A leased line is typically set up between two or more locations using copper wires, fibre cables or a combination of both to provide a dedicated connection. It offers a significant upgrade to businesses from standard consumer-grade broadband. Establishing a leased line connection requires significant financial investment, which is why it is considered a long-term solution to a business’s needs.
Before committing to a leased line provider, it is important to understand the full scope of the contract and its meaning. To help you choose the right provider, we have compiled a list of five important questions to ask before signing a leased line contract.
1. What’s Included in the Service Level Agreement (SLA)?
When reviewing a leased line contract, one of the first things to evaluate is the extent of included SLAs. A service level agreement is a document that outlines the service promised by the provider in terms of uptime, performance, and support. A well-defined SLA should also specify the compensation you’ll receive if those standards are not met.
SLA terms vary between providers, and comprehensive agreements often come at a higher cost. This is because the provider is committing to stricter performance guarantees with a larger number of SLAs. Make sure your SLA agreement includes the following details:
· Guaranteed uptime percentage.
· If routine maintenance is included.
· How downtime is calculated.
· How long must outages last before compensation applies?
· The quality of customer support.
· The level of customer support.
· Minimum response times in case of service issues.
2. Is This the Right Infrastructure for Future Needs?
Many businesses opt for a scalable leased line option, starting with a smaller bandwidth like 100 Mbps and expanding in the future to speeds of up to 10 Gbps. Ask your provider if they allow upgrading the bandwidth of the connection mid-contract, and if so, will there be additional fees? Considering your future needs at the time of signing up will make sure your leased line can continue to match your business’s growth.
3. Are There Any Hidden Costs?
In addition to major costs like installation, setup, monthly charges and maintenance costs, some leased line contracts come with one-time or hidden charges. When all relevant costs are explicitly mentioned, it becomes much easier to estimate the total price according to bandwidth, the type of leased line and the location of your business. However, when prices are introduced later in the contract, it can seriously hurt the business’s trust in the provider.
That is why it’s important to ask for a breakdown of expenses before signing anything. Read our comprehensive guide to get an overview of the leased line costs. This way, you can understand the typical leased line costs better and avoid any surprises.
4. What’s the Contract Length and Exit Policy?
Leased line contracts usually extend from 6 months to 12 months or up to 36 months in some cases, too. While longer contracts offer benefits like lower installation fees or monthly charges, they can also become a burden if your business needs change.
Ask if the contract can be transferred if you change locations in the future. It should also mention if there is an early cancellation fee or other potential penalties. Knowing these details before signing up saves you from being trapped by costly cancellation fees on long-term contracts.
5. What Support Is Available If Something Goes Wrong?
Even with the high reliability of leased lines, service issues can still occur. In such cases, having access to responsive support is important. Before signing a contract, ask what kind of support is included; Is it 24/7 or limited to business hours? Find out how quickly faults are typically resolved and what maintenance processes are in place.
A reputable provider should outline these standards clearly in the contract. With ComparedBusiness UK, you can compare top leased line providers and choose the option that best matches your needs.
