Recent months have seen gas and oil prices tumble, with Brent crude oil prices now below $50 a barrel. Whilst this has mixed implications for the global economy, it does leave many business owners breathing a sign of relief as the costs of running a business become more affordable.
Winter is traditionally an expensive time for businesses, as utilities put a big strain on a company’s finances. However smart entrepreneurs can take advantage of falling fuel prices to cut down costs without compromising on their business activity.
Curbing the Cost of Utilities
Energy firms received a barrage of criticism and serious sanction threats in 2014 for their over-the-odds rates, and the government is keeping a stern eye on the Big 6 to ensure that falling gas and oil prices are passed on to consumers. As such, now is the perfect time to shop around for a new tariff if you’re looking to switch utilities, as you may be able to secure a much more affordable contract for your business under these cheaper energy rates.
However it’s crucial not to be complacent with your business utilities, especially when reaching the end of your current tariff. You may be perfectly happy with your existing plan, but automatic rollovers often spell trouble for those who don’t take the initiative. Energy providers may automatically renew your contract, but not your rate. Businesses that are unaware of this ‘rollover trap’ can end up being tied into an expensive new contract with no way out.
To avoid falling into the ‘rollover trap’, start shopping around for the best deals at least a few weeks before your switch window arrives. If you’re tight for time, an independent utilities expert can help you to seek out the best plan for your business. Whether you’re a small local shop or a company with several offices, it’s important to find a tariff that fits your needs.
Cheaper Fuel Costs
It isn’t just utilities that have been influenced by the downturn in fuel prices; driving has suddenly become an affordable option, with motorists rejoicing at the falling petrol and diesel prices. Meanwhile, travelling by train, bus and other methods of public transport is only getting more expensive.
And that’s before you factor in the cost of delays and disruption to your business. So if going by car is much more convenient for you or your employees than other forms of transport, now is the time to take advantage.
Finding ways to reduce your business expenditure should be an ongoing priority for any company, however the current economic climate with low inflation and low fuel prices makes it easier than ever for smart businesses to cut costs.
Combined with efforts to reduce your energy consumption such as virtual meetings, turning down the thermostat, and investing in energy efficient appliances, you can turn more of your revenue into profit by taking the initiative as an entrepreneur.
Now take advantage of these low fuel prices and make the most of things.
This article is written by Kelly Gilmour Grassam, a freelance copywriter from Yorkshire. You can follow her on Twitter at @KellygGrassam. This article has been written with helpful information from Option Box