Why spend so much money on lighting when you could use that capital to invest in something strategically more important for your business? There is always something that needs to be replaced or a new tool or machine that needs to be bought. The most successful companies are always on the lookout for the next smart or the next big thing. Their teams are always searching for the next chance to do something better, something that’s more business-friendly, and cost-effective. Any time a process or a strategy can be tweaked to give better results or save some money, these businesses take the plunge. Any time an old pattern of operating can be challenged, they are the first ones to try something new and see how it affects their business. However, keeping up with the trends and being a leader in any industry can be hard. Having an innovative outlook and employees who know in which aspects to look for the latest and greatest solutions is essential. The biggest obstacle for most companies though is the oldest impediment – the budget. The solution to this challenge is a business model that has become rather popular in the past few years: Lighting as a Service (LaaS).

#What Is Lighting as a Service (LaaS)?

Lighting as a Service is a service contract where a lighting provider installs and maintains lighting systems and controls for a customer. The financial savings that the customer will gain in a defined term from the installation of these systems are shared between the lighting provider and the customer. The lighting provider plans and designs the whole retrofitting process in order to upgrade and optimize your lighting system. They are responsible for buying and coordinating the installation of the entire equipment needed, helping customers overcome the most common obstacle for upgrading their premises – the project cost. Lighting upgrades, especially for large spaces, can be quite expensive. This is one of the reasons why LaaS has become so popular – it spreads the cost of installing new, highly efficient, and long-lasting lighting over the course of the contract.

LaaS is an effective way to reap the benefits of your lighting upgrade and make it a “cash-flow positive” from the get-go.

#How Can LaaS Benefit Your Business? 

The great advances in LED lighting technology are just one of the reasons why businesses want to start using them. It’s no news that technologies designed to save energy, such as LED fixtures, automated timers, motion sensors, and similar, can improve business efficiency and reduce costs.

Now, let’s take a look at the benefits of the Lighting as a Service business model.

1. No Upfront Costs
2. No Lighting Maintenance Costs
3. Start Saving from Day One
4. Increased Employee Productivity and Safety
5. Environmentally Friendly
6. No Technological Obsolescence
7. Project Management Through the Whole Process

#How does “lighting as a service” work?

1、5-year contract with monthly payments

2、100% reduction of maintenance costs

3、Guaranteed savings = no profit

And what is more important, “Global LaaS revenue is expected to grow from $232 million in 2016 to $4.7 billion in 2025”.