Calculating and keeping a close eye on cash flow is essential for any new business, however energy costs are often overlooked. This is especially important for new businesses, where every penny counts.
Negotiating a new contract is a relatively simple and quick task. But almost 40% of businesses have never done it. They simply allow the contract to renew at an increased rate every year, or even worse, move onto a default tariff with significantly higher rates.
Always check your energy contracts on move in
Moving into a new property can be stressful and checking your new gas and electricity contract is usually pushed to the back of the queue. Don’t make the mistake of assuming that everything is ok because the lights are working.
Find out who your supplier is straight away and speak to them to find out what energy deals they can offer. If you do not know your supplier, you could consider contacting a broker and have them negotiate a new deal on your behalf. If you don’t find out, you’re likely to be paying more for your energy than you need to.
Get competitive quotes
You will be sent periodic reminders when your current tariff is up for renewal. These should be checked carefully as your rates may increase when compared to your current billing. Before undertaking any automatic renewal, you should contact a broker or other energy suppliers directly.
Switching is easy
Switching your business energy supplier is easier than you might think. If you're in a contract, find out your contract end date and, if it's within the next 12 months or so, you'll be able to negotiate a new deal with another supplier which will start when your current contract ends. If you're out of contract, or if you haven't signed one at all, you can start doing this immediately.
Once you've got a quotation that you're happy with, let your current supplier know you're leaving (usually they'll ask for a minimum of 30 days' notice), and your switch can begin. There will be no disruption in supply or any physical changes to be made in your property. Your new supplier will take care of everything from their end.
Check your switch has been finalised
You cannot have two business energy contracts active at the same time. If you have told your current supplier that you are terminating, you must have a new supplier lined up to take over the supply. If not, you may be placed on an out of contract rate. This will be much more expensive than your current tariff.
Gulf Gas & Power UK can help you to reduce your business energy bills. Get in touch today to find out how much you could save.