9 Tips To Reduce Business Energy Use And Minimize Overhead Costs


Running a business can incur lots of costs, especially overhead costs. Overhead is something that doesn’t go away, and it is recurring every single month. As a business owner, you want to minimize your overhead costs to increase cash flow and accelerate company growth.

That is why reducing overhead is the most crucial one to get right because without controlling it, you will waste a lot of money every single month. Specifically, energy usage can take up a huge part of our bills and that is why this post is going to cover 7 specific ways to reduce energy consumption within your business.

Whether you run a company warehouse, office, a car lot, or a mix of those; these tips will help you. First on the list is probably one of the biggest energy consumers in any business; your lighting system.

Upgrade To LEDs In All Lighting Fixtures

A big consumer of energy comes from your lighting system. So by being as efficient as possible with your lights, you will realize a great savings month to month. Especially in larger commercial building maintenance spaces, the savings really add up.

The most efficient (and quality) luminaire by far is LED. In fact, you could realize energy savings associated with your lighting system by up to 75% by converting to LED.

As for costs associated with converting to LED, you can save even more money by purchasing and installing LED retrofit kits. These kits allow you to convert your existing fixtures without replacing them entirely. So unless you need entirely new light fixtures, a retrofit kit will replace your existing luminaires just fine and is still just as efficient if installed properly.

Conduct An Energy Audit

Hiring a company to conduct an energy audit will allow you to look at your building with a bird’s eye view and see what’s not running at optimal levels.

From there, you can take action on what needs attention relative to the benefits that you will realize by fixing the highest costing issues first so you do not waste time trying to get out of expenses that are unavoidable, like the partnership taxation.

Consider Demand Response Programs

Consider using a demand response program for your business energy necessities. Demand response programs pay business participants money to reduce energy usage at their company. These perks are offered only at times of peak energy demand. However, the provide added incentive to cut down energy use at your office or warehouse. Do some research to see if your business qualifies for a demand response energy program. This is sure to save you lots of money a month if you qualify.

Use Cloud Computing

Cloud computing has been proven to reduce energy consumption. This is because with cloud computing, you no longer need to maintain computer servers. Computer servers, as you know, require a ridiculous amount of energy to cool down. In addition, the presence of cloud computing at an organization allows for more employees to work from home, which means less energy consumed in the office. This is hugely beneficial for payroll companies, as well. If you can spend the money upfront to bring cloud computing to your business, this will greatly reduce business energy costs long term.

Don’t Just Put Computers To Sleep

Firstly, only using a screen saver will save no energy at all. So while a computer that is asleep will save more energy than not, a computer that is entirely off is the most optimal when it comes to saving energy.

This is especially a major cost that can add up for big offices or buildings with a lot of computers. In addition to ensuring computers are turned off when not in use, buying equipment that is Energy Star qualified will allow for the lowest energy consumption for when to computers are on and in use.

Install A Programmable Thermostat

A programmable thermostat will allow you to better time when your air conditioning (and heating) will come on or turn off. You can do this regardless of whether you own cheap franchises or a large-scale technology business. By reducing waste of air control, you can save a lot in your energy bill considering air conditioning can consume a lot of energy.

Install Skylights In Your Office Building

Skylights can greatly reduce the need to even turn your lights on at all. It is recommended to start installing them first in areas that would otherwise get no natural light. This can be in places like hallways, business interior rooms, or even large rooms with no windows. Depending on the time of year, this can make it near unnecessary to even turn on your lights during the normal work hours.

Invest In Solar Panels

While solar panels can seem like a pricey investment, you must look at it as an investment which will pay you back. By installing solar panels in addition to these other energy reduction initiatives, you can realize near zero energy consumption levels in some situations. Doing so may be even more favorable to business than PEO services. This would allow you to nearly wipe out your energy bill and simply realize a positive ROI which will pay itself back for all of your energy conscious upgrades.

Invite Employees To Get Creative

The people “on the front” lines on a day to day basis will best be able to identify the areas that should be looked at. They work around the environment and know what’s used and how everything works and operates.
Send out an email or setup a meeting and invite everyone to be on the lookout for office design ideas to reduce energy in your commercial office building. If you really want some good ideas, incentivize the initiative with something!

By taking note and considering the 7 ways to reduce energy within your operations listed above, there will easily be 2-3 of them that will apply to your business. By taking the initiative to take action on them and make the investment, you could see energy savings by 50% or more which will show at the end of each month. By reducing energy usage, you will realize a positive ROI which makes it all worth it at the end of the day. Going green with your business will also up your appraised value, which is important if you ever plan on selling your business in the future. Use these tips to benefit your organization now and in the future.

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