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Need your office or home space a facelift? Why not lease some new artwork.
Leasing artwork can be the perfect solution to the décor decisions you have to make in your office or home space.
Lease Rental is 100% Tax-Deductible
The main reason that the majority of companies lease rather than purchase art is that they use leasing as a method of reducing their tax bills. This is because lease rental is 100% tax-deductible, meaning that all payments you make for your artwork are written off against your tax bill. For any profit-making business, this means a substantial saving in the real cost of acquiring art by lease rental. This could save you 20% on your lease payments, based on UK corporation tax rates.
When you sign up for a leasing contract you can pay upfront for the full leasing period or choose a monthly payment plan. A non-refundable security deposit including the first three months’ payment is needed when signing up for a monthly leasing contract. There is a minimum volume requirement of 3 artwork for leasing.
How it works (Example)
Choose your favourite artworks and send me a request using my contact form. Remember that you have to select a minimum of 3 artwork. When you have selected all the artwork you like to lease just fill out the form and send it. I will come back to you with a leasing plan within 24h.
You have two ways of paying when leasing: Up Front (*) or on a monthly basis. The example is based on a 6 months leasing plan for 3 Pigment Prints (list price €700.00/each – Total €2100.00):
- Upfront payment for 6 months leasing of 3 artwork is €410/each – Total Cost: €1229 + Shipping
- Monthly payment total: Initial cost (**) of €966 + €133/month in 3 months. Total Cost: €1365 + Shipping.
In the example above you will save €136 if the whole leasing period is paid upfront. The Buyout price after the end of the leasing period, if you like to keep the artwork, is €945. This price is based on the buyout of all 3. You can keep all, a few or none, but then the buyout price will change depending on the volume.
(**) All initial cost for monthly leasing includes the first 3 months.
(*) Up Front means that you pay the whole leasing cost when ordering, giving you a discount (10%).
At the end of your lease
During the lease period (6 or 12 months), you are renting the art and for that reason, you are gaining your 100% tax relief. At the end of the period, therefore, the art is not your property, which means you should return it to Erik Brede Photography, however, in practice no one does this. Erik Brede Photography will offer you the art for the buyout price specified in the contract, which of course is still 100% tax-deductible. If you choose to buy out the artwork, the CoA document, a signed label and the security seal for signing the print will be mailed to you – read more about CoA here.
The total cost of leasing + buyout is approx. 10% higher than the list price.
If you don’t like to keep the artwork after the end of the period you can return it to Erik Brede Photography. All shipping cost and taxes have to be paid by the sender.