One of any business's biggest expenses is their running expenses - the costs of keeping the lights on and the machinery going - these obviously have to be paid, but you know what? The average company’s running costs can be cut down on with a few simple changes.
If you don’t want the costs of doing business to run away with you and make your company less competitive, here are a few things you can do:
Outsource
Using contractors and freelancers to take care of important, but short terms jobs means that you can get the work you need to be done, and done to a high standard, without having to pay a full-time wage and various other benefits to an employee. You can find freelancers at places like People Per Hour, UpWork, and Fiverr. Doing so is fast, efficient and effective,and who knows you might find a great new professional to make your business even better.
Advertise For Interns
Another way to cut your labor costs could be to hire an intern or two to help you and your employees out in the office.Interns do not have to be paid quite as much as regular employees, and they themselves will benefit from the industry experience they gain with you. The only potential drawback is that they might need lots of training to use your particular software package or carry out your processes. Still, the benefits will almost always outweigh any small inconveniences.
Switch To LED Lighting
Sometimes you have to spend money to save money, and if your power bills are currently pretty high, this could be a case in point because, by hiring a professional commercial electrician to fit lower-power LED lights, although you will have an initial outlay, you will very quickly recoup the costs in much lower bills. You’ll also improve your green credentials, which can be quite attractive to certain customers.
Use Email As Much As You Can
Instead of paying for envelopes, stamps and bespoke business paper, and printer ink, which can add up to thousands of dollars a year for medium-sized companies, try to use email whenever you can. There are very few instances when you really need to contact customers and clients via more formal letters, so don’t do it unless it’s truly necessary.
Switch Credit Cards
If, like many business owners, you use one or more business credit cards to keep your business flowing, consider transferring the balance to cards with lower APRs or even better, 0% offers on balance transfers, to immediately cut the cost of managing your debt.
Haggle With Your Suppliers
If you’ve found a good supplier and you’ve been doing business with them for a while, they are likely to rely on you as much as you do on them, and this means there is a very good chance you’ll be able to negotiate a better deal on the supplies you need to run your business. You just have to be willing to ask, and to haggle, until a great deal is reached.
There are so many ways you can cut the cost of running your business (the above is just the tip of the iceberg) that you’d be foolish not to take steps now!
I hope you enjoyed this article about how to prevent the costs of doing business get out of control and cripple your company financially.
Interested in more articles about frugal finance?
Read My Posts:
- How To Minimize The Financial Risk Of Startup Failure
- 4 Startup Costs Not To Cut Corners With
Published by Michael J Schiemer
Owner of Bootstrap Business
Money - Marketing - Motivation
Digital Marketing | SEO | Social Media
Mike Schiemer Builds Better Business
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