Absorbing rising costs of gas and electricity can be difficult for a small business, especially when you’re forced to pass on the costs to your customers. Our buyer’s guide explains how choosing the right suppliers can still save you money...
As a small business you’ll probably use far more electricity and gas than a domestic user. What’s more, you have less flexibility about what you can do to cut down on your usage – you can’t turn off essential machinery, for example, and you have a legal requirement to keep the office warm (above 16 degrees Celsius for most businesses).
However, shopping around can still often get you a better deal – not just from the household names that dominate the energy market, but from smaller companies that supply gas and electricity exclusively to businesses.
Business buyer’s tip: uSwitch for business can help
uSwitch for business finds the best business electricity and gas deal for your company – and we’ll handle all the switching paperwork too. Find out how
Comparing utility deals: questions to ask
To compare business electricity and gas suppliers for yourself, answer these questions:
- How much does the energy cost, looking at both standing charges and the cost per unit? The method of calculation varies depending on the supplier.
- Are cheaper deals on offer if you sign up for longer?
- How often will there be meter readings, to ensure bills are accurate?
- How flexible are the payment terms?
- Are there any early cancellation fees?
Buying business electricity and gas: top tips
Think about methods of payment
Just as with domestic fuel, business energy customers can generally make savings by paying bills by direct debit. You can also pay a set amount each month which helps with budgeting, but you should monitor this closely to make sure you are paying roughly the right amount for your usage.
Look twice at dual fuel
It may be cheaper to buy your business gas and electricity from the same supplier, but not necessarily. Compare dual fuel bills against buying from separate suppliers.
Factor in geography
If you have several sites, be aware that there are regional price variations and the cheapest supplier in one part of the country may not be the best elsewhere.
Keep an eye on your fixed-term contract
Being on a on a fixed-term contract may save you money, particularly if energy costs rise while your tariff is fixed. However, it is important to keep an eye on when your contract expires – your contract may automatically be renewed at a higher tariff.
Make sure you understand how much notice you have to give your current supplier if you want to switch, or you could be stuck with a higher tariff.
Don’t just count cost
Remember that price shouldn’t be the only criterion when choosing suppliers. The level of service is just as important, if not more so – particularly if you have a problem.
Plan ahead
Check when your existing energy contracts expire and compare suppliers at least three months in advance of that date. If you want to switch you can line up a new contract to ensure a smooth changeover. uSwitch for business can compare suppliers on your behalf: call us on 0845 877 0046 or tell us when you’d like us to call you back and we’ll handle the rest.
Shop around and negotiate at renewal
Even if you stay with your existing supplier, negotiate a new fixed contract, otherwise you may be put onto a higher tariff when the old contract ends.
How uSwitch for business can help
uSwitch for business compares business electricity and gas suppliers on your behalf to save you time and money. We’ll work out exactly what you need – and we’ll take care of all the paperwork too.
Call us on 0845 877 0046 or tell us when you’d like us to call you back and we’ll handle the rest.