[Fiware-opencall-help] FIWARE-LAB-OPEN-CALL-2015: depreciation and leasing

[Miguel Vidal]

On 09/11/15 13:54, Federico Michele Facca wrote:
> Dear Miguel,
> 
> 
> On Mon, Nov 9, 2015 at 1:42 PM, Miguel Vidal <mvidal at flossystems.com
> <mailto:mvidal at flossystems.com>> wrote:
> 
> 
>     Thanks, Fernando.
> 
>     In FLOSSystems, our normal practices are renting hardware and datacenter
>     services (mainly colocation and network).
> 
>     According to Financial Guidelines, page 67:
> 
>     “Operational leasing (renting): in this case, there is no possibility to
>     buy the equipment.
> 
>     There is no depreciation involved (as the item is still the property of
>     the leasing firm) but the costs are eligible if this follows the
>     beneficiary's normal practices and does not exceed the costs of purchase
>     of the equipment.”
> 
> 
>     How can we justify that renting does not exceed the costs of purchase of
>     the equipment? We don’t know purchase of the equipment costs because
>     they are hidden for us.
> 
> 
> why not? if rent a dell xxx model, you should be able to know also the
> purchase cost.
> i.e., you should be able to ask the company making you the offer (or
> alternative providers) to provide
> cost of purchase as comparison as well.
> 

Because in our case the renting service is a "package" (including
networking equipment, electrical supply, rack space, and hardware
itself) and the cost of each item is unknown and we don’t know if our
provider will disclose to us. Must we break down cost of each item or it
may be considered part of the equipment purchase?

According to Financial Guide (page 31), it's not clear:

“Sometimes the purchase of equipment or consumables is associated with
the provision of a service. Depending on the nature of the services
provided, they may be considered subcontracts or part of the equipment
purchase. If the service is part of the "package" of equipment purchase
then it will be considered to be part of the equipment purchase."

We’re concerned about not be able to justify renting costs exceeding the
costs of purchase equipment due to our renting costs include more items
than hardware itself, like networking equipment, electrical supply, and
rack space (colocation).

Thanks!

--m

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