The most important thing to know about your payment terms is how often you have to pay.  You should also find out how long are you allowed to pay from the time you receive the bill – unlike many of the suppliers small businesses use, energy companies will often require payment within fourteen, not thirty, days.

Like other businesses, energy suppliers often give themselves the right to charge interest on any payments that are late, and the interest rate charged may vary between suppliers.

Always remember that energy suppliers have the legal right to disconnect premises when they do not get paid. This means that they can go to court to get a warrant to enter the premises and physically disconnect your gas or electricity. If this happens you may have to pay a substantial charge to be reconnected.

You should therefore make sure you understand your payment obligations and stick to them. If you think there is going to be any problem with making payment, advise the supplier in writing as soon as you can and try to reach agreement on how to deal with it.

If you believe that your bill includes an error, raise the query formally with your supplier, do not simply fail to pay the bill, which may result in disconnection. Any queried amounts should be excluded from any late payment charges.

Sometimes a supplier will require you to prove your creditworthiness or give a security deposit before it will supply you. Always check whether credit references may be acceptable instead but, if the supplier insists on a security deposit, make sure you know when you can get it back. Many suppliers will let you have the deposit back once you establish a record of being a good payer (for instance, twelve months of paying bills on time). Also check whether the supplier is going to pay interest on any deposit it holds, and how much . When you are entitled to get a security deposit back, ask for it and make sure that you get any interest you are entitled to.