What Is Business Electricity?
If you have never owned a business before that operated out of somewhere other than your own home, then you may not be aware that there are separate electricity plans for business and homes. You may have always just paid your home electricity and thought that was all there was to it- that businesses pay at the same rate to the same companies as homeowners so.
However, that isn’t true. In actuality, business owners have to pay higher rates than homeowners for electricity, and they have to pick an electricity supplier to buy from. If you start looking to see what suppliers are available, you might be taken aback by how many of them there are. It’s not just a couple; there are dozens of them out there, many of whom are probably operating in your area. They are competing for your money and your business, which is why you will find a variety of prices among them. There’s not just a flat rate that every business pays, and that means that you have an opportunity to save some money when it comes to business electricity UK service. You can choose the company that offers you the best deal.
How Business Electricity Is Calculated
There are a few different charges that go into a business electricity UK bill. It’s not simply a single flat rate that you pay each month or per unit. Yes, there is a per unit charge, which is calculated per hour or per half hour. The half hour calculation will give you a more accurate reading, but it can also be more expensive than the hourly reading.
The per unit charge is different depending on how large your company is. A small company pays a small charge, while a mid-sized business pays a larger charge and a large business pays the highest rate of all. Each business electricity supplier has this three-tier system in place, but they all have different rates for each tier, so it’s important to compare them and find the best rate you can.
Beyond the per unit charge, there is also a standing charge. This is a daily charge that is based on how much effort and resources it takes for the supplier to get electricity to you. For instance, if you live far from the supplier, then it costs them more to get that power out to you, and your standing charge will be greater than if you were very close to them.
The standing charge is not always something you will need to pay. There are contracts out there without a standing charge attached, but it won’t always be cheaper to go with them. You should figure in both the standing charge and the per unit charge when you look at and compare business electricity UK suppliers.
How to Compare
Now that you know what business electricity is and where you get it from, you need to know how to save money on it. Of course, you understand that the cheaper rates are going to save you more and that there is more than one rate to keep an eye on. However, you also need to know how to compare the rates among the various electricity suppliers.
Your starting point in the comparison process should be at price comparison sites. There are a number of these that are specifically geared toward business electricity UK services. You can quickly and easily compare the rates from a variety of suppliers and not have to waste all the energy and hassle it would require to go from one supplier to the next asking for quotes.
These comparison sites are the simplest way to keep up with the rates as well. You can keep checking back with them often in order to see where the rates are and if they have changed as well. That’s important to know if you are interested in signed up for a business electricity service and are just waiting for the right time to sign up.
Just be careful about the contract you sign up for. You ought to compare the contracts as well since each company has their own set of contracts. You want one that is advantageous to you and that will help you pay the same rate over an extended period of time. If you can manage that, then you will be able to save money and cut costs for your business.