Franking machine rental – Costs and fees in 2024

In the UK, franking machines, also known as postage meters, have become essential for businesses managing substantial mail volumes. These devices, which print postage directly onto envelopes or labels, offer an efficient and economical alternative to traditional stamps – but how much does franking machine rental cost?

With 2024 underway, the trend of renting franking machines is gaining momentum, offering businesses updated technology and flexibility without a hefty initial investment.

Benefits of renting a franking machine

1. Cost Savings: Renting a franking machine can lead to significant reductions in mailing costs. Postage rates for franked mail are typically lower than for stamped mail, with savings up to 25%.
2. Time Efficiency: Automating the postage process saves valuable time, a crucial factor for businesses with extensive mailing needs.
3. Professional Image: Franked mail presents a professional image, enhancing brand perception.
4. Access to Latest Technology: Rental agreements often include upgrades, ensuring access to the latest franking machine features.
5. Flexible Contracts: Renting allows for short-term contracts and the ability to adjust according to business requirements.

Costs of renting a franking machine in 2024

Data table: Franking machine rental prices by volume

Volume Type	Monthly Rental Cost	Annual Rental Cost	Notable Features
Low Volume (30-50 letters per day)	£20 – £30	£240 – £360	Basic functionality, suitable for small businesses with limited mail volumes.
Medium Volume (50-200 letters per day)	£50 – £70	£600 – £840	Enhanced speed and capacity, ideal for mid-sized businesses with regular mailing needs.
High Volume (200+ letters per day)	£100+	£1,200+	Advanced features such as automatic feeding and integrated weighing scales, designed for large businesses with extensive mailing requirements.

The cost of renting a franking machine in the UK depends on various factors:

1. Machine Type: Basic models can be rented for approximately £20-£30 per month, while advanced models with more features may cost over £100 monthly.
2. Mail Volume: Higher volume requirements typically lead to higher rental rates.
3. Rental Period: Longer contracts may offer reduced monthly fees.
4. Additional Costs: Consider expenses like ink, labels, maintenance, and potential overage fees.

For a typical small business, the annual cost of renting a basic franking machine can range from £240 to £360, while larger businesses might spend £1,200 or more for advanced models.

Choosing the right franking machine to lease

1. Evaluate Mail Volume: Select a machine that matches your current and anticipated mail volume.
2. Feature Consideration: Opt for features that will streamline your mailing process, such as automatic feeders and integrated scales.
3. Budgeting: Weigh the benefits of advanced features against their cost.
4. Research and Recommendations: Seek feedback from other businesses for insights on reliability and service quality.
5. Supplier Comparison: Get quotes from various suppliers to ensure the best deal.

Purchase vs hiring franking machines

When deciding between purchasing and renting a franking machine, businesses should consider several key factors:

1. Initial Investment: Purchasing a franking machine requires a significant upfront cost, which can be prohibitive for small or medium-sized businesses. Rental, on the other hand, requires a lower initial financial commitment.
2. Maintenance and Upgrades: Owning a machine means bearing the full cost of maintenance and updates. Renters typically benefit from included maintenance and regular upgrades as part of their rental agreements.
3. Flexibility: Renting offers more flexibility to upgrade or change machines as business needs evolve. Purchasing locks the business into a specific model for a longer period.
4. Long-term Costs: While purchasing a machine can be more cost-effective in the long term, this only applies if the machine’s capacity continues to meet the business’s needs and if maintenance costs remain manageable.
5. Tax Implications: The cost of renting a franking machine is often fully deductible as a business expense, whereas purchasing a machine may come with different tax implications, such as depreciation.
6. Cash Flow Impact: Renting can be more cash flow friendly, especially for businesses with tight budgets, as it spreads the cost over time.
7. Technology Advancements: Technology in franking machines evolves rapidly. Renting allows businesses to keep up with the latest advancements without additional investment.

FAQ for franking machine rental