Employer Info - E-Beic

E-Beic has partnered with the Green Commute Initiative.

Green Commute Initiative is leading the industry with its cycle-to-work scheme with no limits. GCI scheme participants benefit from no £1,000 spending cap and no scheme exit fees. Save up to 47%, depending on your tax bracket. Pay monthly through salary sacrifice with no added interest. Get our Snowdon E-Beic and help reduce congestion and pollution, whilst improving your health, fitness and mental wellbeing.

A Cycle-to-work scheme with NO employer costs

How the scheme works for the employer

Buying the Snowdon from E-Beic using the Green Commute Initiative is easy and straight-forward. We have produced a step-by-step guide to show you how the scheme works, and what you and your employees can expect at each stage.

1. Essentially your employee hires the bike through Green Commute Initiative. Why hire and not buy? These are the rules set by HMRC which all cycle-to-work schemes work to. GCI is also authorised and regulated by the Financial Conduct Authority. It’s because of this that GCI can offer bikes over the traditional £1,000 limit. At the end of the scheme, ownership can pass to the employee.

2.Once your employee has decided to have the E-beic Snowdon, they will get a quote from us, complete a form on the GCI website and present you, the employer, with a proforma invoice. The invoice is for the cost of a GCI voucher covering the cost of the bike hire package. So, you actually buy a voucher from GCI, not a bike. Why a voucher? This is another HMRC scheme rule.

3. Now the rest of the paperwork needs to be completed. Firstly, we need to deal with how the voucher will be paid for. There are two financial mechanisms you can use to acquire the GCI vouchers:

Pay-as-you-go option

You can pay for the vouchers immediately and then we’ll release the bikes to your employees. It means there might be a slight delay in your employees getting their bikes but if you pay the invoice quickly, this can be minimal and there is no cost to you.

Financed option

You can finance the whole scheme with a third party so there is no impact on your cash flow. There is a charge of 8% but this is more than covered by the 13.8% employer’s NI savings you’ll make, so you’ll still save almost 6% and there’s no effect on your cash flow.

4. Once the voucher has been paid for, you’ll want to know how to get your money back from the employee. It’s quite simple really, they accept a new rewards package where they give up or sacrifice part of their cash salary in exchange for the non-cash benefit of the bike. Hence the term ‘salary sacrifice’. The salary sacrifice arrangement is between you, the employer, and the employee, and is independent of the hire period they will have with GCI. As their employer you can choose a how long the repayment period will be for however it must be for at least 12 months; we suggest that you discuss this with your employee so its agreeable to you both.

5. Green Commute Initiative provides an HMRC compliant Salary Sacrifice Agreement and also the Hire Agreement. We use state-of-the-art electronic document signing so there is no need for time consuming paper documents.

6. Once the agreements are e-signed and payment has been made, GCI will also send you a receipt and instructions on how to handle the VAT element.

7.All that remains now is for GCI to send the employee the voucher to take to pass on to E-Beic to claim their bike and start cycling to work, reaping all the benefits it will bring to their lives.

8.GCI manages all the end of scheme arrangements directly with the employee. So apart from setting up the salary reduction there’s nothing else for the employer to do.