Choosing The Right Energy Broker.
Choosing the right commercial electricity broker for your business might seem challenging. With so many brokers in the marketplace, knowing the good from the bad is a job within itself. We put this list together of the top things to consider when hiring an energy broker to make your decision easier. An energy broker that you decide the hire should possess all five of these characteristics or traits:
Access To A Wide Network Of Suppliers.
First and foremost, the most valuable thing an energy broker brings to the table is his/her network of energy suppliers. Remember, it is impossible to do this on your own, so it is important that your energy broker have many supplier relationships. This allows you to truly shop the market and find the best deal going.
Proven Track Record Of Success Advising Customers.
Next, it is important that a broker can show you a proven track record of success with other customers. Stay away from the energy brokers who are simply trying to sell as much energy as possible so they can earn sales commissions. Sayings such as, “the market is just going to keep going up, so you better lock in now” are red flags to avoid. While this could be the case, it is important to as why. A good energy broker can justify the decisions and advice he made in the past for other customers and show how he/she benefitted them based on their guidance.
Knowledge Of Energy Consumption.
One aspect of a retail energy supply rate that most people don’t know is something called Load Factor. Load factor is the measurement of how energy is consumed in a commercial building. The more efficient your building, the higher your load factor rating, and the lower your retail supply cost. Finding a broker who understands how load factor is calculated and ways to improve load factor can be very beneficial to your bottom line.
System For Tracking Renewal Opportunities.
Signing a contract at a great rate is one thing, but continuing to beat your budget contract over contract is the ultimate goal. Remember, the price of energy is like the stock market. It goes up and down over time. So, finding a broker with a flawless system in place for tracking the future price of energy to present favorable renewal opportunities is critical. You don’t have time to track commodity prices. Your broker should offer this to you.
Last and certainly not least is the broker’s support system. Do they have a customer service team to handle any issues that might arise throughout the contract? Are they responsive after the sale, or do they disappear? Having a broker that is actively managing your requests is critical. Things happen throughout the contract, and you need a broker who is “on top of his game” to make sure your account is serviced correctly.
For example, let’s assume that another supplier gets ahold of your account information and enrolls your account on their supply without your content (yes, it happens a lot, unfortunately). Your broker will get notified from your existing supplier when this happens and they have a 14-day re-enrollment period to contact you and get your consent to reinstate your fixed rate. If your broker does not do this, you could be left paying a much higher rate with no option to re-enroll on your fixed price. Managing dropped utility accounts is a critical function of an energy broker.
Yes, we know it sounds scary! Choosing the right commercial energy broker is a big decision!