Each year, approximately 350,000 people experience cardiac arrest outside of hospitals. With the combination of using an automated external defibrillator (AED) along with CPR, the victim will have the best chance of survival. Many individuals fall victim to sudden cardiac arrest every year in many workplaces, schools, churches, government buildings, and other facilities. The most simple way of getting an AED is to buy one, but many places end up in an AED rental program based on false truths and empty promises.
The Truth About AED Rentals.
Renting or Leasing an AED is usually not a “win” situation for the end-user. Don’t get us wrong, there are cases, although we believe very few, where renting or leasing an AED could be beneficial. However that is typically reserved for very short rental times, typically less than a few months. Let’s take a look at two of the most common reasons why renting/leasing is considered.
- Your organization can not afford to spend up to $2,500 upfront to purchase an AED, so the smaller monthly payments seem appealing regardless of the total amount to be paid in the end.
- Possible deduction of the leasing/rental as an operating expense rather than a capital purchase.
Both of these scenarios are ones we hear every day, but would you want to pay 60%-70% interest on a 3-year loan to “borrow” or lease-to-own an AED? These are the equivalent rates that we see in the most common rental/lease agreements.
On average most large providers offer an AED with cabinet and signage for $99-$129 a month for 36 months. To us this is almost highway robbery. In addition, most AED rental programs are missing two important pieces of the puzzle: training and compliance. While these two services can usually be added to your program, they come at an additional cost.
AED Rental Promises that will “Shock” You
“But I always want the latest AED technology out there. That is why I want to rent.”
Has your AED rental agreement promised to provide the latest in AED technology? After over 16 years in the AED business, we can tell you that AED technology does not change fast enough, nor does it become obsolete fast enough to make that case for a rental. Top AED manufacturers make technology last long term. Most AEDs are software-driven AEDs, and their hardware lasts a long time. In fact, some of the top AEDs have been hanging on the wall for over 15 years.
Don’t be lured into believing that something newer or better is going to replace the one you start renting during the term of the agreement.
“I like the rental program. My pads and batteries are replaced at no cost when they expire.”
Unless your AED gets a lot of action, which most do not, this promise only benefits the company you rent from. Most top AEDs’ pads and batteries have a shelf life lasting longer than the rental/lease agreement itself. Therefore, you are paying for something that you wouldn’t have to buy in the first 3 years anyway. Furthermore, if in the rare event your rental program does include a compliance program, most reputable compliance programs include replacement pads and batteries, in the event of use.
We recently had a conversation with a prospective client. “Complimentary” replacement pads and batteries were the reason they chose a rental agreement. We then explained that the AED they rented would need to be used 12 times in the next three years to justify his rental cost. He is currently renting three AEDs. You do the math.
With outright purchase costs only running around $1400.00-$1800.00, you can quickly realize that you are ultimately paying for the cost of TWO AEDs. In most cases at the end of the agreement, you don’t even end up owning the AED. It must be be turned in at the end of the rental period.
Ready for Change?
If you are in need of an AED but are unsure of your options contact us
today. We can help you evaluate your situation and find the best possible way to get an AED in your facility without breaking the bank. Don’t be fooled by what may sound like a great AED rental agreement.