With costs rising across the board it is only logical to cut back on anything not essential to your business. But with energy prices now spiralling, can you afford not to move to LED lighting?
For years we have all become rather comfortable with relatively affordable energy. It has been a cost that businesses could handle, without it making a major impact on prices in the same way that local or central Government taxes can.
That has of course changed dramatically over the last 12 months. And with energy costs now at a peak, even accounting for possible Government intervention the amount of electricity your business uses is putting real pressure on your balance sheet.
So what can you do? The first step of course is to review what you use and cut any waste. Which is entirely logical and should help to stop energy costs making your business unviable. But there is also looking at the necessary energy usage – how can you reduce the cost of that too?
Well, one major part of your energy usage will be tied up in your signage. And with the nights now starting to draw in, they will soon be lit up – and that will be happening increasingly earlier. Which makes the idea of improving their efficiency all the more important.
You will already know how your signage helps to draw in customers. So a well-lit sign is very important. But your signage, like a lot of other retail and commercial businesses, still uses fluorescent or halogen lighting systems. They’re effective, but they cost a lot to power.
There is an alternative. In recent years Light Emitting Diodes (LED) have become popular in new signage. But LED systems are an excellent upgrade option too – and it can deliver significant cost savings to your business.
LED and Your Energy Bill
The chief reason for upgrading to LED lighting is efficiency. LED systems are significantly more efficient than fluorescent or incandescent legacy systems. To reach the same level of illumination, LED lighting uses a fraction of the energy – as little as 10% – compared to the amount required to power tungsten, halogen or fluorescent lighting. Such a huge drop in energy use will soon become apparent in your electricity bills.
LED and Your Finances
When you compare them to old lighting systems, LED brings a fast return on your investment. They have a longer lifespan as well as lower running costs. So when you upgrade to LED lighting you can realise a ROI in a short amount of time.
But there is more welcome news. Via Enhanced Capital Allowance (ECA) there is potential for corporation tax benefits when you upgrade to LED lighting – including the cost of installation. And in some cases Corporate Tax Relief can be claimed on the whole cost of approved energy efficient items. So as you can see, there is a very powerful argument for you to upgrade your retail signage to use LED lighting. Yes there is an upfront cost, but the tax savings and lower energy bills makes the investment extremely worthwhile.
The cost-effective way to switch to LED lighting
Switching to LED lighting is in most cases a straightforward process. But it must be done properly. Legislation states your signage must be cared for by someone with the experience and correct training to do the work.
The Cygnia signage maintenance team are the largest in the UK and will also manage your annual safety inspections, repairs, cleaning, pest protection to maintain your signs – all increasing the return on your signage investment.
Time to reduce your bills and keep your signs looking great? Contact us today to find out how we can help you.