How to choose the right business energy supplier

Choosing a business energy supplier can feel complicated. With different prices, products and contract terms to compare, it’s not always easy to know where to start. 

Price will naturally be important, but the lowest-looking quote isn’t necessarily the right choice for your business. The contract itself, customer service, account management and renewable energy options can all affect the value you receive over the longer term. 

The good news is you don’t need to become an energy expert. You just need to know what to compare. 

Here are the key things to consider when choosing the right business energy supplier for your SME. 

What should you look for in a business energy supplier? 

When comparing business energy suppliers, consider six key areas: 

• Overall cost: What are you likely to pay, beyond the headline unit rate? 
• Contract: Does the product give you the right balance of certainty and flexibility? 
• Service: How easy is it to get help when you need it? 
• Account management: Can you easily manage and understand your energy? 
• Transparency: Are the costs and terms explained clearly? 
• Sustainability: Are credible renewable energy options available if they're important to your business? 

There's no single energy supplier or product that's right for every SME. What's important is finding the right combination for your business. 

Start with what your business needs 

Before comparing suppliers, take a step back and think about how your business uses energy. 

Things to take into consideration include: 

• your annual electricity and gas consumption 
• when you use the most energy 
• whether your consumption changes throughout the year 
• how many premises you need to supply 
• whether your requirements are likely to change 
• how important predictable energy costs are to your business 
• whether renewable energy is a priority 

A seasonal hospitality business, for example, may have very different priorities from an office with relatively consistent year-round consumption. 

Starting with your requirements makes it easier to decide whether a supplier's offer actually works for you, rather than simply choosing the first attractive price. 

If you're new to commercial energy, our guide to business energy and how it differs from domestic energy explains how business pricing, contracts and metering work. 

Compare the complete cost, not just the headline rate 

Cost matters when choosing a business energy supplier. But comparing quotes isn't always as simple as choosing the lowest unit rate. 

When reviewing your options, look at: 

• the unit rate 
• the standing charge 
• which charges are fixed or variable 
• the length of the contract 
• other charges that may apply 
• the overall cost based on how much energy your business uses. 

Try to compare quotes on a like-for-like basis. If one offer has a lower unit rate but higher standing charge, for example, the best-value option could depend on your consumption. 

And if something isn't clear, ask the supplier to explain it. 

Choosing the right supplier is only one way to manage your energy costs. For practical actions you can take to use less energy, read our guide to reducing business energy bills. 

Look at the contract, service and support behind the price 

Once you understand the cost, look at what you'll get throughout the relationship. 

Does the contract fit your business? 

Think about whether the contract gives you the balance of price certainty and flexibility your business needs. 

Consider the length of the agreement, what is fixed, what could change and the options available if your business requirements develop. 

At SmartestEnergy Business, for example, we offer a range of standard and renewable energy products, with options designed to protect against wholesale market uncertainty for between one and five years. 

The right product depends on what matters most to your business, so look beyond the price today and consider how the contract could work for you over its full term. 

What happens when you need help? 

Customer service might not be your first consideration when comparing energy quotes, but its value becomes much clearer when you have a question about a bill, meter or account. 

Before choosing a supplier, consider: 

• how you can contact the customer service team 
• whether you can speak directly to someone 
• what support is available 
• how billing or account queries are handled 
• what existing customers say about their experience. 

Independent customer reviews can be useful here, particularly when looked at alongside information provided by the supplier itself. 

How easy is your energy to manage? 

Your supplier should also make the everyday management of your account quick and easy. 

Some things to look out for: 

• online account access 
• easy access to current and previous bills 
• meter reading submissions 
• smart meter support 
• visibility of energy consumption. 

SmartestEnergy Business customers can use our SmartWeb service to manage their account, including viewing bills and submitting meter readings. Our energy monitoring tools can also provide detailed electricity consumption information, helping businesses better understand when and how they're using energy. 

Look for transparency and credible renewable options 

Business energy can be complex. Understanding your supplier's offer shouldn't be. 

A good supplier should make it clear: 

• what you'll pay 
• what's included 
• what could change 
• how long your agreement lasts 
• what your key contract terms are 
• where to go when you need help. 

Clear communication can help you compare options confidently and reduce the risk of unexpected surprises later. 

What about renewable business energy? 

If reducing your carbon impact is important to your business, renewable energy should also form part of your comparison. 

If a supplier offers renewable electricity, it’s important to understand how its renewable claims are evidenced and independently verified. 

Things to take into consideration include: 

• where the renewable electricity comes from 
• how renewable claims are evidenced 
• what certification or verification is provided 
• whether you'll receive evidence to support your own sustainability communications 

At SmartestEnergy Business, our renewable products use electricity from sources including wind, solar and hydro, with consumption backed by energy labels and independently verified by the Carbon Trust. 

Business energy supplier comparison checklist 

When you're ready to compare business energy suppliers, use these questions to keep things simple. 

Price 

• Do I understand the overall cost? 
• Have I compared quotes like for like? 
• Do I know which charges could change? 

Contract 

• Does the product suit how my business uses energy? 
• Does the contract length work for me? 
• Do I understand the key terms? 

Service 

• Can I easily contact the supplier? 
• What level of customer support is available? 
• What do other businesses say about their experience? 

Account management 

• Can I manage my account online? 
• Can I easily access bills and submit readings? 
• Can I understand and monitor my consumption? 

Sustainability 

• Are renewable options available? 
• Are renewable claims supported by clear evidence? 
• Does the product align with my sustainability goals? 

Rather than finding the supplier that simply ticks the most boxes, focus on the areas that matter most to your business. 

What happens once you've chosen a supplier? 

Once you've compared your options and found the right fit, the next step is putting your new agreement in place. 

If you're considering SmartestEnergy Business, our guide to switching to SmartestEnergy Business explains what happens from accepting your quote through to your opening meter reading, online account set-up and first invoice. 

If you're approaching the end of your current deal and aren't sure when to act, read our guide to what happens when your business energy contract is ending first. 

Find the right energy supplier for your business 

There's no one-size-fits-all answer to choosing a business energy supplier. 

For SMEs, it's about finding the right balance of cost, contract options, customer service, transparency and sustainability for the way your business operates. 

At SmartestEnergy Business, we've helped more than 100,000 small and medium-sized businesses switch energy since 2009. Alongside our standard and renewable energy products, we provide dedicated customer support and online account management to help make business energy simpler to manage.