For many businesses looking to switch energy suppliers easily, the main incentive is for them to enjoy cheaper bills and lower overheads.
Indeed, for some organisations the difference between making a profit and loss may come down to reducing their energy costs.
Despite this opportunity, the energy sector’s regulator Ofgem says most firms haven’t bothered switching and are now missing out on huge cost savings.
It also helps that firms can sign a contract for a fixed rate, usually for a year, though some contracts can run for two and even up to five years.
This means they will be able to fix their energy prices which will be of benefit for their cash flow forecasts.
Making the energy switch
When it comes to making the energy switch, the process itself is straightforward and the firm will need to source a new supplier who is offering prices they find attractive. There is no loss of energy supply during the switchover process itself.
It should also be appreciated that for those firms who have never switched energy supplier or have moved to new premises, they will be probably paying ‘deemed’ rates.
This is an out of contract rate which can be an expensive position for a firm to be in; the out of contract rates are usually much higher than in-contract rates.
However, if the firm doesn’t switch suppliers they may be automatically rolled onto these deemed contracts and may not appreciate just how much extra they are paying for their energy supply.
Issues to consider when switching energy suppliers
There are also other issues to consider when switching energy suppliers and these will include the firm’s location and the amount of energy they use.
On top of this, the price they pay for a contract will also depend on their type of business, the length of contract they choose to sign for and, of course, the supplier as well.
While this may appear to be a complicated and confusing marketplace, it is a simple one to negotiate though it does help having experts.
This may mean speaking with the experts at D-Energi who have the expertise and experience to source cheaper energy deals for businesses of all shapes and sizes.
The D-Energi team can also explain how businesses can switch energy suppliers easily and discuss the potential savings that can be made.