Every business needs all the money it can get and cutting cost is a high priority for owners. There are salaries to be paid, utility bills, rent, and the other things involved in running a business. Owners usually look for ways in reducing bills incurred in the daily running of their business. This can be tricky especially if they don’t know how to do so.
As a business owner, you have the right to source for ways to reduce your daily running costs. Especially when you are struggling to keep your business afloat. You want to exhaust all available options and sometimes throwing caution to the wind and just take what comes your way. This can be bad for your business and you.
That’s why it’s recommended that owners open a business savings account for the company. Browse around banks to find a good saving account for your business.
See how you can save some money on your business below.
- Cut Down on Big Advertising
Face it, you are not a multi-million company yet, so you don’t need to splash on big advertising. Go low key and use less-expensive alternatives. Instead of running adverts on tv or radio, try online advertising. Choose the one that is most effective for your business and purse.
- Outsource Some Things
You could use independent contractors to do some of your business activities. Instead of employing a delivery guy, why not have a delivery company do the deliveries for you. Outsource to a cleaning company instead of employing a cleaner. Sometimes, employees mean more salaries and office space for them.
- Review Working Hours
Rather than have your employees working 5 days a week at the office, think of how they can work remotely from home. This saves you utility and operating costs. The fewer time people spend at the office, the less you spend.
- Reduce Maintenance Services
Review maintenance costs and cut down on them. Look at all your maintenance activities and find how you can reduce their frequency or even eliminate some and find cheaper ways of doing them. Do you really need to have the office cleaned every day?
- Pay Your Taxes
You don’t want to be on the wrong side of the law and with the guys from the IRS. Apart from making you a criminal in the face of the law, it wastes your time and eats up your money.
Think of legal fees, delayed deliveries to customers, or even a total shutting down of the business. It also gives you a bad credit rating at the bank. And in the eyes of your competitors, customers, and potential ones, you are not trustworthy. No matter how good your product or service is.
- Bulk Purchase is the New High
Buying in bulk saves money totally. Instead of buying a pack of printing paper every week buy for the whole month. You spend less money on paper and transportation. Make a monthly list of everything you use around the office, buy them and keep them.
- Watch Out for Waste
There is bound to be wastage. Your employees or even you could be wasting stuff around the office. Like opening and not finishing a bottle of water. Or taking more than the water you want to drink from the water dispenser and discarding the rest. Encourage people to bring their water bottles so they can carry them around with them during the day.
Running a business involves a lot of activities and money. Cutting costs and still running your business smoothly is possible. Start with the points above.