Last Updated on Aug 29, 2022 by James W
With the economy reflecting the consequences of many major events over the last few years, it’s now more difficult than ever to keep a business going. One of the easiest ways to protect your business is to ensure expenses are streamlined. To help you with this mission, here are five tips for saving money on your business expenses:
- Save Time
In business, time and money are your two most valuable commodities. Wasting time is as good as taking a lighter to a pile of money. You’re basically throwing away a resource you could otherwise apply to crucial areas of your business, like sales or developing new product lines.
To save money, invest in automated services and tools that get time-consuming jobs done for you. Find an automated accounts payable solution, digitize your paperwork system, and utilize an affordable virtual PR service for follow-up calls. These are all great examples of how the right tools and services can cut the costs related to menial tasks that otherwise detract from the value of more important aspects of running your business.
- Sweat the Small Stuff
Cutting down costs in very small ways across your business can make a real dent in your overall expenses. Minimizing or removing multiple small costs can add up to shockingly substantial savings.
Let’s take an example. Perhaps you hire a cleaning company who charges $1 less per hour, and they clean your office two hours a day, five days a week. That is a saving of over $500 for the year. Imagine similar savings across the board – it’s a no-brainer.
- Focus on Energy Saving
Global energy prices are shooting up at record pace and are predicted to rise 50% or more by the end of the year. For any business, this will have far-reaching impacts across the board. Whilst it’s a complex and long-term task to manage the inflating charges across your company, one quick way to get costs down is to focus on saving energy.
Ensure the office is well insulated, turn off appliances that aren’t being used, switch to energy-efficient bulbs, and most importantly, get a good idea of what your energy usage is, as this will be your starting point from which to bring it down.
- Consider Freelance Staff
Full-time staff members are expensive, and with a shortage of people within the job market, it can be difficult to fill the positions you have available anyway.
One way to cut the cost of having full-time staff is to hire freelance workers. Indeed, this is a strategy 16% of businesses are already using to save money. Hire skilled freelancers who can get specific jobs done at an hourly or per-item rate, and you’ll have tapped into a global talent marketplace without sacrificing any of the quality you deliver to your clients.
- Utilize Physical Space or Give It Up Altogether
The physical space in an office, shop, or warehouse is expensive to rent or own and run. For this reason, you owe it to your business to ensure that every bit of space is absolutely worth what you’re paying for it. Alternatively, why not make a huge saving and switch to affordable virtual offices instead? You get many of the perks associated with a physical office, just without the associated costs. If it’s possible for your business, it’s certainly worth considering.
Are You Ready to Make Major Business Savings?
The tips above should help you get started cutting down your business expenses. Hopefully, with some minor adjustments, you can begin to save lots of cash while bolstering and growing your company in a struggling global economy.