5 tips for better energy prices for your business

For many businesses, gas and electricity costs are one of the largest overheads they face. And prices seem to creep up year after year. Furthermore, energy suppliers don’t advertise business tariffs, which isn’t particularly helpful. If you want to try and get better energy prices for your business, here are my tips:

1. Contract end date.

You must find out when your contract ends and work back from that date. A few suppliers will put this on your invoice, but the majority don’t, so call them.

2. Terminate.

Once you know the date your contract ends, you need to give your supplier notice. You can still renew with them, but it gives you a safety net as many suppliers still require between 30 and 90 days notice before your contract ends. Miss this date and you can be stuck with them for another 12 months at much higher prices – all in the small print. Or 2 years if not a micro business.

3. Get better energy prices.

Can be time consuming, and there are lots of suppliers out there – most of these companies only supply gas and electricity to businesses, and don’t get involved in the domestic market. Perfect Clarity have access to better energy prices and can negotiate these down further thanks to our buying power.

4. Avoid deemed rates at all costs.

You should agree a new contract at least 4-6 weeks before your current contract ends if you are switching supplier, as the process can take this long. If you are too late, you can pay up to double the amount to your current supplier for energy used after the contract end date.

5. Avoid verbal contracts.

You may receive cold calls from both energy companies and energy brokers. Unfortunately in the UK energy industry, verbal contracts are allowed and these just encourage hard sell sales calls and bad practice. If a company is persistent and pushes you to accept a contract over the phone, the chances are it is not in your best interests. I have come across many horror stories over the years where business owners have been talked into a ‘great deal’. At Perfect Clarity, we email a price sheet to customers and they can peruse this in their own time and get back to us when they are ready.

 

Perfect Clarity can help businesses save money on their energy and water contracts. Call 020 3372 6517 for more information.