, you show that your organization is committed to making a positive impact on society. There are companies like TeleTraders that will handle the entire donation process for your organization. Conclusion Upgrading a network can be a significant expense for any organization. However, by selling the old equipment before it reaches the end of its life and donating it to a qualified charitable organization, you can offset some of the costs and take advantage of tax benefits. Also make sure the company you choose follows EPA recommended guidelines for environmentally disposing of your old equipment. These options not only help your organization save money but also contribute to a more sustainable future by reducing electronic waste.

About the Editorial Staff

The Editorial Staff at TeleTraders, led by IT asset expert Clay Beckham and his seasoned team, boasts over 10 years of industry experience in IT asset management, secure IT asset disposal, and technology solutions. Founded in 2013, TeleTraders quickly became a trusted source of IT expertise. The team at TeleTraders demonstrates its commitment to excellence, spending countless hours each day handling a wide spectrum of IT equipment, spanning from intricate networking gear to precision barcode scanners. Our team strives to transfer our hands on knowledge into resources for IT professionals in businesses of any size.

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