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Author: Kevin Stubbs FSLL, Technical Sales Manager
Date: 11/09/2018

Spanner in the works?

Kevin Stubbs (FSLL)  -  Technical Sales Manager at Llumarlite, highlights some solutions that may help our customers overcome some of the hurdles they regularly face –

Is there a spanner stopping your works from progressing?

1. Short Sighted Budget?
Work out the cost of new lighting vs old.  

  1. New lighting equipment, installation and running costs (i.e. energy and maintenance)
  2. Compare this with running and parts maintenance costs of the existing ageing system

This provides a payback period, beyond which a revenue stream is created which should allow you to invest money you have saved with your new lighting & controls on other things. Understanding this will make your position stronger and may focus your efforts to find budget from beyond your normal horizons, perhaps external finance assistance. You can typically expect that significant running costs reductions will pay for the finance repayments.  Llumarlite can help you understand calculate your current and potential new lighting costs, we will ensure they are realistic and accurate, and can help you source the finance you need.

2. Putting off CapEx approval
Asking others to commit money can be daunting - make sure you have a compelling business case. If you put it off your savings and improvements will not be realised this year or next.
Once armed with the details discussed above, you will more easily gain buy-in from procurement or finance teams to provide the capital needed - In turn, they may need to carry this upwards to different budget holders or directors, so your proposal and payback analysis will assist them too. 
More revenue is saved / generated if the project is a larger scale, and further economies may be achieved to speed payback.  So, aiming to do the entire project as one roll-out will save money compared to dealing with small sections one by one, and improve consistency.  

3. Payback calculation outside of justification criteria
We hear of many businesses who fail at the last hurdle when trying gain approval for their new lighting scheme because their payback may exclude key factors, making it less attractive. 

4. Best Value always beats Best Price
Decisions made purely on initial cost may not be safe, and most likely will not give you or your client the benefits of reduced maintenance expected. Our planets’ environmental resources are being used at an alarming rate, and unnecessary waste is the result. In truth if low cost/low quality product is installed, the entire scheme may need to be replaced in as little as 2 years! - you can’t change just the lamps any more!  Don’t risk that sting in the tail, having to tell your boss that lights are failing in as little as 6 months after their new installation. Affordability is important. Llumarlite won’t try to sell you off the peg luminaires, we work with you to find the best solution for your needs and get the best value British products to achieve your needs. We are an LIA member company providing reliable and safe products usually designed and manufactured in the UK   

5. Avoid Disruption and Upheaval
Llumarlite’s experienced team continues to supply and install lighting and control systems seamlessly (as it has for a quarter of a century!).  Many satisfied clients have worked with our engineers and project managers, discussing their site and business requirements and sharing our experience to ensure that new lighting installation works compliments their day to day operation.  We regularly work unusual hours to allow our clients day to day business to continue.

6. Speed your approval process
A new lighting scheme may be daunting. Yes, it may be easier to keep maintaining old lighting as the process to reorder parts and the maintenance function is already set up. However, sticking with the status quo will stop you reaping benefits such as: reduction in electricity bill, reduction in carbon, reduced maintenance and disruption, improved environment for staff and visitors, and future equity released for other projects in your business.
The mission to get a new scheme fully costed and approved may take some time, but once better-quality lighting is installed the results are overwhelmingly worth it. Remember, Llumarlite can help you with your business case and use our expertise to both design and install the best lighting for your needs. Mock-ups can help finalise your needs and speed up your decision makers’ approvals

7. Tenancy expiring soon?
Should your lease be coming to the end of it’s term, you may think that it is just not worth investing in a new lighting scheme?  As well as the usual cost savings in energy and maintenance, there are significant indirect benefits. Improving the working environment can reduce staff sickness, which nurtures a ‘feelgood’ atmosphere, increasing productivity. This can improve your businesses performance, and sales. Showing that you care - the act of involving staff in the decisions process and that you are investing in them can motivate a workforce. Improving the level of personal control that people have over their own working environment is now known to be a major influencer of Human-Centric Lighting. Subtle brightness and colour changes from warm to cool appearance through the day is beginning to show improved mood and benefit people in and out or working hours.

Help from the Tax Man?
The governments’ Enhanced Capital Allowance (ECA) scheme allows your business to invest in the top tier of quality energy-saving plant or machinery. This includes lighting, controls, design & installation. First-year allowances let businesses set 100% of the cost of these assets against taxable profits in a single tax year. This allows you to deduct the whole cost or up to the threshold limit from your profits in the same year of purchase.

Call Llumarlite if you’d like our help to take that spanner out of your works, together we can take some big bites out of your operating costs!

Contact Us By
Tel: 01296 436666 or Email us

Links
The Energy Technology List (ETL) and the Carbon Trust provide details of what qualifies and how to claim reduced Capital Allowances against energy saving products:-

Carbon Trust
Engergy Technology List


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Published on: 2018-09-11