Whether you have an existing business or you’re starting one, you’ll need to choose a business gas supplier. With all the other costs and expenses that go into running a business, you’ll want to cut back where you can. Fortunately, you can make significant savings on your business gas bills by shopping around for the best deals.
Business energy bills are one area where you can spend less with great planning. The best way to find the best deals for your business’s gas needs is to compare different deals from different suppliers.
Shopping for new deals when you’re nearing the end of your contract is one way in which you can cut down on your business gas bill. We’ll help you find the best deals on business gas by making it easy to compare the main energy suppliers in the country.
Switching business gas suppliers might seem like a hassle. However, it’s pretty simple once you’ve chosen a new supplier. They will handle the rest of the details for you. You should focus on sending your termination letter within the notice period and finding your new supplier.
What Should You Look For When Comparing Business Gas Deals?
When comparing business gas deals, you need to make sure you know what you’re looking at. You also need to know what you should be looking for. There are two costs, in particular, that you have to pay close attention to. The first cost is the unit cost.
Business gas suppliers can offer deals that have a high cost per kWh and a low standing charge. There are also deals with a low cost per kWh but a high standing charge. As a result, it is important to consider both the unit rate and the standing charge when choosing a business gas deal
Unit Cost (Cost per kWh)
Gas is measured in kilowatts per hour, and you will be charged for every unit of gas that you use. So the price will increase with the amount of gas that you use.
Standing Charge
Everyone has to pay a standing charge. This is a fixed amount that you are charged for every day. The standing charge is the cost that is paid for supplying gas to the premises.
Types of Business Gas Tariffs
The business gas tariff you’ll pay will be specific to your business’s gas needs. This means that you’ll pay this tariff for the duration of your contract. The business gas contracts are bespoke, but they fall into a few general categories:
Fixed Rate Tariff
With a fixed rate tariff, there is a set unit cost of gas per kWh. This means that you don’t have to worry about your bills increasing if the wholesale prices go up. Your gas bills can still fluctuate depending on your usage.
A fixed-rate tariff can help you save money on your utility bills in the long run. However, it means that if the wholesale prices happen to fall, you will still have to pay your fixed rate.
Variable Rate Tariff
With a variable tariff, the price of gas per kWh will fluctuate with the fluctuations in wholesale gas prices. The advantage of this kind of tariff is that you will benefit when wholesale gas prices fall. On the other end, you will pay more when wholesale gas prices increase.
Out-of-Contract Tariff
Out-of-contract tariffs are the gas supplier’s default tariff. Typically, it’s the most expensive tariff. You usually pay this tariff after moving into new premises and not yet having a business energy contract.
Rollover Tariff
A rollover tariff kicks in after your old contract ends if you don’t renegotiate a new deal. It’s basically an automatic renewal of your energy contract. Rather than letting your contract roll over, you should always compare deals as your old contract is coming to an end.
Even if your previous contract had a favorable tariff, there’s no guarantee that the rate will still be that way at the end of your contract. You might find yourself paying for more than you wanted.
Final Thoughts
The best way to find the best deals on business gas when you already have a supplier is to shop around and see if there are any better deals. Comparing the different deals offered by different suppliers will show you which contracts are right for you.
Using an online comparison site like ours will make the process quicker and easier for you. Despite that, it’s important to make sure that you understand what you’re looking for and what’s being offered.
