Financing Options for LED Lighting
When considering an LED lighting upgrade for your business, one of the key benefits is the significant energy savings. However, upfront costs can be a concern for many companies.
Fortunately, there are flexible financing options available that allow you to enjoy immediate savings without the need for heavy initial capital investment. Let’s take a look at two potential financing plans for a typical LED lighting project.
Option 1:
3-Year Financing Plan
Capex Cost: £44,909.12
Deposit: VAT-only
Monthly Payment: £1,485.22 (36 monthly payments)
Current lighting operating cost: £7,450.41/month
Projected LED lighting cost: £1,375.92/month
Savings: £4,589.27/month
During the 3-year finance period, the total monthly costs (finance + operating) would be £2,861.14. Compared to the current costs, this provides monthly savings of £4,589.27 from the first month. Once the finance term is complete, your savings will increase to £6,074.49 per month, thanks to the lower running costs of LED lighting.
Option 2:
4-Year Financing Plan
Capex Cost: £44,909.12
Deposit: VAT-only
Monthly Payment: £1,162.27 (48 monthly payments)
Current lighting operating cost: £7,450.41/month
Projected LED lighting cost: £1,375.92/month
Savings: £4,912.22/month
With the 4-year option, the monthly cost of finance and operation totals £2,538.19, giving your business £4,912.22 in monthly savings during the finance period. Once the finance term is complete, your savings will increase to £6,074.49 per month, just as in the 3-year plan.
Why Finance Your LED Lighting Project?
Financing your LED lighting upgrade offers numerous advantages, making it an appealing option for businesses seeking to reduce their energy expenses without impacting their cash flow. Here are some reasons why financing might be the right fit:
Preserve Cash Flow: Financing lets you avoid a large capital expenditure, freeing up cash flow for other critical business needs.
Immediate Savings: Unlike traditional purchases, where you need to wait for the ROI, financing allows you to see immediate savings on your monthly energy bill, even while making payments.
Predictable Payments: Fixed monthly payments make budgeting easier, providing financial stability while reaping the benefits of energy efficiency.
Tax Efficiency: Depending on your jurisdiction, financing payments may be tax-deductible, further enhancing the financial benefits of upgrading to LEDs.
Key Benefits of Financing with Low Energy Designs:
Cash Flow Positive from Day One: With both financing options, your business will immediately be cash-flow positive, thanks to the energy savings that exceed the finance payments.
Zero Upfront Capital Requirement: Financing allows you to start the project with no upfront capital outlay, requiring only the VAT as an initial deposit.
Substantial Long-Term Savings: After the finance term ends your business would save a significant amount of money per month.
Alternatively, Business grants are one of the best ways to fund the capital cost of purchasing and installing LED lighting. We’ve compiled a list of area specific grants for you.
Why Choose Low Energy Designs for Your LED Lighting?
Not all LED lighting systems are created equal, and selecting the right provider is key to maximising your savings and ensuring long-term reliability.
Low Energy Designs (LED) stands out for several reasons:
Superior Energy Efficiency: Our LED systems are designed to optimise energy use, cutting down energy consumption by up to 80% compared to traditional lighting. This translates directly into lower operating costs and higher savings.
Durability and Longevity: Low Energy Designs’ LED products are built to last, with a lifespan far exceeding conventional lighting. This results in fewer replacements, reduced maintenance, and greater long-term value.
10-Year Warranty: To provide additional peace of mind, our products come with a 10-year warranty, ensuring reliable performance and support for the lifetime of your lighting system.
Bespoke Solutions: We tailor lighting solutions to meet the specific needs of your business, ensuring optimal lighting performance while reducing energy waste.
Sustainability: Beyond cost savings, switching to LEDs contributes to your company’s sustainability goals, reducing carbon emissions and lowering your environmental footprint.
Proven Track Record: Low Energy Designs has extensive experience in helping businesses transition to more efficient lighting systems, with a proven track record of success across a wide range of industries.
By financing your LED lighting project with Low Energy Designs, you’re investing in the future of your business. The combination of lower energy costs, predictable payments, and the flexibility of financing makes upgrading your lighting system a financially smart decision.
If you're interested in exploring how financing can make your LED lighting project a reality,
reach out to us, and we can arrange a detailed discussion with our sales team.