Tag Archives: SME owners

Energy, News

EDF Finally Admits Error After Two-Year Battle – But How Many Other SME Owners Are Affected?

After an exhausting two-year fight, SME business owner and MBE charity recipient Param has successfully forced EDF Energy to acknowledge that his refund of £321.80 was never issued—after taking them to the Energy Ombudsman and, eventually, to court.

However, Param is now asking – if it took this much effort for a seasoned entrepreneur to reclaim a relatively small sum, how many other small businesses are being ignored or wrongfully denied refunds by energy companies?

The issue began in February 2023, when Param, who had overpaid on his EDF account, was promised a refund. Months later, after repeated follow-ups, EDF claimed a cheque had been issued and cashed. But there was just one problem: Param had never received it.

Despite providing clear evidence—including bank statements showing no deposit and mail logs confirming no delivery—EDF stopped responding. Left with no other option, Param escalated the case to the Energy Ombudsman. However, instead of examining the facts, the Ombudsman ruled in EDF’s favour, suggesting that the cheque must have been deposited elsewhere.

“When I appealed, I presented clear proof that I hadn’t received or cashed the cheque,” Param explained. “But the Ombudsman seemed more focused on closing the case than properly investigating.”

Determined not to be dismissed, Param took EDF to court in November 2024. Instead of acknowledging their mistake, EDF’s legal team attempted to have the claim struck out, citing a lack of legal grounds. They even warned that, if he continued, they would seek legal costs against him.

“It felt like they assumed I wouldn’t have the resources or knowledge to push back,” Param said. “The Ombudsman had already dismissed me without proper investigation, and EDF clearly thought I would give up, like many others. But they underestimated me.”

Before going to court, Param sought free legal advice through his employer’s legal advice line, which confirmed his right to pursue legal action. “That advice gave me the confidence to move forward,” Param said. “It was invaluable knowing I was on solid legal ground.”

Finally, during court mediation in December 2024, EDF agreed to investigate the matter further. By March 2025, EDF’s legal team confirmed that the bank had made an error and that Param was indeed owed the refund.

The irony? When EDF agreed to refund the money, Param had to remind them to include £11.18 in statutory interest. “As the claimant, I reserved the right to claim interest under Section 69 of the County Courts Act 1984. Maybe SME owners aren’t so easily dismissed after all,” he quipped.

This case raises serious concerns about how energy companies treat small business owners. If it took this much time and effort to recover £321.80, how many other SMEs are being unfairly denied refunds simply because they lack the time or resources to fight back? How many are owed larger sums of money that could help manage their cash flow?

Param affirms that his ordeal isn’t an isolated case. He previously faced another issue with EDF when his gas bill for a six-bedroom property was increased from £200 to £1,800 per month—a staggering 800% hike. Only after reaching out directly to the CEO was the rate adjusted to a more reasonable level.

As another example of SME resilience, Param even turned to AI to counter EDF’s legal arguments. “When they filed a defence to have the case thrown out, I used ChatGPT to draft my legal response. AI turned out to be a lifesaver.”

With rising costs already putting immense pressure on small businesses, Param says energy giants like EDF must be held accountable.

He says: “My case serves as a wake-up call: if this can happen to me, it’s likely happening to many other small business owners. Energy companies need to recognise the financial strain they impose on SMEs and take greater care in resolving issues fairly and promptly.”

Business Advice, News

Single parent business owners give their top tips on starting up

New research by Hitachi Capital Business Finance has explored the challenges businesses led by single parents face. The research surveyed more than 300 single parent business owners asking about how they started their business, running their business day-to-day, and plans for the future.

Key findings:
· They invest roughly four fifths of the average business (£8,785 versus £10,836) out of their back pockets in the first two years.
· 50% started their business with less than £5,000 (vs. average of 44%)
· They started up for a better work-life balance rather than to make money (44% vs. 15%) while half wanted to do something they loved.
· 32% offer additional holidays to staff (vs average of 25%), and 30% offer flexible working arrangements (vs average of 27%), 18% offer job-shares (vs.12%).
· 63% of single parent business owners work more than the standard 35-hour week. One in 10 say they do a 50-hour week, while 4% say they do a 60-hour week.
· One in two (52%) say they will ‘never stop’ working, at least in a part time capacity, with over half (53%) saying it’s because they love their jobs.

Single-parent business owners share their top tips

1. It is not a weakness to ask for help: Don’t be afraid to ask friends and family for their help and support – It makes strong business sense. Whether that is for childcare or help around the house – if it gives you some breathing space to focus on the business, it will reap rewards in the longer term.
2. Be patient, it takes time to grow a business: The average small business takes at least 2-3 years to start being profitable and 7-10 years to grow significantly. Don’t be hard on yourself if it seems to be going slowly. Lean on friends and talk to people in your network.
3. Put your children first: Learn to accept that in order to get the right balance between work and family, you will have to work around their timetable, even if just for the short-term i.e. school hours, nap times etc.
4. Have a few contingency plans in place, just in case! When plan A doesn’t work, have a plan B, C and D.
5. Trust your gut instinct: Do the right thing. If anything feels wrong, it most probably is.
6. Don’t get caught up in the need to compete with other brands: There is always enough business for everybody, believe in yourself and set your own goals – that confidence will carry you through.
7. Stick to a work life balance: Whilst single mum business owners are adept at managing to work these hours around their children, it is important to recognise when to switch off. Time management is key for productivity, as is a good night’s sleep!
8. Use resources where available: Join a network and make use of the resource centre at Hitachi Capital https://www.hitachicapital.co.uk/business-finance/asset-finance/business-resource-centre/. The majority of online resources are free, and they provide invaluable support via workshops and networking events around the country.

Case studies

Lauren Callaghan, HR consultancy owner – since the outbreak of coronavirus she has never been so busy with a business that is growing and growing. At the same time she is looking after two kids aged six and four. She gets up at 6 AM to do some work before the children wake up for breakfast, and organises meetings with agencies around her children – often at 8 PM or later.

Julie Hawkins, business network owner – works a 56 hour week, and has campaigned for many years for rights and recognition for working single-parents. Lockdown has presented major challenges for her business however she is still managing to persevere whilst fitting work around her two small children.

Lisa Berry, founder of a personalised print company – previously a highly qualified research scientist who decided to go it alone to enable her to be around more for her 10-month-old son. She says it was the best decision she made.