Switch My Energy is an independent price comparison service that helps compare energy prices and switch to your gas and electricity provider to save on household bills and operating costs. Utility companies can help your business save on their energy bills by comparing gas and electricity rates for business customers. Switching your business to a new supplier can save you a lot of money on your energy bills. Our energy experts make it easy for you to switch from the best energy deals by comparing all the tariffs available and finding the one that suits your needs and budget.
Energy costs are among the top three business expenses in the world, and for 35% of small businesses, lowering energy costs can be a significant boost to your profits. Switching to the cheapest business electricity tariff is a quick and easy way to cut costs without affecting the daily running of your business or the quality of your services. Estimate your monthly bills by comparing energy prices.
Before you switch to the best business energy tariff, take some steps to cut your energy bills.
While it is possible to haggle over the price of commercial utilities, don’t be afraid to invest a little work to reduce your business expenses. Reducing the overhead costs for companies increases turnover, which is directly reflected in your profit and gives your company a stronger cash flow.
Business expenses can be divided into overheads and operating expenses depending on the type of ongoing business. Calculating the overheads for a business adds all the ongoing business expenses that keep your business running, not just those that contribute to the revenue production process. Once you have factored in the total cost of running your business, this tells you how much money your business needs to make.
Overhead costs, on the other hand, are what it costs to run a business. Overhead costs include fixed monthly or annual costs such as leases, insurance and salaries and expenses that differ month to month or at the level of business activities such as sales, promotions and repairs. These costs include rent, insurance and utilities.
If entrepreneurs are not careful, overheads can become a burden on companies’ revenues. Even something like Energy Switching needs to be effected in tandem with keeping overheads in-check, otherwise it just becomes something along the lines of salvaging whatever it is that you can manage to salvage, by way of operational costs. When business is slow, reducing overheads is one of the easiest ways to reduce losses and make your business profitable again. Remember that overheads are part of a company’s direct costs.
One way of determining the operating costs for a particular company is to think about the costs of eliminating or decommissioning production over a certain period of time. When you add direct expenses and overheads to the income statement, you see the total cost of your business. Another measure of the efficiency of the company and the resources used is the calculation of overheads as a percentage of labour costs.