Financing Options

 

Our bespoke eco classrooms and school buildings help to promote environmental awareness to your students and the local community. As modular builds, they save money on transport and onsite build costs, and as energy efficient and sustainable buildings, they’ll reduce your overall energy bill.

Condition Improvement Fund

Professional companies, such as ICS Funding Services, will help and support schools investigate their funding options.

ICS is an independent ‘value-led’ company that has been very successful in supporting single academies, small MAT’s, special schools and 6th Form Colleges to secure IRO £60Million from the ESFA Condition Improvement Fund (CIF) for schools across England.

This success has been achieved entirely based on a ‘no win no fee’ service and actually has been provided at nil cost to the schools, because professional fees are transparently included within the funding applications, and duly approved by the ESFA.

Their considerable expertise and access to an established professional panel of chartered surveyors and experts will help give your potential CIF projects the best possible chances of success.

Always remember if you do not meet the criteria for a new or replacement building then you may have other projects that are a CIF priority, which if successful, may help you to maximise future budgets towards a new eco building or other projects.  

The Condition Improvement Fund is only open for a short while, normally just prior to October half term and then closes around the third week in December. Please contact TG Escapes now or call ICS direct on 01623 821587 or email info@ics-funding.co.uk to see if they can help you apply for a new eco classroom or other priority project for your school.

Funding Options

At TG Escapes, we understand that few schools and nurseries have the funds to purchase a new building outright, and while there are many different charitable organisations providing grants towards these sorts of projects, it’s difficult to raise the full amount. In these circumstances, operating leases can be a useful option. 

Operating Leases

Under Government regulations, Local Authority Maintained Schools can take on an operating lease. Finance leases are viewed as a form of borrowing and are prohibited unless prior approval is obtained from the Secretary of State.

Academies are allowed more flexibility under the Academies Financial Handbook and therefore can legitimately take out an Operating Lease of up to 7 years without authorisation from the ESFA.

An operating lease involves the school paying a rental fee for the hire of the eco building for a set period of time, similar to a rental agreement. At the end of the lease, you’ll be able to either continue to lease the building at a fair market rate, or return it with nothing further to pay.

There are lots of benefits of using an operating lease to fund an eco classroom, including:

  • Speedy access to your new classroom (no delay while raise funds)
  • No upfront capital outlay
  • Spreads the cost over a number of years
  • Fixed costs for easier budgeting
  • Protects your balance sheet (operating leases are treated as operating expenses rather than debt)

We have relationships with a number of different education finance providers who’ll be able to help you find the right operating lease for your school. For help getting started, call us on 0800 917 7726 and we can introduce you to a suitable financing partner. As a guidline, over a 5 year period for every £1000 spent on a building, the monthly cost of an Operating Lease would be £18.51.

Generate revenue to cover the cost of your operating lease

Many of our customers hire out their eco classrooms to breakfast and after school clubs, or to other community groups outside of school hours. This is a great way to generate additional revenue – perhaps even enough to fully cover the cost of your operating lease.

Getting capital funding

You don’t have to fund your eco classroom through an operating lease; if you don’t have the capital available, there are a number of different funds that you can apply to for a grant. Sifting through what’s available to find the right one for your school can be overwhelming. That’s why we’ve produced a Grants Bulletin to help get you started. We also partner with a specialist who can help schools identify suitable funds and manage the appllication process for you. Call 0800 917 7726 for an introduction.

More information

The Finance & Leasing Association, National Association of School Business Management (Now the ISBL) and the Department for Education have prepared a guide to help you ensure that where you do choose to lease, you’re making the right choices for your school. Download Leasing Guidance for Schools.

For more information and advice on school funding options visit:

Grants4Schools – a comprehensive and up to date funding information service for the UK education sector.

Pebble – the UK’s largest school grants database.

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