Tips to Reduce Your Business Energy Bills

Energy is one of the biggest expenses that any business has to pay, so it’s worth your while to make any savings you can. You might look at reducing any wasted energy or even look at renewable energy sources by placing a solar panel on the roof of your office, but the best way of saving money on your company’s business is to switch energy suppliers. While this may seem easy to do, there is a big obstacle in front of companies who explore going down this route.

The obstacle in question is being locked into a contract with your current energy supplier. Companies who are under those contracts can only switch suppliers when a ‘renewal window’ starts. Lasting for around 30 days, it usually appears during the last few months of an energy contract, and failure to switch during that time may result in automatic renewal on less favourable terms. A number of businesses surveyed by make it cheaper said that they were either unaware of the renewal window or didn’t remember receiving a letter from their supplier telling them about it.

Fortunately, when the window is open, you have the chance to find out whether there are any better deals on offer from other energy companies. With the help of Make it Cheaper, who save their clients a combined £88m in 2011, you can compare energy tariffs from many different suppliers to see which one will offer the deal on your gas and electricity that’s right for your business.

Businesses of all sizes can benefit from changing supplier. Research from Make it Cheaper showed that there are significant savings to be made by doing so. They worked out that, on average, companies who switched electricity suppliers spent 10p/kWh compared to 14p/kWh previously, meaning they saved around 30% by doing so. As for gas, those who switched suppliers spend just 2.9p/kWh instead of the average 4.5kWh, saving over a third of money spent on gas. Added up over the course of a year, your business could save hundreds or perhaps thousands.

No matter how bleak the economic climate is, it pays to make savings wherever you can that don’t harm your business. Switching from your current energy supplier to a new one when the opportunity arises could be just the thing you need to drive your energy costs down. You could make significant savings, leaving your balance sheet looking much better.

Wealth Creation and Saving Strategies | OnMoneyMaking