Costs of franking machines can vary massively, so it is difficult to give a ‘general’ estimate. Several factors can impact the expenses, such as the make and model of the franking machine, or the volume of mail that it is built to process. Franking machines can be purchased outright, but another popular option is to lease them, paying a smaller monthly fee.
Low Entry Level Franking Machines
A very basic, entry-level franking machine will have lower speeds and capacity. These would be ideal for small businesses with up to 30 mailings a day. The one-off purchase price for a new machine meeting these requirements would be around £1,000.
Slightly more advanced machines with additional features, such as an integral weighing platform and the ability to receive tariff updates through LAN, are more likely to be around £1,200.
Medium Level Franking Machines
For a medium-level franking machine built to deal with medium volumes of mail (20 to 100 mailings a day), the average price would be around £3,000. These machines usually have the advantage of being more automatic in their feeding, franking and output, meaning that the operator does not need to manually place, remove and sort each franked document. This saves time on labour. Other features that may be included with medium-level franking machines include automatic rate updates and programmable marketing slogans.
High Volume Franking Machines
High-volume franking machines are suitable for use by very heavy users of the Royal Mail. These machines are very large, so space is another consideration – as regularly, large businesses will need to have a specific room allocated for their high-volume franking machine. These machines will be more sophisticated in their design and features, often boasting a computer-like display, and with many more printing options for slogans, logos and messaging.
For such heavy duty machines, the price can range from £5,000 to £20,000 and above. The up-front cost may be steep, but the trade-off of better efficiency at lower costs is worth it for large businesses with a high volume of mailing.
Lease Rental Costs
Some businesses, especially smaller ones, cannot afford to invest in the full cost of a franking machine – which as you can see, can be a considerable sum of money. Leasing is the more convenient option for many people. Monthly rental costs vary widely, just like the prices of outright purchase, depending on your requirements. For a low-volume franking machine, the monthly lease can start from as low as £15 a month (usually around £20 to £40 a month). This goes up to around £40 to £80 a month for a medium-level franking machine, and increases again to £85 a month (or more – often up to £400 and above) for a heavy duty, high-volume machine. It is possible to have a lease of only a year, but most companies will steer you towards taking out at least a three-year lease. Another requirement of lease or rental agreements is that you usually have to pay an administrative fee upfront, which is something else to consider – though it isn’t usually a huge sum.