Our Frequently Asked Questions

Here are some of the most common questions that we get asked around the Cycle to Work scheme

Please be aware that these are generic scheme questions, and for specific information relating to your scheme, a personalised FAQ document will be available on your scheme landing page.

How does the Cycle to Work scheme work for employers?

Running a Cycle to Work scheme for your business couldn’t be simpler, in fact, we take care of all the work on your behalf. We’ll outline all the options available to you for funding, scheme limits, ordering periods and agreement durations, and once you’re happy, we’ll send you a supply agreement and implementation plan to kick-off your new Cycle to Work scheme.

Typically we would recommend a build up period of a few weeks to help you get the word out to your staff and promote your scheme before opening but we have the in-house expertise and flexibility to launch your scheme immediately if necessary, with a completely unique scheme landing and online store showing your unique scheme savings to your staff. Want to talk about setting up a new scheme? – click here to get a call back.

How easy is it to administer the running of the scheme?

The scheme is very simple to run. We set you up with an admin dashboard where you will be able to view all orders, here you can approve or reject orders and monitor the scheme. When you receive a new order you will get an email notification.

Where can our employees select their equipment?

Your employees will have access to an online store unique to your business. This will show bikes and products they can purchase within your scheme. Each employee will be able to access a savings calculator which will show them a savings breakdown that will detail savings based on their earnings and the products they choose.

We also have access to a partner store network that gives them wider product availability. They can simply choose a shop within our network and this allows us to produce a voucher to spend in store. This gives them the best of both worlds, they can shop online with us, or find a store local to them.

What’s the benefit of ordering online with Cycle Solutions?

There are a number of great benefits to ordering online with us. As well as great service and a dedicated team, we offer an 18-month warranty, free insurance (this must be activated by them once they get their bike), a bag with free bike tools, a wide range of choice, reward points to use on any future purchases and convenient delivery with our chosen courier.

We also have a dedicated aftersales department should anything go wrong and are available on phone, email or live chat and are more than happy to help with anything we can.

Do employees have to get a bike?

No, employees can choose a bike and accessories, just a bike, or just accessories. There is nothing that stipulates that they must get a bike on the Cycle to Work scheme. The choice is up to them!

How do employees select their bike?

Once you have your scheme set up with us, your employee will have access to an online shop unique to your business. This operates within the scheme parameters you have chosen and set up with us. Then, the process is simple, they can have a look at a wide range of bikes and accessories and select the package they want. Following this they check out just as they would using a normal shopping site.

Once the order has been submitted we send out a hire agreement to you and your employee. Once these are signed and approved we send out the goods as soon as possible.

Who owns the Cycle to Work bike?

This will depend on the type of scheme you choose to run with us. We can talk you through all the options and set you up on a scheme that works best for you and your staff.

As for who owns the bike, this depends on the scheme limit that you choose to run. Traditionally, if you choose a limit of £1000, you (as the employer) will own the bike, if it’s a scheme limit over £1000, we will own the bike. Either option means that the employee is hiring the bike for the duration of their salary sacrifice. It won’t belong to them until the end of scheme selection.

At the end of the salary sacrifice period, the employee will choose their end of scheme method which includes a completely free of charge option to maximise their savings through the scheme. We will manage the transfer of ownership on your behalf, with a fully compliant and seamless end of scheme process.

How can we fund a Cycle to Work scheme?

We offer a choice of funding options. We do all we can to be as flexible as possible when it comes to setting up your scheme. Typically funding will come from either proforma, finance or credit options and each have their benefits.

The option that you choose will depend on what works best for your organisation, but can provide all available options as part of an initial implementation meeting, where one of our scheme experts can lay out the options available to you and help you choose the most effective funding method.

What is the maximum value limit on the scheme?

The Cycle to Work scheme now allows you to choose what package value limit you want for your scheme. This change in guidance means you can provide a Cycle to Work scheme that’s more inclusive than ever before, allowing you to cater for every type of cyclist in your workplace.

The benefits to the higher limits means there are more options available to your staff. With more selection they are able to get everything they need in one go. It also enables a wider range of people to benefit from the scheme, as with availability of things like e-bikes, the scheme is more inclusive.

When an enhanced scheme limit is used, Cycle Solutions retain ownership of the bike but issue a Salary Sacrifice Agreement to both the employee and employer, along with a Hire Agreement for the employee to approve before goods are released. Alternatively, you can still choose a ‘standard’ scheme where equipment is bought from us and hired to employees with a maximum limit of £1,000.

How long is the employee’s agreement for?

We have flexible scheme lengths with 6, 12 and 18 month options available. The longer the length of the agreement, the cheaper monthly payments will be for employees. Exactly like a finance agreement but with great savings and no interest involved!

How does our business save money?

The scheme is free to set up. The bike is paid for by your employee via a salary sacrifice taken from their gross pay. You will be able to make savings from the national insurance contributions (13.8%) meaning that an employee package of £1000 would save your organisation £138, our bespoke scheme and marketing ensures that you maximise your employee uptake, which in turn, maximises your organisation’s savings.

What happens if I have questions about our scheme as it’s running?

We’re here for you every step of the way, you’ll be assigned a dedicated account manager who will be on hand to help you with the process and answer any questions. When the scheme is set up you will have a dedicated client success executive who will set up all the marketing for your scheme, speak to your administrator, work to understand your employee demographic and tailor the marketing to be most effective. Working alongside the account manager, they will handle all marketing queries, ultimately making sure the scheme uptake is as high as possible.

We’re also available via the phone, email or live chat on our website. Whatever is it, we’ll be happy to help.

How do you help us promote the Cycle to Work scheme?

We do a number of things to help you promote and manage the scheme. Your client success executive will work with you to do everything they can to make sure scheme uptake is as high as possible. You will receive co-branded marketing materials unique to your business, including digital and print materials.

We work with you to provide unique solutions and create the most effective communications for your employees and will deliver printed materials in advance. Your client success executive will walk you through every step of the scheme promotion, from communications, road shows, right up to closing weeks. Whatever you need we’ll be on hand to help.

What are the costs for promotional material?

We don’t charge anything for promotional material. This is free of charge! We provide you with co-branded communications and will print everything exactly to your requirements.

What can you provide employees to encourage uptake?

In addition the branded communications and digital and print materials, we also offer a range of other services. These include road shows where we bring the shop to you, taking bikes into the workplace so your employees can check out what we offer. We also provide Bike Doctor events which allows your staff to get bike checks and ask us questions.

We also do test ride events and bring e-bikes for employees to try out. Finally, we can do webinars at your convenience. Just get in touch with us and we’ll be happy to arrange whatever you need.

How do we check and sign-off employee orders?

With our simple order dashboard you can log in and check orders. It’s really easy to keep up to date with scheme performance and check which orders have been placed. Our one-click approval system gives you complete control over the orders that are placed through your scheme and you can easily approve or reject orders while also being able to find out how your scheme is performing.

What happens if an employee is ineligible for their Cycle to Work order?

When using your order dashboard you will be able to see rejection options. You can click the most appropriate option or even add your own unique reason. Your employee will be notified directly.

Do we have to offer the scheme to every employee?

Every scheme will be bespoke, we create something that will work for you and your business. We can build unique checks and communications into the order process and create a scheme to your requirements. We can also add specific messages into all communications and your dedicated scheme landing page. Get in touch and we can discuss your needs.

What happens if an employee leaves their job or is made redundant?

If your employee leaves they will be required to pay any future outstanding gross salary sacrifice amounts as a lump sum from your final net salary payment; such a payment cannot be taken from gross pay. If the final salary does not cover the final balance, your employee will need to pay you the balance owed within 14 days of leaving.

If they are made redundant the same will apply. Any outstanding balance owed will be taken from their final net salary payment.

What happens if an employee changes their mind?

We offer a 14-day cooling off period in line with distance selling guidelines. Your employee has a 14-day cooling off period if they change their mind. We have a dedicated aftersales department that can help deal with any issues that may arise.

What happens if an employee’s equipment is lost or stolen during the agreement?

Your employee must insure the equipment against theft, fire or accidental damage so that it can be replaced if it no longer works. If it goes missing or is damaged they will have to keep paying for it.

We provide 8 weeks free insurance with every bike ordered through our online store (that employees can activate with no obligation), but we recommend that your employees should contact the company that provides their home contents insurance policy and they will be able to advise on how to cover their new equipment. Alternatively, there are specialist bike insurance companies or employees can get 20% off the cost of their policy with Cycleplan after their free 8 week insurance period.

What happens if an employee’s equipment develops a mechanical issue?

We offer an 18-month warranty period. Typically standard warranty periods are 12 months, our warranty period is 18 months to give your employees peace of mind. We have a knowledgeable and experienced aftersales team who can help with any issues that may arise. We’re always happy to help.

What end of scheme options do our employees have?

We offer a completely free extended rental to maximise the savings your employees can achieve. There are options to own now or return equipment at the end of the hire agreement. Your employees have the option to choose this. There are various options for end of scheme, we will happily discuss this with you upon implementation of the scheme.

How is the final market value of the goods calculated?

We use the HMRC valuation table to calculate the final market value of the goods at the end of the hire period. You can see it here.

Age of cycle Acceptable disposal value percentage
Original price less than £500 Original price £500+
12 Months 18% 25%
18 Months 16% 21%
2 years 13% 17%
3 years 8% 12%
4 years 3% 7%
5 years Negligible 2%
6 years & over Negligible Negligible
How do we manage the end of scheme process for an employee’s package?

If you run a scheme with an enhanced limit then you won’t have to do a thing. We will manage the entire transition directly with your employee. For traditional schemes we will issue a credit note (£1+vat) to transfer ownership back from you initially, then manage the process with the employee.

When do you invoice for the goods?

This will depend on the funding method you have chosen and what works best for your finance department – we will decide on the best way to manage this as part of our implementation discussion.