We know keeping your business growing while also keeping costs down is no easy task. Sometimes it seems like all you are doing is spending, but take a breath and read on because we’ve felt that feeling before too and there are things you can do right now to save money. Whether you want to cut existing costs, improve profitability or just give your business some extra TLC, here are 6 smart ways your business can save money:
- Shop Around
In order to find the best deals, shop around. There are countless suppliers for each solution so take your time to choose the one that best suits your needs and budget. You can often cut down the price with some tactical bargaining too – if you’re talking to more than one company see if one can offer you a better deal than the other, remember: companies will rarely pass up an opportunity to better their competition.
- Be Energy Efficient
This is something that is often underestimated, the individual act of switching an old lightbulb or turning off a computer while no one is using it may seem futile but the savings soon start adding up. Take a look at your current energy related practices and implement measures to improve efficiency. For example; do all the computers and lights get switched off at night? Although it sounds simple, these considerations are very easy ways to save a sizable chunk on your energy bills each year – we are talking 10 – 20% savings here!
- Upgrade When Necessary Not When Fashionable
Everyone is so keen to get the newest phone or computer but when it comes to your business, take a moment to think. The chances are your computer is still relatively new and works very well, if this is the case you could save a pretty healthy chunk of change by waiting until it is necessary to upgrade. Your computer and phone should both easily last several years before the whisper of an upgrade even emerges.
- Utilize Tech
The ways that technology can save your business money seem endless. Look around your office and identify areas that can be streamlined by introducing the right tech. Always sending out mail using stamps? Buy or rent a franking machine and save time and money on every piece of post you send. When you use a franking machine the costs are reduced thanks to Royal Mail’s discounted prices, your mail is always accurately priced and each envelope is ready to send in an instant with a personalized and professional franking mark. There is an option to lease or rent a franking machine, but you can buy it as well, and you can find franking machine costs reduced when you purchase it from the smaller, independent suppliers. By introducing measures such as this one, you will find ways to not only improve the efficiency throughout your business but also to reduce costs.
- Cut Hidden or Unnecessary Expenses
This may involve hiring a good accountant to ensure you are paying the right amount in terms of taxes – in addition to this, an accountant will be able to assist you in areas such as allowance claims and tax rebate as well as helping with annual payments, forms and records. This step could also be as simple as monitoring and questioning your business expenses in order to increase efficiency and decrease cash flow problems. By taking a closer look at your expenses, you can make sure you are only buying what is essential and you can cut whatever is not. If you need to save some cash urgently, you could even suspend buying for a month in whichever areas are not essential to the running of the business e.g. stationery purchases. Even the smallest savings add up in the end!
- Evaluate Current Practices
Are your current practices as up to date, streamlined and cost-efficient as they can be? Take a look at your broadband package for example; is your plan fast and well-priced? Could your team benefit from a plan that delivers faster internet speeds? Will another company be able to offer you a better deal?
Or maybe, think about your landline; is it necessary for your business? Some businesses are ditching their landlines completely for cheaper online communication solutions. Take these examples into account and think about how you can improve the current practices of your business.
As you can see, saving money doesn’t have to be stressful and time consuming. There are many ways a business can save money and these 6 are the perfect starting point. Each can lead to considerable savings with relatively little effort, so what are you waiting for? Good finance is the backbone of any company so start saving today!