When running a business, it is only natural to want to take advantage of cheap business gas and electricity. With more selection now available than ever before, finding the very best deal for your business can be a complicated and time-consuming affair.
To help make the process as quick and easy as possible, it’s worth handing it over to the experts. Confused.com can quickly create a list of the cheapest deals for your needs – ensuring you get the best tariffs. Whether you are looking for gas, electricity or both, Confused.com are ready to help – meaning you don’t have to spend time comparing energy suppliers one by one.
There are now a wide variety of business electricity suppliers on the market, each often claiming to be the cheapest energy supplier for small businesses. To help you cut through the noise and find the right deal for your business, there are a variety of factors that you need to be aware of.
Firstly, the size of your business and how much energy of consumer on average, will of course have a large influence on how much you pay – however, if your consumption is more than average, you may find yourself eligible for discounted rates.
Secondly, your businesses’ credit score will also affect the price you pay, with poor credit scores often preventing a business from accessing discounted energy rates.
The location of your business can also influence how much you pay for your energy, with variables also depending on if you require supply to multiple sites or not. Whether you are looking for a single deal for gas, or a dual fuel tariff for both electricity or gas, Confused.com will help you find the best deal for your specific needs.
It is very difficult for energy suppliers to provide you with an accurate quote for your business gas and electricity needs without you first providing the correct information. This information centres around how your business operates and its previous usage habits.
Because of this need for specific information, businesses are required to speak to an energy supplier over the phone in order to get the cheapest business gas and electricity rates. Unfortunately, it’s only domestic tariffs that can be agreed online.
But don’t worry, you don’t need to go into discussions about energy totally blind. The following figures can be used as a rough estimate for businesses of all sizes with average energy consumption needs.
For a microbusiness or a very small business, average electricity costs will be around £650-£1,800 per year. This rises to between £1,900 and £2,900 annually for small businesses. For medium businesses, you should expect to pay between £3,300-£5,000.
Unfortunately, for large-sized business, standard quotes are not really possible. That’s because there are too many variables to be considered. However, this doesn’t mean you can’t save on your energy bills – just that you’re best suited speaking to an advisor who will advise you on whether you’re paying too much for your requirements.
Most important? When looking for the cheapest energy prices, you will almost always be able to find quotes that fall below your current spending.
With businesses often requiring much more energy than the average home, business owners need more control over their rates. As such, a variety of business tariffs exist, each designed for specific needs and coming at a cheaper cost per kWh than domestic policies.
To begin with, there are two main types of contract: fixed rate and flexible rate. Both have their own advantages and disadvantages depending on your requirements. That’s why we recommend you do as much research as you can before entering an agreement.
Put simply, Fixed-rate contracts ensure that the price you pay per kWh of energy remains constant throughout the duration of your contract – making it easier to predict how much your monthly bills will be.
In comparison, flexible-rate contracts are linked to the ever-changing energy market, meaning the prices you pay can rise and fall each month. Whilst this does enable you to benefit from falls in market price, the opposite is also true. This means you may find yourself paying more one month for the same amount of energy the previous month. That can make it a little difficult to find the cheapest energy supplier.
If you prefer consistency and the ability to budget efficiently, we recommend looking for fixed rate tariffs.
If you are nearing the end of your current energy contract, you are perfectly positioned to take advantage of cheap energy deals. Remaining with your current supplier will likely result in you receiving a new deal that won’t be as competitive as if you switched to a new provider.
So, if you are within the last 6-months of your current energy contract, you are advised to begin searching for the cheapest energy provider. This will provide you with ample time in which to search for the cheapest energy supplier.