What should you look for in business mobile deals?
With business mobile deals, the monthly price is only the first thing to check. Ofcom says the price you pay should be provided clearly and transparently to you at the point of sale, whatever type of contract you take.
That sounds obvious, but it is where small firms get caught out. A deal can look cheap in month one and look different by month thirteen. So read the whole contract, not just the headline line, whichever of the business mobile deals you pick.
Ofcom gives two shapes a monthly price can take. It can be one fixed price for the whole term, and its own illustration is £20 a month for 24 months. Or it can start at one price and step up, which Ofcom sets out as a template rather than a worked example: £x a month for the first 12 months and £y a month for the second 12 months. Either way, the figures have to be in front of you before you sign.
Key takeaways
- Ofcom says the monthly price should be clear and transparent at the point of sale, including any set price rises, in pounds and pence.
- If you have ten employees or fewer, you should get key contract information in writing before you agree.
- A fixed commitment period should not run longer than 24 months, according to Ofcom.
- Ask about early termination charges and notice periods before you sign.
What do you have to be told before you sign a business mobile contract?
If you are a small business with ten employees or fewer, Ofcom says the provider must give you key information before you sign. You should get a one page contract summary in writing, or three pages for bundled services.
That summary includes things such as charges, the length of the contract and how to cancel. Ofcom adds that before you are bound by the contract, the provider must also give you a more detailed set of contract information. For mobile contracts that has to be in a written format, such as a letter or an email.
All businesses can also ask for certain terms to be set out clearly. Ofcom says all businesses are entitled to ask for certain information to be included in their contract, including details of any charges due on termination, early termination charges among them.
If you are unsure what you are agreeing to, do not sign until you understand the terms. That is sensible advice for any of the business mobile deals you are weighing up.
How long can a business mobile deal tie you in?
Ofcom’s guidance on its contract requirements describes a fixed commitment period as ending no more than 24 months after the contract takes effect. So a business mobile contract should not tie you in for longer than that.
Check too whether adding lines or upgrading a handset partway through restarts the clock, and get the answer before you say yes. Our guide on why business mobile upgrades can restart your contract goes into it.
Ofcom also warns that early termination charges could be substantial, so check your contract terms when you sign up. And it says you should be aware of the notice period you need to give if you cancel or switch your services.
If you switch to a new mobile provider using the Auto-Switch process, your current provider should not charge you for notice period running after the switch date. Check this with your provider before you start, because it changes what the last bill looks like.
Do business mobile deals come with price rises?
Some do. For a small business, Ofcom says that where a provider raises prices beyond what you agreed, you should be given one month’s notice of the increase and be allowed to exit the contract without penalty.
But there is a catch. If the rise was made clear at the point you signed, that right to exit does not apply when it happens. So a stepped price you agreed to is part of the deal, and you cannot walk away from it for free.
The practical answer is to write down the price after each step before you sign. Since 17 January 2025, Ofcom has required any price rise written into a new contract to be set out in pounds and pence, prominently and transparently, at the point of sale, with the provider clear about when it will happen.
Look at the extras too. Ofcom’s list of costs to consider covers charges for additional parts of the service, costs to leave the service early, costs for paper billing and costs for not giving sufficient notice when you cancel or switch. Any of these can change what business mobile deals really cost.
How do you compare business mobile deals for a few lines?
Line your business mobile deals up on the same basis. Compare the contract length, the price after any step, the early exit terms and what is included, rather than the first month price alone.
Ofcom’s small business protections depend on how many employees you have, ten or fewer, rather than how many lines. Our guide on business mobile lines for smaller firms looks at that group, and our guide to getting a business mobile line covers keeping your number.
A comparison cannot tell you what you will pay before you have entered your details. It can save you time lining up business mobile deals, and the contract summary is still where you check the final terms.
Frequently asked questions about business mobile deals
- How long can a business mobile contract be?
- Ofcom’s contract requirements guidance describes a fixed commitment period as ending no more than 24 months after the contract takes effect.
- Do I get a contract summary for business mobile deals?
- If you are a small business with ten employees or fewer, Ofcom says you should receive key contract information before you agree, and for mobile contracts it has to be in writing.
- Can my provider put the price up during the contract?
- Only in line with what you agreed, or with one month’s notice and the right to leave without penalty if it goes beyond that. A rise you were told about in pounds and pence when you signed does not give you that right.
- What extra costs should I check for?
- Ofcom says to check charges for additional parts of the service, costs to leave early, costs for paper billing and costs for not giving sufficient notice when you cancel or switch.
Sources
- Ofcom: Contracts, advice for businesses, published 21 September 2015, with no last updated line shown. Source of the point of sale price clarity, the £20 a month for 24 months illustration and the stepped price template, the key information rule for small business consumers with ten employees or fewer, the written format requirement for mobile, the one month’s notice and penalty free exit, the substantial early termination charges warning, the notice period point and the list of costs to consider.
- Ofcom: General Conditions that protect business customers, published 6 March 2024. Read 10 November 2026. Source of the one page (three for bundles) contract summary.
- Ofcom: evaluation of the Auto-Switch reforms, published 10 May 2023. Read 10 November 2026. Source of the ban on notice period charges after the switch date.
- Ofcom: Guidance under General Condition C1, contract requirements. Source of the 24 month fixed commitment period and the application of the automatic renewal rules to small business customers with ten or fewer employees.
- Ofcom: Protecting consumers from uncertain and volatile inflation, published 17 January 2025. Source of the pounds and pence requirement at the point of sale.
