When your business makes a profit, it’s easy to splash the cash around. Sure, you can write many things off as a ‘business expense’, but is it really worth spending the money in the first place? Probably not.
Spending too much can leave your business suffering before it’s really taken off, which will leave you with a lot more than egg on your face.
Whatever your business, from a food truck to a swanky digital agency, be smart with your money and cut your spending. You can’t go wrong with these cost-saving suggestions.
Don’t give jobs to all your friends
You’ve set up a new business, congratulations! Now all of your friends are going to want to work for you. It’s natural to want to help them out, and working with your friends can be fun - but it could also ruin either your business, your friendship or both. Your money will be better spent hiring experienced professionals rather than offering pity hires to your friends. You’ll save money by getting more value out of your employees instead of having to hire others to pick up the slack.
Buy in bulk
During your uni days meant heading to the nearest cash and carry to stock up on beer, toilet roll, and crisps. Now, a cash and carry is actually somewhere where you can pick up some amazing deals for your business. Whether you’re buying thousands of tea bags or you need office supplies, you can be better off buying in bulk. Online, look for deals on items like custom printed roll labels when you buy in higher volumes. Try not to bulk-buy perishable food items, unless you know you can get rid of them.
Turn off the lights
Will the last one out please turn off all the lights? Reducing your energy costs is a big way to save money. Using different ways to cut gas and electricity bills will save you money every month, helping to reduce your annual spending. Turn off the computers, ban the fans and make sure everyone gets a cup of tea when you boil the kettle to stop multiple, energy-wasting boils. Don’t forget to turn off the lights as you leave.
Bonus tip: if your business’ running costs are too high? Why not rent a collaborative space instead? The offices of the future, co-working spaces are perfect for small business owners and freelancers. Use them as you need and save a fortune.
It’s easy to throw money at a situation, but have you ever considered the DIY approach? From cleaning the office to learning SEO, there are a lot of things you can do yourself that won’t cost you a thing. Taking on new challenges will keep your brain sharp, and can be a welcome distraction from the more high-level work that you’re used to.
Think outside the box and use cost-saving approaches that will stop your business from going into the red. Be smug with your new money-saving wisdom and keep finding ways of reducing your running costs so that you can enjoy a larger share of the profits.