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Why a fixed price energy contract can help your business

Why a fixed price energy contract can help your business

While energy prices are fundamentally affected by supply and demand, weather, politics and global economics also play a part, making energy prices difficult to predict. Fortunately, fixed price energy contracts are available, allowing businesses to protect themselves against fluctuating energy prices.

What is a fixed price energy contract?

A fixed price energy contract is a contract between your business and your energy supplier, stating that you will pay an agreed price for your energy for a fixed period of time, normally between 1 – 3 years. There are several advantages to fixed price contracts, especially if your business is looking to save money.


Why is a fixed price energy contract good value for money?

  1. It’s easy to budget.

With a fixed price contract, you’ll know exactly how much you’ll be paying for your energy. Being confident of energy prices means you can narrow your contingency budget, freeing up more of your funds to channel into other areas of your business.

  1. It protects you against price rises

Paying the same price for the duration of your contract means that you could still be paying current prices up to three years later, making a considerable saving for your business.

  1. It’s off your desk!

Energy procurement is a necessary part of running a business, but probably not one you relish. Once you’re signed up for a fixed price for a fixed period, you don’t have to think about it for the contract duration, freeing you up to focus on your core business.


Won’t I save money with a flexible contract?

Flexible contracts give you the chance to pay less for energy if prices go down. However, this is a bit of a gamble as prices can also go up. While you might be able to offset periods of higher prices with periods of lower ones, it’s a figure you’ll be constantly keeping an eye on, taking up valuable business time.


Save money on your business energy bills

At SavingSmart. we have set up fixed price energy contracts for businesses in a wide variety of industries. To find out how much you could be saving on your energy bills and how to get started, talk to me, Gilly Carter, today on 07909 523 855 or contact us via our website here.

Watch our business video here.

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