Corporate & business energy: choosing and comparing
When you are looking for energy deals a lot of different ones can be found. Within the corporate energy market a divide is made between corporate and small businesses. When you are searching for the best deal, the first step to take is checking in which category you should be looking. It is necessary to choose an offer that suits your company’s needs. For some companies a corporate business contract is way more profitable. At this page all your questions about corporate business energy will be answered. As said the corporate market makes a divided between small and corporate businesses. Immediately request an offer for you corporate & business energy!
What is corporate & business energy?
The difference between corporate and small is made at the capacity of the power connection. Smaller connections obviously give you less amounts of usage. You have a corporate business connection when:
- When your gas connection lets through a minimum amount of 40 cubic metre per hour, and/or;
- When the capacity of your energy connection is more than 3×80 Ampère.
When one of the above applies on your company, you need to choose corporate business energy deals.
Comparing corporate & business energy
Two features of a consumer in the larger business segment are:
- A monthly bill of your actual power usage
- Two different bill: one from the grid operator and one form the supplier
Within the corporate energy market it is obligated to pay for the actual usage monthly. This means that your bill changes monthly throughout the whole year. Companies will have a higher usage in the winter period, so the energy bills within these periods will be more expensive. The biggest benefit of this way of billing is the prevention of unexpected high bills at the end of the year. The billing isn’t build on a expected usage, but filled in afterwards with the actual usage. It gives you and your company security.
As said, when you are a corporate business consumer you usually will receive two different bills: one for the usage and one for the grid management. You will receive both bills monthly, which makes a total of 24 bills and thus 24 payments a year.
A sharp price for your corporate energy surely is important. Some companies also look for other preferred factors in their energy deals. For example a certain bandwidth when your usage differs a lot of a more sustainable offers, also named fuel mix. When you want us to keep these factors in mind when we compare the offers, you simply check the boxes in the application form. The rates are always displayed without VAT. The other costs in addition, like costs for meting and standardised costs, will also be added later. You get to choose between fixed and variable rates. When you choose for fixed rates, the rates are the same throughout the whole contract period. The fixed prices only count for the ones who go to the supplier, like costs for delivery and the standard delivery costs. When you choose for variable rates, the rates differ throughout the whole period. It is a risk which can play out profitable and loss-making, as the rates can rise but also drop.
The difference between corporate energy and small business energy
A lot of entrepreneurs don’t know the difference between corporate energy and corporate business energy. Especially smaller businesses tend to choose the wrong kind of energy deals.
It is a common mistake to look at the size of the company itself. The size of your company, size of your building, number of fulltime employees and the sales don’t matter for the choice of energy contract. Keep this mistake in mind when you start searching for a new energy deal. Another mistake is looking at your usage. As said it doesn’t depend on your usage, but on the size of your connection(s).
What’s the difference with SMEs?
Obviously the connections of both market segments differ, the ones at corporate businesses are bigger. Also the protection from the government is better for SMEs. Measuring company’s for the market of SMEs need a license from the ACM (the Netherlands Authority for Consumers and Market). When measuring companies operate at the market for corporate businesses they don’t need a license. With the obligated license the weaker parties are protected. In the segment for corporate businesses the government chose for a free market.
The way of billing also differs between these two kinds of businesses. Because of the free market for corporate businesses for choosing their grid operator, they get two bills. For small companies the costs for the grid operator are included in the bill from the supplier. Also the frequency of billing is different, as the corporate business market gets bills monthly. As said the monthly billing contain the costs for the actual usage. The smaller companies pay a fixed fee. Even though both consumers are businesses, the bills for small companies are way more orderly than the ones for big companies. The bills for corporate companies tend to be very detailed and difficult to read.
The differences between the offers for corporate businesses are way bigger than the ones for small companies. When you are dealing with a lack of options, it sometimes is beneficial to change to a contract for corporate companies. When you are searching for the best option always look further, the first and best option seems good but more than once you are able to get a better one. A solid and thorough investigation for the best option can save you a lot of money. We are happy to help you with giving the offered deals a closer look and filtering the best one out.
Do you need help with choosing a measuring company? We are always able to help you with choosing the right one.
Help with choosing corporate & business energy
As said before we advise companies to keep a close look at the differences between different energy markets. We understand that the energy market sounds difficult, especially because it is out of your normal day activities. Because of that we want to offer you a helping hand. We can help you with all of the aspects from the business energy market. Are you in doubt about different offers for grid operators or power suppliers? Aren’t you sure if your company meets the criteria for a corporate business connection? We are happy to help you with finding the answer to those questions.