Planning ahead for all expenses can mean the difference between success and failure for small businesses, especially startups. An important expense to manage includes electricity costs.
Don’t be caught off guard by your monthly utility bills. Work with the experts at 5 Digital Energy to find the rates and contracts that make managing your monthly expenses easy and predictable.
Let’s start at the beginning: understanding your monthly bills. As a small business owner, your energy bills will typically rely on factors like the following:
Your small business utility bill can vary based on several key factors, including:
Keeping the above factors in mind, the national average monthly bill for American small business owners is roughly $2.14 per square foot. That averages out to between a little over $100 to over $1,600 per month for an office space of 700 to 9,000 square feet.
For most small businesses, lighting and HVAC systems are the largest contributors to energy consumption. Your utility costs will be influenced by the nature of your work; for example, a restaurant will have significantly higher energy expenses for major commercial appliances compared to a retail shop, while a laundromat will likely have a higher water bill than a real estate office.
Everyone can take a few extra steps that can result in energy savings, including the following.
The right equipment can make all the difference when it comes to lowering your monthly electric bills. When upgrading to more energy-efficient equipment, look for products that are Energy Star-certified or have a high Energy Star rating (usually 75 and above). Energy Star® is a federal program that makes it easy to evaluate the energy efficiency of both buildings and products to empower eco-conscious consumer choices.
Examples of consumer products that can lead to saving on energy costs include:
Ductless mini split air conditioning systems
Utilities often impose higher rates for electricity during “peak demand” hours, which occur when overall energy consumption is at its highest. In the summer, these peak times usually fall in the afternoon and early evening, coinciding with the hottest parts of the day when air conditioning units are running at full capacity. In winter, peak demand often rises in the morning and evening due to increased heating needs.
To help lower your business’s energy expenses, start by identifying the peak periods for your utility and consider shifting some of your energy usage away from these times. Here are some effective strategies:
Perhaps the single-best way to reduce energy costs is to choose the right energy contract with the right electricity supplier. Navigating the energy marketplace in deregulated markets, however, can be overwhelming. But it doesn’t have to be that way.
5 Digital Energy is an online energy marketplace helping business owners take control of their energy contracts by helping them find the best providers in their area, selecting the rates that work in their favor, and setting everything up, so that businesses can worry less about utility bills and focus more on ways to grow their business.
Contact Us To Learn More or Get Started Finding a Plan That Works For You
