Saving money for small businesses can be tricky, and especially for those startups which are looking to cement their fort in today’s ambiance of competition and recession. Many global reports suggest that 21st century is the toughest century for the businesses to survive. Today, there are not many startups which are running in profit or having enough income to save anything atoll.
Here are some money saving tips-
20 Money Saving Tips for Business
1. Go green
You must be thinking what is the relation is between going green and saving money. But, you will be amazed to know that whether it’s a small home business, a massive office space- whatever space your trade occupies, the more energy efficient your business space is, the lower will be monthly expense and ultimately “profit”. So always opt for energy efficient equipment and tools like LED’s, Air conditioner with high ratings, and many other. Do you know that the fluorescent bulbs can save you three-quarters of your energy bill per year? For more data on greening your space, check energy star, it is a program run by the U.S. Environmental Protection Agency.
2. Cloud computing and open source
Every business whether it is small or big requires some kind of software’s to carry out their daily functioning in their particular domain for word processing, presentation, bookkeeping, etc. For most software’s you can find an open or cloud version of it. You don’t have to buy them as they are really expensive and not deal for startups.
3. Generic brand goods
Big brands are tempting and usually expensive for businesses. So, just go generic, their box packaging or brand marketing may not be up to the mark, but the product in most case will be the same.
4. Event sponsors
There are several reasons why small businesses need to throw an event, maybe to market their brand or service. However, hosting an event is not easy, it can be costly, therefore, and looking for some event sponsors is always a great idea.
5. Curb down on meetings
Meetings are a crucial part of every organization, and no company can exist without a proper planning. Keeping this mind, the excess of anything is bad, spending one to two hours daily on meetings, is it right? No, because you are wrongly wasting your employee’s time and losing dollars because meeting in office timing is a serious threat to your commitment over the completion of the projects.
6. Hire skills, not experience
What your business need more experience or skills of employees? Of course, skills look for candidates, who are skilled even not having years of experience. Experience is directly proportional to salary, so compensate on experience, but not on skills.
7. Retain your workforce
Yes, in the current scenario of the recession many businesses want to cut down their team size. But, never disturb the core of your company or high performing employees because they are ones which keep up the morale.
Hiring a highly trained and experienced folk in a domain which is not profitable to your company doesn’t make sense, instead, freelance those projects.
9. Review your business operating expenses
Review your business operating costs regularly is best to understand whether your business is spending carefully or not.
10. Minimize inventory
Many economists say that inventory is nothing, but cash locked in warehouses. Therefore, the inventory should be proportional to sale.
11. Trade association
Join a trade association, as theses groups usually conduct frequent industry research that can be used to make best financial decisions.
12. Avoid late fees
Always stay top of your accounting, so pay your dues on time to avoid unnecessary late fees. You can also automate your bills.
14. Look for discount
It’s simple, yes effective. Don’t shy for asking for discounts from vendors.
15. Invest in new technology
Adopting new technology allows your employees to automate time-consuming tasks, cut down on third party expenses, and improves overall efficiency.
16. Go paperless
It is a tip not only for small business but for big businesses also for a better world.
Most recycling centers offer dollars in exchange of e-waste like mobile phone printers, computers, etc.
18. Buy used office furniture
This tip is for startups, for those which face problems in setting up a business. There are classified sites listed on the internet that act as a bridge between the sellers and the genuine buyers.
19. Skype over traditional communication
Today, most companies use Skype as a mode of communication, however, there are still many which prefer traditional phone calls. Skype is private firm that offers free chatting and calling just need a strong internet connection. Therefore, there should be no hesitation in using Skype.
20. Sharing office space
This tip is for businesses which find it hard to lease or own a business space. Share a office with another company, yes, it carries some risks, it is still a viable option.
No matter what is your industry or location, you will benefited by these above listed tips. The choice is yours.