Two ways to equip a team with mobiles
A handset contract combines the phone and the airtime: the cost of the device is spread across the contract term, typically 24 or 36 months, and it is paid off along with your monthly charges. A SIM-only plan covers airtime only, and you source the devices separately, by buying them outright, leasing them or reusing phones you already own.
SIM-only or handset deal?
Get a free, no-obligation quote and compare the options for your business.
The case for SIM-only
- Lower monthly costs because you are not paying off a device.
- Shorter terms: SIM-only plans are often available on shorter contracts, which makes it easier to switch network or change allowances.
- Device freedom: you choose devices independently of the network deal and keep them for as long as they are supported.
- Mixed fleets: it is easier to run different devices for different roles, such as rugged handsets for field staff.
The trade-off is the upfront cost of buying devices, and the work of sourcing, setting up and replacing them.
The case for handset contracts
- No large upfront spend: device costs are spread across the term.
- Planned refresh: new devices arrive on a predictable cycle.
- One supplier for devices and airtime, which some businesses find simpler.
The trade-offs are longer commitments, higher monthly costs, and devices tied to the contract, so changing network mid-term usually means paying off the remaining device cost.
Questions that decide it
How long do you keep phones?
If you replace phones every two years, a handset contract may line up neatly. If you keep them until they stop receiving updates, buying outright and using SIM-only plans often works out better over time.
How predictable is your headcount?
Growing or seasonal teams benefit from the flexibility of shorter SIM-only terms. Long handset contracts can leave you paying for lines and devices you no longer need.
How will you manage the devices?
Whichever route you choose, company phones should be enrolled in mobile device management so they can be secured, configured and wiped if lost. Devices bought through suppliers that support Apple Business Manager or Android zero-touch enrolment can be set up automatically.
How do you treat the cost?
Buying devices outright is capital spend, while handset contracts are operating costs. Talk to your accountant about which suits you, and see our guide to claiming mobile phone expenses through a limited company for the tax rules.
Find the right mix
Our UK team can balance cost, upgrades and device management for your team.
A common middle route
Many businesses use handset contracts for staff who need the latest devices and SIM-only plans for everyone else, or buy devices outright for a standard fleet and keep a few spares. The right answer is often a mix.
Before you sign anything
- Check coverage where your staff actually work, not just at the office.
- Compare pooled data across the account against per-line allowances.
- Read the terms for mid-contract price rises and early termination.
Our guide to choosing a business mobile provider covers each of these in detail.
Get a business mobile quote
We can quote both SIM-only and handset options across UK networks and set up device management for your fleet. Compare business mobile deals or see our mobile device management service.