Business Electricity Prices

Until recent years the average business person wasThe basics behind business utilities - be that traditional
only bothered about the bottom line i.e. the profit. It wasbusiness electricity, gas and telecom or more recently
more sales, more service etc quite a blinkeredbusiness mobiles, IP Telephony, Broadband, Web
approach in fact. It seemed they were ignoring the oldHosting etc. it is basic common sense that every
phrase; 'watch the pennies the pounds will look afterbusiness, no matter how large or small, reviews their
themselves'. There were moans and groans aboututility costs every year. They should know the tariff
competition from abroad, the rate of exchange anythey pay and when each contract expires.
many other excuses for the small amount on theTips about business electricity prices and business gas
'bottom line.' All they really had to do was some betterprices:
housekeeping and cash flow would have been much1) NEVER pay estimated bills!
improved.2) NEVER have a credit balance with the supplier.
Businesses were so against the management of their3) NEVER pay a company to switch you onto a
utilities that one could approach virtually any sizedifferent supplier.
company and be met with apathy when you offered4) NEVER deal direct with a supplier as they can only
them the chance to reduce their costs. It did notoffer you their product.
matter what costs you were trying to reduce for5) GET SEVERAL QUOTES and take your time to
them, be it business electricity, business gas, businesscompare the price AND standing charge.
telecom etc. And irrespective of the size of the6) ALWAYS terminate your agreement when your
company the excuses were varied. e.g. " I don't haveexisting supplier sends you a renewal letter.
the time to bother with my electricity prices, I'm tooTips about business telecom;
busy generating sales" or, in the large companies the1) NEVER contract to more than 24 months as prices
smug dismissive response was often "I don't reallyare always decreasing.
know anything about our business electricity prices as2) ALWAYS check for minimum call charges and
we employ a company to do it for us". Occasionallyconnection charges.
one would hear "we get loads of companies offering3) ALWAYS find out which company will carry the
to save us money on our business electricity and itcalls (ie. Carphone Warehouse, Verizon etc.).
always ends up costing us more'. I even recallFinally, although different sources have slightly different
speaking to one company to see if we could reducefacts, it would seem that only about 10% of
their business electricity costs. The response was abusinesses that are able to change supplier (be that
corker; "you can't ring the person who handles this asbusiness electricity, gas, telecom, mobile etc.) each
he is far too busy. Put your details in a letter and if hemonth actually bother to change. That is a sad
thinks it worthwhile he will contact you"!reflection on the commonsense of the average
I have often wondered if the person in charge ofbusiness person, especially when the savings are
purchasing business utilities (electricity, gas, telecomstaring them in the face and they can be as high as
etc.) does such a lousy job that they are afraid a cost70%!
reduction company will show them up.