Perils and Pitfalls - The Traps That Often Come with Managed Print Contracts

For businesses in Bristol thinking about entering into a managed print service contract with Precision Peripherals Ltd, understanding the common pitfalls of such agreements is crucial. With over 40 years of experience in the printing industry, Precision Peripherals Ltd offers deep expertise tailored to ensure transparency and honesty in all our dealings, now extended to include Bristol along with our longstanding commitments throughout the region.

Key Pitfalls to Watch For in Managed Print Contracts:

• Hidden Costs and Fees: Be cautious of contracts that might include undisclosed fees, such as charges for delivery, installation, and "administrative" fees, which can significantly inflate the cost beyond the initially advertised price.

• Excessive Minimum Print Volumes: It's common for contracts to set minimum monthly print volumes that exceed your actual needs, leading to unnecessary expenses for unused services—a critical consideration for cost-conscious businesses in Bristol.

• Long-Term Commitments: Some managed print services enforce lengthy contract terms that are restrictive and expensive to exit, posing a challenge if your business's needs evolve, potentially rendering the contract unsuitable.

• Auto-Renewal Clauses: These clauses can automatically extend your contract, necessitating timely cancellation to avoid an unwanted renewal—a detail every Bristol business must closely monitor.

• Escalation Clauses: Look out for clauses that permit service providers to increase prices at specified intervals, which can be substantial and not always justified by corresponding improvements in service.

• Limited Flexibility: Many contracts do not offer the flexibility to adjust services as your business scales up or down, which can result in overpaying for services that are not used.

• Refinancing Scams: Stay vigilant against pitches that propose refinancing equipment and paying off existing leases with deceptive promises, which could leave you legally responsible for both old and new leases.

• Overestimating Needs: Beware of sales teams urging for higher-spec machines or broader service packages than necessary, potentially leading to higher ongoing costs.

• Poor Service Levels: Ensure that service level agreements (SLAs) are thoroughly reviewed for response times and effective problem resolution to avoid extended downtime that can impact your operations.

• Ownership and Return Conditions: Some contracts impose strict terms on the return of equipment or end-of-lease conditions, which may include penalties or fees for wear and tear considered excessive.

Precision Peripherals Ltd is committed to supporting the Bristol business community in making well-informed decisions. If a deal seems too good to be true, it probably is. We are here to assist in reviewing and clarifying any contract details, eliminating dishonest practices and ensuring you receive the most favourable terms possible. Contact us for personalized guidance tailored to the specific needs of Bristol businesses.