Green Flags to Look for in a Business Energy Broker

There are more than 3000 energy brokers in the UK, of which 70 are business energy brokers. They don’t need licenses to operate but can be accredited if they choose to do so, meaning there are some suspicious characters providing brokerage services.

Therefore, it is important that you look for the green flags that will steer you in the direction of a legitimate business energy broker. 

Business Energy Brokers Explained

A business energy broker is a third-party intermediary who helps you to understand how the business energy industry works, what all of the processes are, and the timelines involved. These brokers help you to find the best business energy deals for your business while also taking care of all related processes by handling them for you. This will save your business both money and time. There is an entire range of services that they offer. Make sure that you draw up and sign a Letter of Authority that stipulates what your business energy broker is allowed to do on your behalf. This letter will state the necessary boundaries to protect your business and your broker.

Your business energy broker will negotiate your energy tariff and unit cost to get the best deal for your business. This person scours the energy market to find the most relevant quotes for your business from multiple business energy suppliers. If you do decide to switch to a different energy supplier, your business energy broker will take care of the entire process for you. This includes agreeing on a start date for your contract and making sure that all of your details are in order. Your business energy broker will remind you when it is time for your energy contract to be renewed. They will also assist you with this process if you want them to. 

If your contract was secured by a business energy broker, then they can help you to sort out any billing problems that might occur. A business energy broker can also give you advice on how to make your business more energy-efficient by providing tips and helping you to manage energy usage. You can find out more from Utility Bidder, a business utility comparison company that uses business energy brokers to get more information on services that are provided.

Green Flags

There are several things to keep an eye out for to make sure that you get a reputable and effective business energy broker to handle your business’s energy processes.

• A reputable broker has to be transparent and honest. You know you found a good broker like tx power to choose if they can provide you with successful case studies, references to follow up on, good online reviews, and other sources to prove a good reputation.
• It is not a priority, but if a broker can prove that they have been given awards for their work, you can be assured of their reliability.
• If the broker has a big portfolio of customers, it means that more businesses trust them to handle their energy decisions and processes.
• A good broker will make sure to explain their services and discuss payment methods with you before any kind of contract is signed so that everyone can have the same understanding. They will make sure that you understand everything and answer any questions that you may have.
• The higher a broker’s fees, the better their services. This might seem like an unnecessary expense for your business, but it just means that you can trust the broker to handle your energy matters.
• Seeing as a business energy broker doesn’t need an operation license, it is better to make use of a broker who has been accredited and has the relevant and needed experience.
• Has to show you the entire energy supply contract. You need to be given access to the entire contract before signing. If they walk you through the contract and explain everything in detail, then you have found a good broker.
• A good broker will never pressure you into taking a deal and signing a contract. If they do, you can be assured that you shouldn’t trust them.
• Have to be able to explain the energy price components. If the broker can’t explain the price components in the contract, then you can be assured that they don’t know what they’re doing and should be avoided.
• A good broker will make sure to explain and remind you of the contract period and all dates. One of the ways that brokers earn their money is per unit of energy used throughout the contract. If the broker keeps the term of the contract from you, you have the right to become suspicious.
• Your broker has to stay in contact with you even after the contract has been signed. They have to provide after-sales services for as long as they are being paid.
• A good broker has more suppliers on their panel. This means that you will be provided with more reliable energy deal comparisons. It also proves that the broker has a good relationship with suppliers.
• A reliable broker will look at all possible options for your business and not be tied to any specific suppliers. An independent broker is bound to provide you with a better range of options.
• It goes without saying that a broker that has more years of experience will be a better choice for your business. They will have more experience with the industry and how all of its processes work.
• A good business energy broker will provide you with a letter of authority. This offers your business more security and peace of mind.
• Your business’s details should be kept private and not shared with other customers or companies. Privacy is a very important thing to consider.
• A good business energy broker will be signed up to the E.ON-sponsored Third-Party Intermediary (TPI) Code of Practice. It is a voluntary set of standards setting the mark for the highest and best quality of service. This code has a set of guidelines that are used to audit participants and their customer service standards.

Conclusion

This article explored the green flags for finding a business energy broker. The reason why some brokers are untrustworthy was explained. Business energy brokers were defined, and the services they provide were detailed. And finally, multiple green flags indicating good business energy brokers were listed.