Company phone leasing or DaaS? Why renting goes further

Mobile devices are indispensable at work. But buying, managing and updating them is often a complex and expensive job for companies.

That's why many first think of company phone leasing as an alternative to buying, and the idea is a good one: no large upfront investment, predictable monthly payments and up-to-date smartphones for your employees at regular intervals.

Leasing, however, is first and foremost pure financing. It spreads the cost over the term, but it usually doesn't take any of the work around the devices off your hands. Procurement, configuration, management, support and the return at the end mostly stay with your IT team.

That's why Everphone doesn't do leasing. With Device as a Service (DaaS), it goes a step further: you rent the devices, and Everphone takes on the operational work as well as the costs, across the entire lifecycle.

What is company phone leasing and how does it work?

With company phone leasing, your company signs a contract with a lessor. The contract covers a set number of devices for a fixed term in return for a monthly fee per device. Unlike a purchase, where the device becomes your property straight away, with leasing you are only the user. Even so, you are often still responsible for running costs and management, because the lessor mainly finances the hardware.

The monthly payment for company phone leasing can be made up of several components:

• Device costs: a share for using the smartphone or tablet. This is the core of every leasing contract.
• Services: repairs, replacement devices and technical support are sometimes included, but often only for an extra charge or not at all.
• Device management: some providers include configuration, provisioning and collection of the devices; with many you have to handle this yourself.
• Logistics: shipping and collecting the devices.

The model protects your liquidity because there are no large one-off payments. Instead you have regular, predictable operating expenses that are easier to budget. Read the contracts carefully, though: leasing often hides items that only show up later. Our article on why smartphone leasing often costs more than expected explains which ones.

Benefits of company phone leasing, and why DaaS goes further

Choosing company phone leasing does have advantages, especially in a fast-moving business. Bear in mind, though: you get all of these benefits with Device as a Service too, plus the operational relief that leasing alone doesn't provide.

• Cost control and predictability: fixed monthly payments let you plan your spending and protect your capital budget. With leasing, though, whether repairs or replacement devices are really covered depends heavily on the contract.
• Always up-to-date technology: leasing and rental contracts often run for shorter terms than the average service life of purchased devices. That lets you give your employees the latest models regularly, which raises productivity and employee satisfaction.
• Less work for your IT department: this is where the biggest difference lies. A lessor finances the devices, but usually doesn't take on the admin work from configuration to return. With DaaS, Everphone handles management, MDM, roll-out, device replacement and first-level support. Your IT specialists can focus on more strategic work.
• Flexibility and scalability: when your headcount changes, you want to adjust the number of devices accordingly. With Everphone you can add devices at any time or return them after the minimum term.
• Sustainability: using devices for longer supports the circular economy. At Everphone, rental devices are wiped in line with data protection rules after return, professionally refurbished and reused, or recycled responsibly. That reduces e-waste and supports your sustainability goals.

Leasing vs. Device as a Service: what you actually get

Compared with DaaS, a leasing contract is a purely financial arrangement. You get the hardware and a monthly payment, and after that leasing often leaves you on your own: with the setup, with faulty devices, with sending devices back and with the question of who wipes the data securely. Device as a Service, by contrast, is designed to simplify the entire device lifecycle for your company.

With Everphone's DaaS, these services are part of the model:

• Provisioning and roll-out: you receive the smartphones or tablets you want pre-configured and ready to use, shipped directly to your employees.
• Management and MDM: the devices are managed centrally via mobile device management (MDM). That lets you enforce security policies, deploy apps and protect data.
• Mobile plans: your mobile tariffs can be covered through Everphone as well.
• Repair and device replacement: if a device is faulty, Everphone takes care of the repair or provides a replacement. That keeps downtime to a minimum.
• First-level support: your employees have a direct point of contact for questions about their device.
• Return, data deletion and refurbishment: at the end of the term, the devices are collected, wiped in line with data protection rules and then refurbished or recycled responsibly.

With conventional leasing, some of this can sometimes be added, for example device insurance against theft, loss or damage, but much of it can't. Real transparency and relief for IT come with DaaS, not with leasing alone.

Terms and costs: leasing and DaaS compared

With leasing, companies can usually choose between different terms, with 24 and 36 months the most common options. Some leasing providers also offer longer terms such as 48 months, which usually means lower monthly payments because the cost is spread over a longer period.

Monthly payments vary with device model and term. Higher-end devices and shorter terms tend to cost more per month, while standard models and longer terms are cheaper. With Everphone's DaaS, the service is already included in the monthly fee.

Here is a selection of current monthly rental fees for popular smartphones with Device as a Service at Everphone:

The table shows that choosing a 36-month term instead of 24 months gives you noticeably lower monthly fees. When you set leasing offers alongside these, compare not just the monthly price but also which services it leaves out.

Buying, leasing or DaaS: a comparison

Choosing between buying and leasing is a fundamental part of a company's financial strategy. Both models have their place, but both leave one question open: who actually looks after the devices?

When you buy company phones, you make a large one-off investment. The devices become your property, which gives you full control over how they are used and managed. But you also carry the full risk of depreciation, repairs, insurance and eventual disposal. A lot of capital is tied up, and the devices have to be recorded as fixed assets on the balance sheet. Your IT department is responsible for the entire lifecycle, from procurement and configuration to maintenance and replacement. That can tie up considerable internal resources.

Company phone leasing turns the investment into predictable monthly operating expenses. It protects liquidity and makes budgeting more flexible. Because the devices don't become your property, you avoid the risk of depreciation and the complexity of accounting for them as assets. At the end of the term you can move to newer models. The operational work, though (setup, management, support, returns), usually stays with you. The financing changes; the work doesn't.

Device as a Service combines the two: as with leasing, costs become a predictable monthly fee, and on top of that Everphone takes on the operational work around the devices. That is especially useful in industries shaped by fast technological change.

In short: buying means a large upfront investment and full responsibility. Leasing means predictable costs, but usually still full responsibility for day-to-day operations. DaaS means predictable costs and genuine relief.

Who benefits from DaaS instead of company phone leasing?

Device as a Service suits a wide range of companies, whatever their size or industry. It is especially useful for organisations that:

• Want to optimise costs and protect liquidity: start-ups, small and mid-sized companies (SMEs) and large enterprises all benefit from turning large investments into predictable monthly operating expenses.
• Want to use up-to-date technology: companies that rely on modern, powerful devices to stay competitive and keep their employees productive. This applies especially to sectors such as technology, consulting and sales.
• Want to take work off their IT department: organisations with limited IT resources, or whose IT team should focus on more strategic tasks instead of procuring, managing and maintaining mobile devices.
• Need a high degree of flexibility: companies with fluctuating staffing needs or seasonal peaks that have to adjust the number of devices quickly.
• Pursue sustainability goals: companies that care about using resources responsibly and want to reduce e-waste by supporting a circular economy for their devices.

Whether you're a small start-up with five employees or an international group with thousands of staff, DaaS pays off at every company size. With up to 250 employees, you can put together your devices directly in the Everphone shop. For larger organisations, we clarify your needs in a short consultation: just request a quote.

Find out how Device as a Service takes your company further than company phone leasing. Use our Everphone device cost calculator to work out your individual terms, or browse our range of modern smartphones and tablets in the Everphone shop.

Frequently asked questions

How much does company phone leasing cost?

The cost of company phone leasing depends on the device model and the term you choose. Check which services are included in the monthly payment, because leasing often comes with extra costs. Everphone doesn't offer leasing but Device as a Service: monthly fees start at around €10 for a standard smartphone. Higher-end models with shorter terms cost correspondingly more. The fee covers the device plus services such as repair and replacement.

What contract terms are usual for company phone leasing?

The most common terms for company phone leasing are 24 and 36 months. Some leasing providers also allow longer terms of up to 48 months, which can lower the monthly payments further. With Everphone's DaaS, you choose between a 24-month and a 36-month term. The right choice depends on your company's needs and budget.

What happens if a company phone breaks?

With leasing, it depends on the contract: repair, a replacement device or insurance against theft or loss are often only available for an extra charge, or not at all. With Everphone's Device as a Service, Everphone takes care of the repair or provides a replacement device. That keeps downtime to a minimum and takes work off your IT department.

What is the difference between company phone leasing and Device as a Service?

Leasing is pure financing: you pay a monthly amount for the hardware and usually handle setup, management, support and returns yourself. With Device as a Service you rent the devices, and Everphone also takes on the operational work: management, MDM, mobile plans, roll-out, device replacement, first-level support, returns, data deletion in line with data protection rules and refurbishment.

Is company phone leasing suitable for small businesses?

Leasing can work for small businesses and start-ups too, because it avoids large upfront investments and makes costs predictable. Small teams, though, often lack the IT capacity for management and support, which is why DaaS is usually the better choice for them. With up to 250 employees, you order directly in the Everphone shop; larger organisations request a tailored quote.