There isn’t anything any of us can do about the rising costs of energy. But there are some ways in which you can look to control your small business energy usage and therefore your costs.
We appreciate that this won’t be possible for all businesses and there will simply be areas where you cannot alter your energy usage. But if you can identify just a few areas where you can make changes this could be hugely beneficial to your operating costs.
Tips to reduce energy costs for your small business
Submit meter readings regularly
If your bills are estimated, then be sure to submit regular meter readings to your energy supplier so that you are not paying more than you should be on a monthly basis.
It may also be worth chatting to your supplier about fitting a smart meter if you do not already have one.
Switch energy supplier
This used to a be a top tip for reducing energy costs. But with the current situation and many energy companies also facing difficulties it may not be such a straightforward process at the moment. Still, it may be worth a quick check to see if there is a supplier offering a better deal than you are currently on.
Think about energy efficiency
Probably the best thing that you can do to control your small business energy costs is to look at your efficiency and make sure you are only using the energy that you need to be.
- Switch lights off if it is a sunny day and you do not need them. Switch lights off when you leave a room and do not leave them on in any rooms in your business premises which are empty
- Don’t leave computer equipment etc on standby overnight. Remind your staff to switch them off properly
- Use energy efficient technology like lightbulbs
- Use your heating or air conditioning only when necessary. And if you are using either, then be sure to keep windows and doors shut to improve efficiency
Educate your employees
You won’t be the only person using energy within your small business. If you can get all of your employees to control or reduce their energy consumption when in your business premises this can go a long way to helping you control your costs
Consider green alternatives
We recently looked at ways in which you can run an environmentally friendly business. And some of these areas may also help you save on your energy bills.
You could also consider whether you implement technology which can enable you to generate any of your own energy – investing in technology such as solar panels if appropriate could help reduce your reliance on traditional energy sources.
If your small business is struggling then do take a look at this advice from the Citizens Advice which explains what you can do if you can’t afford your energy bills.
Controlling your other small business costs
Sadly, energy prices aren’t the only costs which are increasing at the moment so your business may need to consider other areas where you can reduce costs.
Run regular audits
Auditing your business costs can help you identify areas where you have the highest costs. This can then help you identify areas to focus on.
This article looks at the benefits of cash flow forecasting for example when business costs are increasing.
Work with an insurance broker
Now isn’t the time to cut back on your insurance cover. This can actually be counterproductive. If you do cut back on your insurance, it can put you in a difficult position if you do need to make a claim. We’ve looked previously at the impact being underinsured can have on a small business.
If you work with an insurance broker, they can help you to obtain the right insurance for your business at the best possible price. Insurance brokers, like our team at Anthony Jones, are experts in insurance. We have strong relationships with a wide range of insurers so are well positioned to help you get the best possible price.
If you are reviewing your small business insurance needs this year, do get in touch with us at Anthony Jones on 020 8290 9080 or email us at firstname.lastname@example.org. All small businesses face different risks, and your insurance needs to reflect this. Our team of experts can work with you to get the right insurance cover for your business.