No matter how big or small they are, all businesses should make an effort to see how much they spend on every single item they purchase, especially given how poorly the wider economy has been performing of late. For smaller companies in particular, many of whom having small profit margins to deal with, every penny saved is important, so when the price of something like electricity goes up, they start to panic about how they will cope with having to spend more than they’ve become accustomed to.
A recent survey carried out by OnePoll revealed that there’s a lot of anxiety among businesses about the rising cost of electricity, with 51% of respondents stating that they were worried about paying more than usual for energy. However, what was more surprising is that many of the businesses quizzed as part of the poll said that they didn’t keep a firm enough eye on how much of their income was being spent on electricity, with 19% saying they didn’t give responsibility for energy bills to their finance departments, while 14% had no-one within their company tasked with handling energy costs.
Those stats sound alarming, especially when electricity costs are rising at their current rate, and the need for many SMEs to reduce costs whenever and wherever they can is growing. Although it might not seem possible for SMEs to cut their electricity costs, there are ways in which savings can be made on monthly energy bills, according to a spokesperson from energy saving experts Make It Cheaper:
“The two issues concerning electricity bills for businesses are how much they use and the cost per unit. Failure to pay attention to either could be costly, especially for smaller businesses that are struggling to make ends meet. Part of the problem of expensive electricity is that businesses are inclined to stay with their existing energy supplier, as there’s no reward for loyalty. Regularly checking to see if there’s a better deal with a different supplier could be the answer for many companies in that situation.”
Spending too much on anything is something that most SMEs will strive to avoid if they can help it. However, as the survey proves, ignorance of any overheads and their cost could hit businesses in the pocket, which could serve to act as a wake-up call for companies desperate to drive down their energy costs by any means necessary.