Finding a business energy supplier that meets all your company needs can be harder than you think. This is why thorough research on suppliers is necessary before you choose your next tariff. Continue reading our guide to find out what you should be looking for in a supplier when signing with them.
With the energy crisis, switching over the past few years has not been a good idea. However, as the market is becoming more competitive again, this is something businesses should be looking into.
It's good to compare, but you must know what you want when choosing suppliers. Below we will go through what you should be looking out for when renewing your next business energy contract.
Type of tariffs offered
Does the supplier meet your business requirements? For instance, if your business operates 24 hours a day, do they offer dual fuel options?
Also, you may need a specialised contract depending on your industry and business size. For example, a micro business is likely to need extra support with their tariff. Each business is going to require a different tariff based on their energy. The three most common energy tariffs are:
Standard fixed tariff
A standard fixed contract is where your energy prices are fixed throughout your whole contract. The unit rate that you will sign up with will not change until you renew your contract again. Use these contracts when the energy market is unstable to keep your prices from rising too much.
Standard variable tariff
A standard variable tariff is where your unit rate will change depending on the wholesale rate of energy. This means if the wholesale market shoots up so will your energy bills.
Out of contract or deemed rates
Out of contract or deemed rates are the most expensive contracts energy suppliers have to offer. That is why it is really important to renew your energy contracts before it is too late.
Customer support
Finding the cheapest deal is important, but you should also think about the kind of company you want to work with. A supplier might offer a really good price, however their support might be really poor. For example, they don't answer the phones or problems take a long time to fix.
To analyse whether the supplier you want to go with offers a good service look at reports such as Which? annual report. You can also check online reviews to see other customers' problems with the company.
You should also consider the type of service your energy supplier is offering. For example, do they have green energy tariffs available? Do they offer meter readings or do you have to do this yourself?
You should consider whether the energy company you go with is going to improve your business's energy infrastructure. Energy companies are realising that businesses desire to decrease their energy usage. As a response, they are providing smart meters and assistance to aid in reducing energy consumption.
Renewable energy or green tariffs offered
It is becoming more important for businesses to become environmentally conscious. Therefore, you should consider what energy deals the supplier offers that could align with your business's plans. If your business wants to reduce its carbon footprint and go green, find a supplier that offers a green tariff.
Prices
In the past year, suppliers couldn't compete because wholesale energy prices were too high for them. However, now that wholesale energy prices have dropped, energy companies can price competitively again.
Your business must research before switching to find the cheapest energy tariffs available. When looking at your energy prices you should consider:
The unit rate
Your energy bill includes a unit rate, which is the cost per kWh of energy you use. The price of your unit rate will depend on the wholesale energy prices at the time you sign your energy contract. If you are on a variable contract your unit rate will fluctuate depending on market conditions.
The standing charge
The standing charge is the other part of your energy bill. This is the cost of delivering your energy to you. This will vary depending on a few factors, such as your location, energy supplier and the size of your business.
The contract length
you should also take into consideration the length of your energy contract. For businesses, some suppliers offer up to five-year contracts. Depending on what the current energy market looks like will determine how long you should lock your energy prices in.
Contract terms
Before signing with a supplier you should understand their contract terms. Understanding your contract terms is important to make sure you know exactly what you are signing up for. This ensures no extra fees and timely renewal.
How to ensure you are switching to the correct supplier
To choose the best supplier for your business, you need to invest a lot of time and effort in conducting research. We work with all of the UK's biggest energy suppliers, such as British Gas, NPower, EDF and many more.
At Resolve Energy we take all the hassle out of switching suppliers as we do all leg work for you. As we work with many different energy suppliers we know which ones would be the best fit for your company. We check gas and electricity prices and consider customer service before recommending a new contract to you.
We can help you switch energy suppliers and help your business save money at the same time.
If you're looking to save money on your energy bills then why not get in touch today? The relationships Resolve Energy has developed with over 24 of the UK’s biggest business energy suppliers allows our energy experts to source the best business energy rates available for your company right when you need them. Request a free quote today and start saving money on your energy.
