Custom Build frame on Cycle to Work Scheme?

[aserota]

Hi all,

As im about to sign a full term contract with my current employer, i want to get myself a little present.

I commute 30 miles a day into London Bridge on my fixed bike, which i love. The only issue is that the frame is a little small form me (56cm and im 6ft 2").

I'd like to get myself a Lo-pro frame, but ideally would like something custom fit, or at least visit someone who can measure exactly what frame will fit me.

Does anyone know companies or shops that offer frame fitting or even custom frame building but under the Cycle to work scheme. Just to note this frame will be used for commuting everyday, so dont need a fancy carbon jobbie.

 

[RedBike]

A lo-pro frame? I thought you were complaining about the roads being bad?

Do you fancy the extra 10mins in bed then time trialling to work? I'm sat here laughing my socks off at the thought of a lo-pro with mud-guards and a pannier rack.

I would strongly suggest you beg someone to let you try one before you even think about buying one.

I've got a funny feeling that you have to buy a complete bike via the c2w scheme and the maximum you fan spend is £1000 (you can't add any extra). You also have to buy the bike at an approaved supplier (halfords / evens etc). They can order most bikes in but you'll probably have to forget all about your custom made jobbie.

 

[aserota]

Im after a Lo-pro frame, which will be run as fixed with a front brake. Setup i use now, but on a slightly different frame.

I seem to like the position a lo-pro gives.

I have a shower at work i use and ride with a back pack containing the days clothes and every tool concievable that ill need to use to fix my fixed bike.

 

[fossyant]

Course you can...that's what I've done - bike shops own fixed frame, fully specced to what I want......., hand built wheels....etc...

 

[RedBike]

Course you can...that's what I've done - bike shops own fixed frame, fully specced to what I want......., hand built wheels....etc...

And you got all this for £1000 and via the cycle to work scheme?

 

[kyuss]

I think 14 Bike Co do cyclescheme. They opened a couple of months ago down Brick Lane way. Lots of good reviews of their customer service and stock over on LFGSS. And they do a gorgeous custom made lo pro too.

 

[aserota]

Right, spoken to a LBS and have had some useful information. They can do the cycle to work scheme so will look at their frames shortly.

Ill pop into No.14 Co next week, as ive heard good things about them too

 

[redjedi]

And you got all this for £1000 and via the cycle to work scheme?

Your not always limited to £1000. I think if your company are able to offer credit to customers (or something) then there is no limit.
My boss just got a £4500 mtb on the C2W scheme (not used for commuting.....ssshhhh)

Have a word with the bike shop, because to them it's just a voucher which they claim back from Gov, just like a gift voucher.

I'm thinking of doing something similar, just get a frame, though not a custom made one, but a correct fitting one.

 

[Flying Dodo]

In theory, all you need is simply to get a quote from the bike shop for the bike, and then get your employer to buy it. You don't have to use the "official" route via Halfords or similar. It's just a question of then drawing up a simple hire agreement (which you can copy from loads of web sites) and then doing the salary sacrifice for the net repayment by the employee.

It wouldn't be valid to get a frame - it has to be a complete bike. However, in theory there's nothing to stop it being done as a part purchase, with your employer buying part of it and you the rest - especially if the dream bike you're looking at is more than £1,000 as that's the limit for firms without a Consumer Credit Licence.

Very clear & comprehensive notes here.

 

[Cromcruaich]

The £1000 is a limit on the cost. No idea how someone got a 4500 bike on that - though its a condition that what is available for directors and management should equally be available to employees - so I think someone is flouting the rules there.

Approved supplier is rubbish - that is entirely dependant on your company policy and is dictated then to them if they use one of these 3rd party companies that ease the administration (supposedly), while creaming a bit of money from the LBS i believe.

Custom build is no problem - all you do is get the any bike shop to quote you for a £1000 bike, then pay for the extras yourself. Done it myself - you just need a VAT receipt for the £1000 quote.

Luckily I work for a small company and it was just a matter of the director talking to the accountant who sorted everything out. You might not be so lucky and could be bound to all sorts of odd company rather than scheme imposed rules and regs.


edit*
Dodo covered most of what I said previously, but i'll let my contrib stand.

 

[Greenbank]

The £1000 is a limit on the cost. No idea how someone got a 4500 bike on that - though its a condition that what is available for directors and management should equally be available to employees - so I think someone is flouting the rules there.

The £1000 limit, as someone above suggested, is just the limit of a finance deal that any company can do without having to buy a Consumer Credit License.

The company I work for has a CCL for £1500 and so I could get a Cyclescheme voucher for up to £1500. If you worked for a company that sells cars on finance then I'd assume they'd have a CCL up to a much higher amount, so £4500 is not out of the question.

I was also able, with Cyclescheme, to pick a bike that cost more than the voucher, and pay the balance to the shop. Not a dodgy cash-in-hand deal, I paid with a credit card. The receipts, including the one that goes back to Cyclescheme, all have the real cost of the bike on it.

From: http://www.cyclescheme.co.uk/employee,faqs.htm

"
Can I get any bike?

You can choose any bike, including electric bikes, providing your chosen Cyclescheme partner can supply it. Some bike shops may add an administration fee to quotes for custom bikes, because the profit margins are lower than those available on standard, mass-produced models. If your employer wants to supply bikes costing over £1000 (retail price including VAT) then they will need a Consumer Credit Licence, and this costs £725, so many employers limit the package value to £1000.
"

And in our terms and conditions (on our company intranet):-

"

• If an employee selects a bicycle & safety equipment of a greater value than the voucher value, the employee must settle the additional cost directly with the Retailer either with cash or by using a debit card, credit cards are not to be used.

"

Heh, they slipped up then letting me pay for the remainder by credit card.

 

[MacB]

thanks Greenbank that makes more sense now.

By the way is it a set 12 month repayment period?
If it is what do people do each year, just get another bike?

I know standard practice is to sell the bike to the employee for a nominal sum.

 

[Greenbank]

thanks Greenbank that makes more sense now.

By the way is it a set 12 month repayment period?
If it is what do people do each year, just get another bike?

I know standard practice is to sell the bike to the employee for a nominal sum.

12 months, yes.

The "Nominal sum" isn't so nominal. It's typically 5% of the voucher value, plus VAT, so I'll be looking at £86.25 for my £1500 voucher. Also, if you don't want the bike (why you'd do this I'm not sure) you have to pay the same amount to the company as an administration/handling charge in order to dispose of it.

They're not allowed to specify how much the buy off price will be. If they did then it would be a taxable perk and appear on your P11D and, as such, attract income tax.

Some people do use it to get another bike each year, depends if they really bought the bike for commuting duties.

Next year I'm considering using the scheme to get a PowerTap SL on the cheap. Find a willing bike shop to spec a really cheap bike but with a PowerTap SL system built into a good wheel (£1200 alone). The cheap frame will then be used as a turbo trainer bike.

 

[skwerl]

If an employee selects a bicycle & safety equipment of a greater value than the voucher value, the employee must settle the additional cost directly with the Retailer either with cash or by using a debit card, credit cards are not to be used.

This is weird. I'm (99% anyway) sure that when the scheme first started employees could 'top up' but the govt then realised that part-ownership blows the whole rental scheme idea out of the water. The whole point of the tax break is that the bike is leased to you without any indication, in advance, that you may be able to purchase the bike at the end of the scheme. Being part-owner from the outset screws all that up. Most bike shops are able to frig the paperwork sufficiently so the value reclaimed is only £1000 though.

 

[Greenbank]

The whole point of the tax break is that the bike is leased to you without any indication, in advance, that you may be able to purchase the bike at the end of the scheme.

Not quite. They can tell you that you can buy it off them at the end, just not for how much, otherwise it's a benefit in kind and the value of it is known in advance.

If there was no mention of buying it at the end of the 12 month term then not many people would like the idea of paying the full cost of a bike (albeit by salary sacrifice) to essentially rent it for 12 months and then have to give it back. Bonkers idea.

But, I am 100% certain that I've been able to do this with the scheme as implemented by our company. I got a voucher for £1500 and used it as part payment for a £2250 bike. I paid the rest via a credit card and picked up the bike the next day. I've had it for over a month now.