What to Do with Old Business Phones and Computers: Reuse, Recycle or Securely Dispose

Updated October 2026

Every business eventually ends up with a drawer of old phones, tablets and laptops. Our original version of this page shared fun ideas for reusing old smartphones at home. This updated guide looks at the topic from a business perspective: which devices can still be useful, how to protect your business and customer data, and how to sell, donate or recycle devices responsibly.

First, decide: reuse, sell, donate or recycle?

The key question is security support. A device that no longer receives security updates shouldn’t be used for business email, payments or customer data. See our guide to keeping devices updated and secure.

Smart ways to reuse old devices in a business

Devices that still receive updates, or that will be used offline, can still earn their keep:

1. Dedicated booking or check-in screen at a front desk, running a single app.
2. Digital menu or price display in a shop or café.
3. Simple stockroom or back-door camera, using a camera app on a secure network.
4. Music player for in-store background audio.
5. Inventory scanner using a barcode app for stock counts.
6. Training device for new employees learning your apps.
7. Backup payment or hotspot device for emergencies, if still supported.
8. Second screen or video-call device in a meeting room.
9. Offline tools: calculator, timer, flashlight or reference library in a workshop or kitchen.

Lock reused devices down: keep only the apps needed, use a passcode, and keep them on a separate network from payment systems.

How to wipe business data securely

Before a device leaves your control, make sure no business or customer data goes with it:

1. Back up anything you need.
2. Sign out of all accounts: email, cloud storage, banking, payment and business apps.
3. Remove the device from find-my-device services, so it isn’t locked to your account.
4. Unpair accessories such as watches and card readers.
5. Remove SIM and memory cards.
6. Perform a factory reset. Modern phones encrypt their storage, so a factory reset makes data very difficult to recover.
7. For computers, use the operating system’s built-in reset or secure erase tools; for drives that held sensitive data, consider professional data destruction.

The National Institute of Standards and Technology’s media sanitization guidelines are the standard reference for how organizations should clear or destroy data on storage devices.

Selling or trading in

• Manufacturer and carrier trade-in programs offer credit toward new devices.
• Certified refurbishers and resale marketplaces buy used phones and laptops.
• Selling to employees can be a perk, after wiping the device.

Newer flagship phones hold value better, so selling sooner can return more money. See our business smartphone guide.

Getting the most value from old devices

• Sell while devices still have value: phones and laptops lose resale value quickly as new models arrive.
• Keep boxes, chargers and accessories, which can raise resale prices.
• Fix small issues like cracked screens or worn batteries if the repair costs less than the value gained.
• Compare offers from trade-in programs, refurbishers and marketplaces.
• Bundle devices when selling several at once to a refurbisher.

Donating devices

Schools, nonprofits and community organizations often welcome working devices. Before donating:

• Wipe the device completely.
• Include chargers if possible.
• Ask for a receipt; donations to qualifying charities may be tax-deductible. Check with your accountant.

Recycling responsibly

Electronics contain valuable materials and some hazardous ones, so they shouldn’t go in regular trash. Options include:

• Manufacturer take-back programs.
• Retailer drop-off programs for phones, batteries and small electronics.
• Certified electronics recyclers, which follow standards for safe handling and data security.
• Local e-waste collection events run by cities and counties.

The EPA recommends donating or recycling electronics rather than throwing them away, and many states have electronics recycling laws.

Batteries need special care

Lithium-ion batteries in phones, laptops and tablets can cause fires if crushed or damaged. Don’t put them in trash or curbside recycling bins. Tape the terminals of loose batteries and use designated battery drop-off locations.

Why careful disposal matters

Old devices can hold years of business emails, customer records, saved passwords, photos of documents and access to cloud accounts. A phone or laptop sold or thrown away without proper wiping can lead to:

• Data breaches that may trigger legal notification duties under state laws.
• Account takeovers if saved logins still work.
• Fraud using customer or financial information.
• Damage to customer trust.

A few minutes of preparation prevents all of these.

Keep a simple device list

Small businesses often lose track of devices. A simple asset list, in a spreadsheet or your IT tool, makes security and planning easier:

Review it every few months, and always update it when employees join or leave.

Buying refurbished: the other side of reuse

Reuse works both ways. Certified refurbished phones, tablets and laptops from manufacturers or reputable sellers can cost much less than new, with warranties and plenty of support left. For employees who mainly need email, scheduling and basic apps, refurbished devices can be a smart, sustainable choice, as long as they’ll receive security updates for years to come.

Leasing as an alternative

Some businesses lease computers and phones instead of buying them. Leasing spreads costs over time and often includes replacement and secure data wiping at the end of the term. Compare total costs with buying, and confirm how the leasing company handles your data when devices are returned.

A simple end-of-life checklist for business devices

Business opportunity: device refurbishing and recycling

The flow of old phones, tablets and computers also creates business opportunities:

• Device refurbishing and resale, buying used devices, repairing and reselling them with warranties.
• Repair services, extending device life for customers. See our phone screen repair cost guide.
• IT asset disposal services for local businesses that need secure data wiping and certified recycling.
• Corporate device collection for offices upgrading equipment.

These businesses need strong data security practices, proper handling of batteries, and relationships with certified recyclers. Explore more ideas in the business idea finder.

Example: a small office clears its closet

An accounting firm finds six old laptops and four phones in storage. Two laptops still receive updates, so they’re wiped and reused as training machines. The rest are wiped following a checklist, the drives from older laptops are professionally destroyed, and the remaining devices go to a certified recycler that provides a certificate of data destruction for the firm’s records.

This example is illustrative.

Frequently asked questions

Is a factory reset enough to erase my data? For modern phones with encrypted storage, a factory reset after signing out of accounts is generally effective. For computers and drives that held sensitive data, use secure erase tools or professional destruction.

Can I throw old phones in the trash? It’s not recommended, and it may be prohibited in some states. Batteries can cause fires in garbage trucks and facilities, and devices contain valuable and hazardous materials that should be recovered.

Do recyclers provide proof of data destruction? Many certified recyclers and IT disposal companies provide certificates of data destruction, which are useful for your records.

What should I do with devices when an employee leaves? Collect company devices on their last day, remove their access to business accounts, and wipe or reassign the devices. For personal devices used for work, remove business apps and data.

What’s an old smartphone worth? It depends on the model, age and condition. Recent flagships can be worth a meaningful amount; older devices may only be worth recycling.

Next steps

Read our guides to keeping devices updated and secure, encryption and data security and business smartphones.

General information; recycling rules vary by state and locality.

Sources

1. US EPA, Electronics donation and recycling
2. NIST, Guidelines for media sanitization (SP 800-88)
3. Federal Trade Commission, Consumer advice

Last reviewed October 20, 2026. Startup costs are estimates; check local prices, licensing and tax rules before you commit money.