News

Technology leasing: The smarter, greener, cheaper way to buy your business tech

by Rasheeda Russell on Jun 07, 2022

apple imac on white desk with plants

The Klyk Eco Lease

A cash efficient & sustainable way to own your business tech.

Business Tech can be expensive, a new MacBook can set you back over £1,000 for just one employee. We have all learnt in the last few weeks that cash is king!

How do we balance that with needing to give our employees the best possible tech to make sure they are productive?

Leasing is a great way of spreading the cost of ownership over 2-3 years but also offers residual value benefits to reduce your overall cost of ownership & it maximises your corporation tax benefit.

In addition to costing your business less, it reduces your carbon footprint by promoting a circular economy for technology.

What is Leasing?

Leasing is something we have all heard about but can sometimes have a bad name. Some lease companies charge a very high rate of interest. This is often because the security (the thing you are leasing) does not have a good resale value. Really this is just a form of unsecured lending (the bad kind of lending from people like Wonga).

At Klyk we help to make leasing smarter, greener and cheaper

We have designed a new type of lease called our Klyk “Eco Lease”. This is an operating lease, a bit like the lease you may have taken out when buying your last company car. It let’s you take advantage of something called “residual value”. This is the estimated value of your tech at the end of your lease.

So why is the Klyk Eco Lease cheaper?

The “second life” or refurbished market for second hand tech has been growing. Lease companies are more confident of the end of lease value of brands such as Apple, Samsung, HP and Lenovo. The better made, the more its worth at the end. This “end of lease value” is deducted from the initial value of your lease

comparison of klyk eco lease

Take an Apple MacBook costing £1,000 for example. In a normal Lease you need to pay back the full £1,000 plus the interest on this which is £166.

In a residual value lease you get the benefit of the 25% of its value after the end of 2 years. So instead of the lease payments being based on £1,000, they are based on £750. The interest paid is also lower at just £89. An overall saving of £328.

You also benefit from the security value of your kit, the better brands are well made and easy to refurbish and resell. This lowers the interest rate applied to your lease. You may argue that you don’t get to keep the tech. But how many phones and old desktop PCs do we have at home or in the office? It’s a false economy to own the kit past its useful life to your business.

Klyk's Eco Lease is more sustainable

Not only is this cost effective and more flexible, it is also more sustainable.
At the end of your lease we take the kit back in, refurbish it and then find it a second life home. We even offer to lease equipment on its second life, at a substantially reduced rate to leasing new equipment.

We believe in creating a world where there is no waste in tech by promoting the move for technology ownership to one of the circular economy, after all it pays for business owners to think in this circular way.

If you would like to find out how a Klyk Eco Lease could work for your business visit our helpful leasing page.

Tags: