Renting vs buying
- When LED products are purchased, the buyer assumes all of the product and liability risks. Manufacturers of LED products therefore offer guarantees that the buyer must check and evaluate. Often, these guarantees are very limited, linked to conditions, or the guarantor is not solvent. In the case of rental, the party renting out the product bears all of the product and liability risks.
- The product selection process takes a not inconsiderable amount of effort (see point 1), which costs time and money. Both the products and all the data contained in product data sheets, for example, need to be checked carefully. This time-consuming process, which is difficult for the consumer, is redundant with a rental agreement. During this time, our rental clients can already have saved wage costs / personnel.
- With conventional products offered for sale, the manufacturer has a high self-interest in ensuring that another sale is made after a certain period of time. Concept Light, as a rental service provider, is interested in ensuring that its products are as fault-free and operate for as long as possible.
- When switching from the purchase of retrofit LED tubes, for example, or connecting LED tubes to light fittings withelectronic ballast, the buyer bears the full liability for risks. The manufacturer‘s type approval for the light fittings is rendered void, and claims for damages are almost never successful. Electrical companies regularly refuse to carry out installation work as a result of this. In the case of rental, Deutsche Lichtmiete Vermietgesellschaft mbH (Deutsche Lichtmiete) bears all of the liability for risks, and is fully insured for them.
- With rental, none of the follow-on investments are needed during the entire rental period, which results in a further significant cost saving.
- An IFRS-compliant rent (balance sheet-neutral) means that you, as a company, retain valuable liquidity for your core business and can leave the process of optimising your lighting energy to us. The Deutsche LichtmieteOff Balance rental model has no negative impacts on the renting party‘s balance sheet structure. This keeps the equity ratio stable. Credit lines are not burdened.
Classically, a leasing rate has a “financing component” added to it. This is what defines the character of a leasing transaction. Leasing transactions are associated with obligations and risks. Insurance obligations, for example, and the product risk, which the customer has to bear in accordance with the leasing agreement. This means that the customer would need to assert any claims against the supplier or manufacturer of the leased product himself. In the event of a guarantee claim, the lessee is not entitled to any reduction in the leasing payment. With modern technologies especially, this harbours major risks, for example if the supplier of LED products is no longer in business, does not fulfil his obligations to resolve problems or fails to take out product liability insurance to cover claims. The leasing provider will however insist on the leasing obligations being met. Additional risks arise if guarantees or warranties expire while the leasing agreement is still running. In the case of a rental transaction with Concept Light, Deutsche Lichtmieteas a the rental provider bears all of the risks set out above for the entire rental period.
Basically yes. To qualify as an operate lease and therefore be balance sheet-neutral based on international standards, a number of factors must be taken into consideration. Deutsche Lichtmietehas developed a special agreement for this, with specific service packages. By including the contractual key data you want and modules tailored to your needs, you can list the service provided by Deutsche Lichtmieteas balance sheet-neutral, even under international regulations, without any problems and in agreement with your business auditors.
Deutsche Lichtmiete concludes agreements only with customers who have at least a good credit rating. Ideally, the usage times of the lighting systems should be above the average (more than 8 hours / day). When used a lot, the electricity price plays a secondary role in our calculations of the customer‘s cost savings. Deutsche Lichtmietedoes not conduct business with customers who contravene our ethical and ecological principles.
Many of our customers work from rented premises. Often, the tenancy or rental agreement lasts longer than our minimum rental period. Often, rental customers also have a number of extension options for these rental agreements, which ensures planning security for the customer. You are welcome to decide whether a rental model with Deutsche Lichtmietewill make financial sense for your company specifically once we have presented you with our offer.
Terms and conditions
No. Rental payments are not loan or leasing instalments. They represent actual rent with all of the tax-related and legal benefits these bring for our customers. The concept of Deutsche Lichtmietehas been verified by the Bundesbank and the BaFin under the category of “lending business subject to licence”. It was determined that the rental concept by Deutsche Lichtmietedoes not comprise any financing aspects. This is extremely important for companies in terms of accounting. It also in particular means that an IAR / IFRS-compliant rental model is possible. Only with a true rental model are all the risks borne by the rental company. Deutsche Lichtmieteinvests in high-quality technology with an extremely long service life, assuming all of the risks on behalf of its customers.
At the end of the minimum rental period, our customer always has a choice. He is given the opportunity to continue the rental agreement automatically without any further input. The rental payments are not indexed, so the customer‘s potential savings will increase from year to year as the rental period is extended and electricity prices go up as expected. The Deutsche Lichtmietecustomer can also terminate the agreement once the minimum rental period has elapsed, or obtain a quotation for lighting from Deutsche Lichtmietebased on the current situation, and enter into a new rental agreement, again for a fixed rental period. This ensures that customers remain fully flexible at all times and are constantly at the cutting edge of technology.
Once the minimum rental period has elapsed, our customers are able to terminate the rental agreement with a period of notice at the end of the minimum rental period or, following extension, at the end of the extended period. In the event of the agreement being terminated, Deutsche Lichtmietewill confirm the termination to the customer and the customer will, as agreed, return the products at his own cost and risk, to the business headquarters of Concept Light. We are very interested in fostering long-term business relationships and would advise every customer which alternative solutions are available if they wished to remain our customer.
Since we conclude rental agreements only with creditworthy customers, we anticipate that our customers will be able to pay without any problems. If however there should be a payment delay, we will send our customer a reminder, in accordance with the agreement. If the customer is late making several payments, we will terminate the agreement, and the total of any outstanding rental instalments will become payable by the customer. Should repayment fail to be forthcoming, we will take steps to recover our products.
The high-quality LED products from Deutsche Lichtmieteare not fully paid off by the end of the minimum rental period. Concept Light‘s business model is to implement energy efficiency projects today and to release our customers from any of the risks associated with them. Over the term of the minimum rental period, our customers enjoy the benefit of familiarising themselves fully with the products from Deutsche Lichtmieteand convincing themselves first-hand of their quality. As a result, we invest in high levels of customer satisfaction and we hope and expect, as does any investor, to achieve added value.
Installation and maintenance
We work with qualified and experienced specialist electrical companies. They look at the current lighting situation in your company, offer advice and also carry out installation. This means that our partners receive support from our team at all times.
You have two options regarding the billing of installation costs. Either you settle the installation costs with our partner directly, or you have the option of allocating the costs to the rental period. We will then assume the costs.
The lessee is responsible for regular servicing and maintenance. However, in most cases this is limited to cleaning as and when necessary. This practically reduces typical maintenance and replacement costs to zero. In the rare event one of our luminaires fails, the customer will receive a free replacement for the duration of the rental period.
Liability issues and insurance
The products by Deutsche Lichtmieteare insured in more than one way. On the one hand, the customer’s existing building insurance provides cover against natural damages (fire, mains water, storm, etc.). On the other hand, Deutsche Lichtmieteitself provides cover in the form of liability and product liability insurance against damages caused by the product. There is also electronics insurance as additional protection against power surges and theft.
The luminaires remain the property of Deutsche Lichtmiete; hence why Deutsche Lichtmietehandles the liability for the products and is insured accordingly. At the same time, Deutsche Lichtmieteguarantees the functionality of the luminaires for the full rental period. And, provided installation is carried out according to the relevant standards, our partners are also relieved of liability and guarantee issues.
Yes! We produce our products for an extremely long lifespan on the basis of our business model. We work on the premise that each product will provide over 100,000 hours of service. We guarantee the functionality of the luminaires for the full rental period.
Our failure rate has been beneath 0.1% for the last few years. The luminaires are typically very easy to replace. Contact us if a luminaire has failed and we will send you a new luminaire as a replacement. Our partner then takes care of installation again. They will also return the defective luminaire to us.
In that case, please send the damaged product to Concept Light. We will inspect the damage, carry out repairs where appropriate, or provide a new replacement product. We decide on a case-by-case basis the extent to which a share of the costs has to be paid.
Yes. Deutsche Lichtmieteworks with external ballasts when using LED tubes. Only in this way can we guarantee that the products will operate in a stable manner and without developing additional heat. The Deutsche LichtmieteLED tube is supplied with a low voltage of 18 V. In the event Deutsche LichtmieteLED tubes are used in conventional luminaire housings with 230 V and thus subjected to overload, our products are provided with a fuse and a special installation tool for releasing a safety catch. As we are the only manufacturer to provide protection against external use, we have registered a patent for this mechanism.
Production and quality
We endeavour to leverage the greatest possible added value when manufacturing our products in Germany. To help us do this, we acquire all of the components, plastics, aluminium, etc. needed from German production companies, manufactured exclusively for us according to our specifications and using tools made for Concept Light. The components are assembled at our own production facility in Oldenburg. The LED PCBs are also assembled in Germany in line with the highest quality standards (of the type used in the aviation and medical technology industries). Products such as LED chips, which we cannot have made in Germany, are obtained directly from market-leading manufacturers.
Since 2008, Deutsche Lichtmietehas carried out a large number of energy efficiency projects in companies from all kinds of industries across the whole of Germany. Not every customer has given their consent to be used as a reference customer. We work with sensitive data and we also collaborate with stock exchange-listed companies who can count on our reliability and discretion. We have customers in virtually every industry, however, that can vouch for what we do.
Deutsche Lichtmiete offers a lifetime guarantee for all our rented products.
A distinction is made here between the output of the LED lighting used and the light or bulb‘s system output. We use only the latest LED models from the world market leader in LED chips. Our LED products also regularly work at significantly lower currents than are typically recommended. Instead of 65 mA (max. 170 mA), for example, we supply a current of 35 - 50 mA, and without any pulsing or cycling. This increases the efficiency of individual LED lights at 170 lumen/Watt, for example, to just under 180 lumen/Watt according to the manufacturer‘s specifications. This results in a significantly longer lifespan. Similar to a car with a 5-litre engine capacity that is only ever driven at 50 km/h. A car like that would last a very long time. The system power of complete products arises from the power of the LED lights used minus the power loss of the LED drivers used and minus the light losses caused by plastics, etc., for example. The system power of our products is between 130 and 150 lumen/Watt, depending on the type.
Unless otherwise requested, we provide Deutsche Lichtmieteproducts featuring industrial LED drivers without a DALI interface. If our customer wishes to have products with a DALI interface, we must be made aware of this before our offer is made. Deutsche LichtmieteLED products do not need to be converted or replaced; the industrial LED drivers are simply equipped with a DALI interface. The DALI control system is not included in the scope of our project calculation.
The beam angle of our products varies between 60 and 180 and the LED chips used. We supply project-specific, degrees, depending on the product type, the optics used customised solutions to suit our customers requirements.
All Deutsche Lichtmieteproducts have VDE approval or are currently in the approval process in the case of new products.
We use only drivers compliant with the DIN 61000 industry standard. Not cycled, not pulsed and with an extremely low residual ripple.
Deutsche Lichtmiete only uses materials of the highest quality and, where possible, materials that have been made in Germany. For example, aluminium profiles are extruded in German factories using tools especially for Concept Light, while plastics are purchased from German manufacturers or manufactured for our products in accordance with our specifications. With our plastics, we pay particular attention to splinter protection, structural stability and low flammability, and we satisfy all of the criteria set down by international food standards (food quality). Our products can be recycled and satisfy ROHS criteria. All of the electronic components used comply with the industry standard and are not procured via distributors, but instead directly from the manufacturers. For example, for our plug connections we use products from the automotive industry that have been tested for many years.
Yes. An extensive analysis for every customer is included in the service we provide. This allows an accurate before / after comparison. Unlike any other sector of clean technology (CHP power plants, solar, wind power, etc.), the result of our lighting projects is not affected by external influences (e.g. legal regulations). A before / after comparison can be achieved by simply measuring the various loads (e.g. 71 Watt before, 26 Watt after, customer saving 45 Watt).
All of our customers receive a CO2 certificate as standard once the project has been accepted; this proves the start of the electricity savings and the CO2 saving achieved by the project.
All Deutsche Lichtmieteproducts are fully recyclable, the majority of them are also reusable and can be repaired. Unlike other lighting materials, when our LED products are disposed of there is no left-over mercury or radioactive waste.
1. High energy cost savings: Companies looking to reduce their energy costs can quickly and permanently achieve savings of at least 65 per cent just by switching to highly efficient LED products. A fluorescent tube with a power of 58 Watt, for example, uses a further 13 Watt or so for the ballast, totalling 71 Watt. In contrast to this, an LED tube with the same light output requires only around 22 - 26 Watt. The potential savings become even more apparent with HQL or HQI narrow-angle ceiling lights of the kind used very commonly throughout industry. A common spotlight will consume 400 Watt, for example, as well as 80 Watt in power loss for the ballast, amounting to 480 Watt. An equivalent LED light, on the other hand, requires just 216 Watt. When there are 500 ceilling lights in a hall, this amounts to an enormous potential saving. An old lighting system such as this would generate around Euro 1,100 in electricity costs over the course of just one day in three-shift operation. This equates to at least Euro 22,000 per month for the energy consumption of one hall lighting system alone.
2. Better light quality: Conventional fluorescent tubes flicker around 50 times per second due to the 50 Hz frequency of the mains voltage. Although this cannot generally be seen by the human eye, our subconscious registers it, and we perceive it as unpleasant. High-quality LED lighting, on the other hand, does not flicker, and instead emits a calm light. The good light quality has a positive effect on employees‘ work performance, well- being and health.
3. Reduction of fire hazards: High-quality LED lighting uses external LED drivers, since these allow the heat produced by an LED tube to be conducted better, and the tubes do not become too hot. This markedly reduces the risk of fire, especially compared to old light casings with CV or LLB ballast units. On some of the LED models available on the market, however, all electronic components are built directly into the LED tube. This has a negative impact on heat management inside the tube, which can lead to short circuits and rapid tube failure. It is also important to note that only if an external driver is used can systems that have already been converted to electronic ballast units (EB) be switched to LED in a straightforward manner and with full insurance protection.
4. Lower maintenance and repair costs: Lighting maintenance and repair is for many companies a cost factor that is difficult to control. In heavy industry, the replacement of a single light can cost several hundred Euros, because a cherry picker is needed, external companies need to be involved or very high safety requirements need to be met. In extreme cases, maintenance work can be carried out only outside production times. But in smaller companies, hospitals or car parks, in-house engineers have a lot of work on their hands with the regular replacement of faulty lights. The relatively short lifecycle of fluorescent tubes compared to LED lighting means that the maintenance costs of conventional lights are often many times higher. A good LED tube will last at least two to three times as long as a conventional fluorescent tube. Even frequent switching cycles do not have a negative effect on the lifespan of an LED light.
5. Environmental protection: With the use of energy-saving LED lighting, CO2 is saved immediately proportionally. For example, by using high- quality LED products, a medium-sized company can not only save 665,000 kWh in electricity costs per year, but at the same time save around 374 tonnes of CO2 plus 523 grams of radioactive waste.