The business will be invoiced for all bikes and accessories taken through Electric Bike Access. You would then rent them back to employees over 12 months to recoup the full cost. Invoices are sent on a 7-day term to the business once the employees order has been despatched. Unlike most schemes we do offer flexible financing over varied terms, so you have the option to spread the cost.
It is now more important than ever to engage staff with a great benefits package, electric bikes allow you to travel further, more easily, reduce travel and parking costs and have a positive impact on both the employee’s health and wellbeing and the environment. There are many benefits to using Electric Bike Access, firstly we are one of the only manufactures to offer a cycle to work benefit directly to businesses, sign up is all online, it’s free and only takes a few minutes.
The employer purchases the bike and recoups the cost of the package from the salary of the employee over twelve months. The employee saves up to 42% depending on their tax bracket (32% for standard tax bracket salaries and 42% for high tax bracket salaries) and the business saves 13.8% on national insurance contributions on the value of the packages because their NI bill is offset by the value of the equipment on the scheme.
There is virtually no administration time for the business, we make this simple, easy to manage and clear, because its all online there is no unnecessary paper work and agreements can be viewed, approved and managed online through your employer portal. With Electric Bike Access there are no limits and we can offer credit terms to finance packages for businesses.
We make this cycle to work benefit easy to implement, manage and track to help businesses improve employee health and wellbeing, employee retention and engagement and improve employer CSR.
The employee agrees to give up part of their pre-tax salary to the value of the bike and accessories chosen, because the amount is taken pre-tax it decreases the value of the salary and results in the employee paying less tax and national insurance contributions, savings on retail prices are 32% for salaries up to £50,000 and 42% above £50,000. In the same way the business now has a reduced national insurance contribution value and saves 13.8% on the value of each rental agreement. The employee has convenient ownership options after the 12-month rental period is up. After the 12 months the employer has recouped the amount paid for the bike in full.
Electric Bike Access own the bike until the rental agreement has ended and the employee has signed the transfer of ownership agreement. After the 12-month rental agreement is up and the employer has recouped the cost of the bike in full the employee can choose to return the bike at no cost, extend to own or upgrade with a new agreement. Although Electric Bike Access own the bike in the same way a lease works the employee is liable for the bike and we always recommend taking out insurance and keeping the bike secure.
Following a cooling off period of 14 days, the contract cannot be cancelled or amended. The employee is legally obliged to pay back the salary sacrifice amount in full and in some cases without any tax exemptions if they leave the business or are made redundant. All agreements are at the employer’s discretion, its up to the business to set limits and approve all agreements for employees. For more information from HMRC you can download the guidance on Cycle to work benefits here. If you have further questions visit our contact us page.
We offer a hassle-free process, a direct relationship with the manufacturer and support from a dedicated team here in the UK. You will have complete control through your own portal which offers the ability to set limits, approve and track all agreements. The sign-up process is fast and free and once orders are placed and approved, we offer free next day delivery to an address of the employees’ choice. Simply adjust the employee’s payroll to recoup the full value of the rental and we do the rest for you. On top of this we offer in house payment plans to spread the cost and help with cash flow.
Electric Bike Access has FCA approval and because we are the manufacturer, we can offer any company a limit that suits their business needs. On top of this if you have demand for the scheme, we can help with cash flow and spread the cost, all in house with limited administration involved.
There are many benefits to working with Electric bike access, we offer free marketing support, from already drafted emails to staff and information packs to free demonstration days to engage staff with the idea of using an electric bike as replacement for shorter car journeys.