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The Microsoft Office 365 subscription model allows cash to be allocated to other critical business needs this also reduces TAX liabilities and CFO’s find the ‘Predictable IT costs’ they need to plan ahead.
IOTAP has been consulting, designing and implementing cloud solutions for numerous clients for over a decade. IOTAP has an experienced team that has helped customers from various industries achieve the best of cloud.
1CAPEX is a current expense from which you can gain benefits only at a later stage.
2Tax is directly proportional to expenditure, Higher the CAPEX, higher the Taxes.
3Investor see lesser value of assets and net income, when they see CAPEX on balance sheets.
4CAPEX is an investment which if underutilized turns into a liability
5The Time Value of Money is reduced. Money has its own appreciation rate, so saving taxes today is much advisable then saving taxes after a year.
As a wise man once said "Money saved is money earned". Opting for OPEX over CAPEX gives you a lot of benefits in terms of your IT expenses
Download the report of 'TEI of Office 365 Enterprise'
Let’s take an example of a 100 user company with Active Directory, Exchange, SharePoint, LYNC & Office pro plus. Assuming standard costs for license and hardware and Software, along with implementation cost. Keeping in mind manpower required to maintain the hardware and that the life of a hardware is around 5 years. We can assume the following: