With the spread of teleworking, it has become almost essential to have adequate office space and furniture at home. However, not everyone has a seat, a desk, a lamp and some storage furniture. Or the budget to acquire real ergonomic office furniture, quality and, as long as you do, a little design.
This is where ENKY comes in. The start-up, which already offered companies to furnish their premises for a fixed period via a monthly subscription system or via circular purchase, recently developed an offer specifically dedicated to teleworking.
The idea, explains Aïssa Laroussi, CEO and founder of the start-up, is to offer a flexible solution to acquire quality and durable furniture, without locking in large sums. Whether at the professional or private level, he says he has been made aware of the substantial budget that the purchase of furniture can represent. “We therefore tend to opt for lower quality products, resulting in 10 million tonnes of household waste generated in Europe each year”, adds the young boss who insists on the sustainable vocation of the project.
A wide range of desks, chairs and accessories are available for rent via the ENKY site, at all prices (see box).
Location
Go to the ENKY website.
Consult the offer in the “office”, “chair” or “accessories” categories.
Choose from the items offered.
Select a rental period (6 to 36 months).
You will get a rental price and the selling price of the furniture or accessory.
Delivery times are mentioned.
Then just order. The furniture will be delivered and installed.
Examples
The “Alba” chair, displayed at the price of 975 euros, can be rented for 38 euros / month (6 months) or 25 euros / month over 30 months.
A “Colette” desk lamp, worth 105 euros, can be rented for 4 euros / month (6 months) or 3 euros / month over 30 months.
A mixed formula is also possible: the company covers part of the budget and the employee who wants a more designer or more upscale chair, for example, pays the difference.
Enky undertakes to buy back, after a specified period, all or part of the furniture at a price fixed in advance. They will then renovated before being put back on the market. But 70% of customers want buy back the furniture at the end of the contract. The repurchase can already be done at the end of 12 months of rental by paying the difference between the purchase price and the monthly payments).
What to think of this type of investment?
“This solution is nice and fits perfectly with the current trend, where many activities are moving towards renting and leasing”, frames a specialist in wealth planning. “Of course, we are witnessing a real institutionalization of home working. But I am not sure that in the current context, the first reflex or the priority of the bosses will be to renovate the furniture of the offices … office are expected to decrease, sometimes drastically “.
“This crisis, however, also brings about a transformation which involves a massive redevelopment of the offices, which suddenly turns into an opportunity for Enky”, nuances its CEO.
“Finally, it remains to be seen whether the bosses will invest in furniture in the homes of employees,” he continues. Because for now, “ teleworking only represents 2 to 3% of the rental furniture portfolio“Says Aïssa Laroussi.
Efficiency of 5 to 7%?
But the originality of the concept is that ENKY offers an alternative investment system: become the owner of this furniture that it leases on its digital platform and receive monthly income through this. “A safe and profitable investment. The opportunity to invest in tangible goods and benefit from low-risk returns, all in a sustainable approach,” says the start-up.
So what is the profile of the investor who bites on this hook? “Companies or independents who have cash to invest. Most are already active as business angels, consultants or holders of liberal professions who invest through a heritage company or one smanagement company“, details the CEO. The 15 investors who have committed to this stage have invested between 20,000 and 100,000 euros. A sample that is still not very representative, he concedes.
The formula has only just been launched and is not yet accessible only to the self-employed and to legal persons. “We have not yet decided whether this solution will be open to individuals in the future.”
According to an advisor in wealth planning, “the offer has aimed at the right target. It is above all necessary to adhere to the concept. If the company succeeds in bringing together 30 to 35 investors, the bet should be held”.
The investment procedure is simple and completely digitized. Investors go through a marketplace where furniture is rented and available for purchase by investors. Once a property has been purchased, investors can follow their portfolio via a dashboard.
What risk?
In a context where sight deposits and bank passbooks show a negative return net of inflation, the start-up promises prospects of 5 to 7% yield. “We apply a variable interest rate depending on the length of contracts with our clients. It is a low risk and very stable investment since the average length of a contract is 36 to 48 months, and most of our customers want to buy the furniture at the end of the contract, “comments Aïssa Laroussi.
However, specialists remain cautious, recalling that it is necessary take into account taxation and that a tempting return is always the counterpart of risk. In this case, here, the risk is to find yourself the owner of furniture that can no longer be rented out.
“We estimate that there would be only 10% of the cases where the furniture will be resold, and again, not necessarily at a loss. Because after 36-48 months of rental, a large part will have already been depreciated by the investor” , explains the boss of Enky
What if “the efficiency is high currently, it is because the solution is new, answers Aissa Laroussi. I am confident that there will soon be more capital available than rented furniture that can be purchased. This will inevitably have an impact on the yield “.
An umpteenth way to diversify its portfolio, therefore, via an original alternative which has yet to find its audience and prove its worth in an uncertain context.