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There's no such thing as a free lunch... or phone!

A lot of my day is spent having conversations with clients and prospects about mobile contracts for their business. Often these conversations revolve around "free phones", on the face of it these deals are great, but in my opinion there is no such thing as a free lunch.

In a lot of occasions people get lost in the headline of "free xPhone 19s+" and they do not really take in to consideration the inflated line rental that they be contracted into for this FREEBIE.

For instance if you are looking for one of the latest Apple phones for free, assuming you enter in to a 24 month contract, you would expect to pay between £50 and £60 a month for an unlimited calls bundle with varying amounts of data depending on your choice of network.

Given an average line rental of £55 a month for this deal, over the length of the 24 month contract your free phone, would cost you £1320.

Now let's take a different approach, one deal I found asked you to pay a contribution of around £140, towards the phone cost. Then rather than the average £55 a month, the line rental was £36.99. The monthly saving of £18.01 may seem paltry, but when we calculate your total contract cost the difference is more significant.

Assuming the £140 initial contribution and then monthly line rentals of £36.99 for 24 months, the total cost would be £1027.76

The difference between the options is a rather tasty contract saving of £292.24.

I am not saying that this should be a hard and fast rule, but I encourage you to crunch the numbers and take a minute to understand what a "free phone" actually costs your business and what each contract is worth.

I am trusted by my clients to advise on telecoms and technology for business, I offer a solution lead sales process, with in-depth knowledge and experience of integrated Telephony, Connectivity and Mobile solutions that transform business operations - driving productivity, efficiency gains and collaborative working. Resulting in bottom line cost savings.

For advice, or help please get in touch.