Costings

1. Charge structure
2. Discounts
3. Do you backdate billing for excess usage?
4. What if I take over another company?
5. What is the notice period?
6. Can I suspend subscription over the quiet new year period?
7. What is the payment method?
8. What if I have depth in homogenous units such as in modern developments?
9. What if I am a young business and are not sure about volumes?
10. Should I charge costs back to landlords?
11. Can Citylets assist in communicating the network value to landlords?

Charge structure

We operate a pre-agreed set fee per-property-until-let charge structure with the unit cost on a sliding scale dependent on volume. This results in our charges to you being directly related to your activity in the market where you are billed only parallel with your charge opportunities with your clients.

To simplify billing, we collect a set fee per month which reflects the average monthly number of units brought to the market (ie advertised) from the annual perspective:

Eg 120 units a year = 10 units a month on average = £x per unit = £10x monthly

It's like a utility bill - your direct debit each month remains the same even though usage varies throughout the year. We feel this is the best way to charge, as to have a fee payable to us based on, say, your portfolio size (as per many other internet advertisers) pays no attention at all to the all important factor - the buoyancy of the market. If all your flats were occupied all year round, you would basically be paying for us for nothing.

What about discounts?

Our rate card has all the discounts built in through the sliding scale charge structure. New clients however are given a 25% discount on year 1 rates as standard.

Do you backdate billing for excess usage?

No. If at the end of the 12 month period for which charges are set, it transpires that you have done in excess of the agreed number of units, we do not back bill. We do however set the monthly tariff going forward in accordance with previous usage.

If at any time you become aware that you are regularly exceeding the agreed monthly volume of units, we would appreciate a call. We of course expect there to be busy periods (and quiet periods) but for example if you were exceeding the agreed volumes in even a quiet period it is likely that your monthly average will need adjusting.

What if I take over another company?

In the case where you acquire another business or portfolio, you benefit from the cheaper unit cost from the increased volumes. Our terms are that for the first full month following the acquisition of the new business that any existing deal remains in full force & effect but with new rates to be agreed by the end of that period. So if you have a deal for say £250 a month and you take over a business in April which would double your volume usage, the rate for April is still £250 with new fees to be agreed by the end of May. At this time we rely on you to let us know when something occurs which significantly affects the anticipated volumes of units you advertise.

What is the notice period?

When a fee is agreed it is applicable for 12 months but you are free to leave Citylets Property Advertising at any time. Invoicing will cease at the end of the calendar month in which written notice is received..whether it be the 1st or 31st of the month.

Can I suspend subscription over the quiet new year period?

Technically yes, however it would mean that any new fees agreed after that would be based on your monthly average during the busier times only. Generally speaking, as fees are agreed on a 12 month average basis, there is nothing to be gained.

What is the payment method?

As of June 1st 2006, all payments will be by Direct Debit or Standing Order only.

What if I have depth in homogenous units such as in modern developments?

The way we look at it, if there is a 'static' unit, ie a property which remains on the system month after month representing at least one unit of that exact nature, we bill for that unit once each month as opposed to the normal of billing just once at the point of entry. There are limits to our way of billing for homogenous properties but as a general rule the 'static' units system applies.

What if I am a young business and are not sure about volumes?

We start off with a good faith 'guesstimate' of how many units per month on average you think you would place through the network over the course of the year and review quarterly until a settled picture appears.

Should I charge costs back to landlords?

This is obviously an individual matter but as we charge you on a per unit basis and have household brand names on our network, there's a fair chance that your clients will value the product.

Can Citylets assist in communicating the network value to landlords?

Yes - we currently have an A5 sized flyer detailing the network which you can include in your media packs to clients. We also have a range of downloadable logos & images of the network at www.citylets.co.uk/downloads. We can also supply you with a window sticker for your premises, and if your office is suitable for distribution of the fortnightly Citylets Lettings Guide (ie. an office with passer-by traffic), this can also be arranged.