How to choose a trusted energy provider for your business

Choosing the right energy provider for your business isn’t just about securing a good price – it’s about making sure you have a stable, transparent power supply you can rely on.

The energy market can be unpredictable, and not all providers are built to weather the storm. In fact, since 2021, more than 30 energy suppliers have exited the UK market, disrupting service for millions of customers.

As a busy business owner, the last thing you want is to be left dealing with unexpected costs or a supplier that disappears overnight. 

Here’s what to look for when selecting a provider to make sure your business stays powered with confidence.

1. Does my supplier offer transparent pricing?

Ever looked at your energy bill and wondered what all those extra charges are for? That’s because some providers sneak in hidden fees, especially when middlemen are involved in the energy supply process, making it hard to know exactly what you’re paying for.

A good provider should keep things simple, with clear pricing, straightforward billing, and a breakdown of every charge. Plus, they should be upfront about their fuel mix, so you know how much of your energy comes from renewables versus fossil fuels. That way, you know exactly where your energy comes from and what it costs – no surprises, no small print.

2. Is my energy provider financially stable?

If a provider isn’t financially secure, they might not be around for long. In the energy industry, suppliers often need to purchase large amounts of energy in advance. Without strong financial backing, they can struggle when market conditions become challenging, leading to disruptions or even going out of business entirely.

If your supplier suddenly shuts down, a regulator will usually switch you to a new provider, but that can come with higher rates, different terms, and a lot of hassle you didn’t sign up for. 

That’s why it’s important to choose a provider with strong financial foundations. One that has solid investors, risk management strategies, and protections like trade credit insurance. A financially secure provider is far more likely to keep operating smoothly, no matter how unpredictable the market gets.

3. How does my supplier source their energy?

A lot of energy suppliers today buy their energy from the wholesale market before selling it on to customers, where prices can jump around a lot due to things like geopolitical events or supply shortages. 

When prices spike, suppliers often pass those extra costs on to you, the customer, which is why energy prices can sometimes feel a lot higher than usual (remember the 2022 energy crisis, where the average UK business saw their energy bill increase by 63%?)

But if a supplier isn’t financially strong enough to handle those price swings, there’s also a risk that they might go out of business, leaving you scrambling for a new provider – not exactly ideal!

If you want to avoid all those unpredictable price hikes and make sure your business energy provider sticks around, it’s worth looking for one that sources energy differently, like through direct arrangements with generators. That way, pricing is based on actual energy production rather than market speculation, keeping costs more predictable and making them more likely to be around for the long haul.

4. Is my provider compliant with industry regulations?

Energy providers have to follow regulations to keep customers protected, but not all of them operate in the same way. Some business energy suppliers hold a traditional UK supply license while others work with licensed partners to stay compliant.

What really matters is that your provider follows Ofgem’s rules, which are in place to ensure fair pricing, good service, and guaranteed supply. For example, providers must meet financial resilience requirements to reduce the risk of going bust and ensure customer payments are handled responsibly.

If a supplier doesn’t meet these standards, businesses can be left in a difficult position if things go wrong. So, it’s always worth checking that your provider is playing by the rules and putting your protection first.

Making the right choice

Choosing an energy provider is a big decision, and taking the time to do your research can help your business to avoid unexpected surprises down the line.

At tem., we’re committed to offering a better way of doing energy. That’s why we connect businesses directly with renewable energy generators from our own network, rather than relying on unpredictable wholesale markets. We call it Renewable Energy Direct. 

Transparency is at the core of what we do. Our direct energy matching model ensures businesses always know where their power comes from and what they’re paying for. No mystery fees, no smokes and mirrors. 

To ensure full regulatory compliance, we work with Ofgem-regulated supplier partners, so you can have confidence that your energy service meets all required industry standards. 

We’re backed by some of Europe’s leading tech investors, including Atomico, AlbionVC, and Revent, as well as industry leaders like the Branson family, Wise co-founders, Bolt, and Monster Energy, with comprehensive financial protections in place to ensure the security of our customers.

Our goal is simple: to bring clarity to a complex industry. Whether you're switching suppliers or just exploring your options, we’re here to answer your questions, fill in the blanks, and give you full visibility into how your energy is sourced and priced. 

Get in touch with us to learn more.