Should You Buy or Lease an EPOS System in the UK?

A barber in Birmingham signs a "free till" deal at £49 a month on a 60-month non-cancellable lease. Total commitment: £2,940 + VAT, and the hardware goes back at the end.

That's not a scam. It's a perfectly normal finance lease, and it suits some businesses. The problem is that most people sign one without ever seeing the total written down.

There are three ways to pay for a till in the UK. Here's what each really costs, and which one fits which kind of business.

The three ways to pay

Buy outright. You pay once for the hardware and own it. Software and support are billed monthly, usually on a short or rolling term.

Subscription. Hardware is loaned or heavily discounted, and you pay a larger monthly fee. The kit usually stays the supplier's.

Finance lease. A third-party finance company buys the hardware and rents it to you, typically over 48 to 60 months. This is where the long, non-cancellable agreements live.

Many "EPOS deals" are actually the third one wearing the second one's clothes. If a separate finance company's name appears on your paperwork, it's a lease.

Side by side over four years

Illustrative figures for one till, four years, card processing excluded. Real quotes vary, so put your own numbers in the same shape.

 Buy outrightSubscriptionFinance lease
Upfront | £850 + VAT | £0 | £0–£150 + VAT 
Monthly | £12 + VAT | £45–£70 + VAT | £40–£60 + VAT 
Term | Rolling or short | 12–36 months | 48–60 months, non-cancellable 
Who owns the hardware | You | The supplier | The finance company 
Leaving early | Stop the monthly fee | Notice period applies | Usually the full remaining balance 
Four-year total | Around £1,430 + VAT | £2,160–£3,360 + VAT | £1,920–£3,000 + VAT

Buying outright is normally cheapest past about the two-year mark. Its drawback is real: cash out of the door on day one, when a new business has least of it.

When paying monthly genuinely makes sense

• You're opening in the next few weeks and your cash is going on stock and fit-out.
• You're testing a site, a pop-up or a seasonal unit and may not still be there in a year.
• You'd rather treat the cost as a flat operating expense than a capital purchase.
• Your accountant prefers the tax treatment — worth a five-minute call to check.

None of those are wrong. Just know the total before you sign, not after.

Six clauses that decide what a lease really costs

1. Term length. Anything over 48 months deserves a hard look, especially on hardware that dates.
2. Non-cancellable wording. Most leases cannot be exited early at any price short of the full balance.
3. Automatic renewal. Check whether it rolls into another fixed term if you don't give notice, and how much notice.
4. Annual increases. Inflation-linked uplifts compound over five years.
5. End of term. Do you return the kit, buy it for a nominal sum, or keep paying?
6. Who you're actually contracting with. The support company and the finance company are often different, and a dispute with one doesn't pause the other.

Our contract checklist goes through each of these with the exact questions to ask.

What this looks like in a real business

An illustrative case: a two-chair barber shop, open six days, roughly 60 card payments a day. Assumptions are invented; the structure is the point.

The owner is offered a subscription at £49 + VAT a month on 60 months, with no upfront cost. Over the term that's £2,940 + VAT and he owns nothing at the end.

The alternative is a bundle at around £850 + VAT with £12 a month + VAT for software and support. Over the same 60 months that's £1,570 + VAT, and the hardware is his.

The difference is roughly £1,370, or about £23 a month. But he only has £900 spare in month one, which is the real decision.

What he does is split it: buy the terminal outright, keep the card machine on a short rental, and revisit in a year. Middle routes exist, and suppliers will usually discuss them if you ask.

Frequently asked questions

Can I get out of an EPOS lease early?

Usually only by settling the remaining payments. Ask for the early settlement figure in writing before you sign, not when you want to leave.

Is it better to buy or lease an EPOS system?

Buying is normally cheaper beyond two years. Leasing preserves cash and spreads cost. Work out both totals over the same period, then decide on cash flow rather than the headline monthly.

Do EPOS companies do 0% finance?

Some advertise interest-free spreads over shorter periods. Check whether the hardware price has been raised to cover the cost of the credit.

What happens to a leased till at the end of the term?

It depends on the agreement. Some return, some transfer for a small fee, some quietly roll into another year of payments. Get this in writing.

Can I switch supplier mid-contract?

You can install a new system, but the old agreement usually continues. Time your move for the end of the term where you can, and see our guide to Epos Now alternatives for how others have handled it.

Ask for both numbers before you decide

We'll quote you the outright price and the monthly cost side by side, with the total over the term written down, so you can see exactly what each route costs. Book a free demo and we'll send that on one page afterwards, with no pressure to take either. Current bundles are on the products page.