Every Mauritian business eventually faces the same question: should we buy our IT equipment outright, or is it smarter to rent it on a monthly plan? At first glance, buying looks cheaper — you pay once and you own it. But once you factor in everything that comes after the purchase, the picture changes significantly.
This guide breaks down every real cost involved in both options, using actual numbers from the Mauritian market. By the end, you'll have a clear answer for your specific situation.
For most Mauritian businesses with 5+ employees and equipment that needs to stay current, rental consistently wins on total cost — especially once you account for repairs, downtime, depreciation and the tax treatment. For very small teams with a low technology requirement and no plans to grow, buying can sometimes make sense.
The full cost of buying IT equipment
The purchase price is just the beginning. Here's what businesses in Mauritius actually spend when they buy their devices outright.
1. The upfront capital hit
A decent business laptop in Mauritius costs between Rs 25,000 and Rs 55,000. If you're equipping 10 employees, that's Rs 250,000 to Rs 550,000 — paid on day one, before your team has done a single extra hour of productive work on those machines. For growing businesses, that capital is often better deployed elsewhere: stock, marketing, staffing or infrastructure.
2. Depreciation — the silent cost
IT equipment depreciates fast. A laptop worth Rs 35,000 today is typically worth Rs 10,000–14,000 in three years, and close to Rs 0 in five. Under Mauritius Revenue Authority guidelines, IT equipment is depreciated at around 25–33% per year. That means your Rs 350,000 investment in 10 laptops has lost more than Rs 100,000 of value in just the first year — whether you like it or not.
3. Repairs and breakdowns
This is the cost most businesses forget to account for. In Mauritius, getting IT equipment repaired is expensive and slow. Spare parts for most devices are not stocked locally — they need to be ordered from abroad, which typically means 2–4 weeks of waiting, plus shipping and customs costs. A single motherboard replacement can cost Rs 15,000–25,000. A screen replacement on a business laptop can run Rs 8,000–18,000. Many businesses report spending more on repairs in years 3 and 4 than the device was worth at that point.
4. Replacement cycle pressure
Technology moves quickly. A laptop that was top-spec in 2022 may struggle to run current software efficiently in 2026. When you own equipment, upgrading means another full capital expenditure on top of what you've already spent. Many Mauritian businesses delay upgrades longer than they should — and their teams pay for it in lost productivity every single day.
5. Staff time and management overhead
Someone has to manage IT purchases: sourcing quotes, arranging delivery, handling customs, setting up devices, managing warranties, coordinating repairs. In a business without a dedicated IT department — which describes most SMEs in Mauritius — this falls on a manager whose time is worth far more than the task.
The full cost of renting IT equipment
Renting through a provider like Kadadak works differently. You pay a fixed monthly fee that covers the device, support and replacement. Here's what that actually includes.
1. No upfront investment
You pay nothing on day one. Your first payment is at the end of the first month, and every payment after that is fixed and predictable. The Rs 250,000–550,000 you'd have spent on buying laptops stays in your business, earning a return or funding growth.
2. Fixed monthly operating expense — 100% tax deductible
Rental payments are classified as operating expenses under Mauritius tax law. That means the full monthly cost is deductible against your taxable income in the year it's paid. If your corporate tax rate is 15%, a Rs 13,400/month rental cost for 10 laptops gives you Rs 24,120 in annual tax savings — every year, for the life of the contract. With buying, you only get depreciation deductions spread over several years.
3. 48-hour replacement guarantee
When a device breaks down — and eventually, every device does — you're not waiting weeks for imported parts. You get a replacement device within 48 hours, delivered and ready to use. Your employee loses half a day at most, not two weeks. For a team of 15 people, the difference in annual downtime between buying and renting can easily exceed 30 person-days.
4. Always current technology
At the end of your contract period, you can upgrade to the latest devices at the same or similar monthly rate. Your team is never stuck on outdated hardware. This matters more than most businesses realise — employees on slow, outdated devices lose real productivity every day, and they notice when their personal phones outperform their work laptops.
The numbers side by side
Let's compare the true 3-year cost of buying versus renting 10 laptops for a typical Mauritian business. We'll use a mid-range business laptop at Rs 35,000 purchase price, or Rs 1,340/month rental.
| Cost component | Buying (3 years) | Renting (3 years) |
|---|---|---|
| Upfront purchase / first payment | Rs 350,000 | Rs 0 |
| Total monthly payments over 36 months | Rs 0 | Rs 482,400 |
| Estimated repairs (2 breakdowns × Rs 15K × 10 devices) | Rs 300,000 | Rs 0 (included) |
| Downtime cost (5 days × avg Rs 3,000/day × 10 devices) | Rs 150,000 | ~Rs 15,000 (48h max) |
| Residual value at end of period | Rs 35,000 (scrap) | Not applicable |
| Tax deduction benefit (15% rate) | Rs 26,250 (depreciation) | Rs 72,360 (full opex) |
| Net 3-year cost | ~Rs 738,750 | ~Rs 425,040 |
The rental option saves approximately Rs 313,000 over three years on 10 laptops — before accounting for the value of the upfront cash you've kept in your business.
These figures use conservative estimates for repairs and downtime. Businesses in industries with heavy device usage — field teams, logistics, healthcare — typically see higher repair costs and more frequent breakdowns, making the case for rental even stronger. Use our interactive ROI calculator to run the numbers for your exact situation.
When does buying actually make sense?
To be fair, there are situations where buying IT equipment is the right call. Buying may make more sense if:
- You have a very small team (1–3 people) with simple, stable technology needs
- Your business is project-based and equipment use is intermittent rather than daily
- You have specific customisation requirements that rental providers don't accommodate
- You have strong in-house IT capability and can handle repairs and upgrades yourself at low cost
For the majority of Mauritian businesses — growing teams, office-based or field-based operations, customer-facing roles — rental provides a better financial outcome and a significantly better operational experience.
The question business owners don't ask — but should
Most businesses approach this as a pure cost question. But the more important question is: what is the cost of your team being on slow, broken or outdated equipment? A team of 15 people losing 30 minutes of productivity per day due to slow devices costs you over 90 hours of productive time every month. At an average loaded staff cost of Rs 15,000/month per person, that's Rs 45,000 in lost output — every single month. Rental eliminates this by ensuring your team always has functional, current equipment, with any breakdown resolved within 48 hours.
How to decide: three questions
- Do you have the cash? If spending Rs 300,000–600,000 upfront would strain your working capital, rental is clearly the right choice.
- Can you handle breakdowns locally? If a device breaking means a long wait and expensive imported parts, rental's 48h replacement guarantee is worth the cost alone.
- Is your team growing or changing? If you expect to add staff, change roles or upgrade technology in the next 3 years, rental's flexibility is far superior to owning assets you'll need to sell or write off.
See the numbers for your business
Use our interactive calculator to compare rent vs buy costs based on your exact team size, device type and contract length.
Summary
For most businesses in Mauritius, renting IT equipment costs significantly less than buying over a 3-year period, once you account for repairs, downtime, depreciation and the tax treatment of rental as a fully deductible operating expense. The upfront cash you save on day one can be reinvested in the parts of your business that actually generate revenue.
If you'd like a no-obligation quote for your specific team size and device requirements, contact Kadadak on WhatsApp or call +230 5919 0782. We'll give you a precise monthly figure within 24 hours.