Last Updated on Apr 8, 2020 by James W
Among the many conditions that any business must fulfill to be rendered a success is its ability to save money whenever possible. Students that have been successful enough to start their own business are no exception; they too can adopt approaches that will help them save money. Efficiency in running any company is one of the top ways to save money. Students can be considered lucky, bearing in mind that they have free resources they can access to build and run their business. Other entrepreneurs are not as fortunate since most of the resources need cash to be acquired.
Saving money is a discipline that needs to be first mastered individually before one can put it to practice in running their business. Once learned, it would be easy to recognize opportunities that will make it possible to save on some cash. We have identified a list of strategies that any student running their own business can employ to make some savings while still operating optimally. Check them out.
DIY Marketing and PR
Do-It-Yourself Marketing and PR is the current trend. Most businesses and companies no longer have to hire an outside team for this work, but instead, resort to training their sales and marketing department on how to best market the organization. Small business, such as those of students, can benefit big time from DIY marketing and PR. Learn everything that you can about marketing in your niche. A 2016 report by campaign monitor revealed a lot about email marketing, for instance, its return on investment stood at 4400%.
Being successful in doing your marketing isn’t expensive at all, it only requires a lot of creativity. Once you understand how to do marketing best, then your business will be at an advantage. Not only will you save money when it comes to hiring the service but you’ll do an excellent job of selling your brand which no one else understands better than you! Plus, you can always ask for help where you feel stuck.
Be Online Based
If you can operate from your dorm the better! Majority of businesses in this day are going online. Unless it’s essential to have an office or warehouse, you can opt to escape this expense by running your business online. Having an online based business has numerous advantages while at the same time saves on cash. Such advantages include:
- You won’t have to pay rent or leasing fees.
- You communicate directly with your customers.
- You get a chance to reach a wider market share and not just other students from your campus, among others.
Part of running a successful online business requires having a website. If you can design the site by yourself, the better. However, if you don’t know how to, it’s best to outsource this work. Your website is like your office space and it reflects on your brand. Therefore, the idea is to ensure that you design a sleek and professional one. Setting a website isn’t expensive, you’ll have to pay annual hosting fees and for the domain name, and these are not costly. You can also earn from your website.
Find Alternative Ways That Can Help Minimize Operating Expenses
As a young business owner, reducing your business’ running costs is a must in this age if ever you are to realize a profit. For instance ‘going paperless’ is a policy that not only cuts downs directly on devices and material costs but also saves time. Using mobile devices such as smartphones, tablets and laptops is a perfect way of achieving paperless operations in your business. Set policies that are geared towards cost efficiencies like bulk printing and photocopying.
Starting up a business involves a lot of costs in buying equipment which you need to think about critically. Buying new things is quite costly and at times unnecessary. Buying used equipment is a good way around this hurdle as not all office equipment needs to be brand new in a small business setup. Also, take advantage of the free school Wi-Fi!
Research
Research is vital in any business that seeks to be a success. Big companies such as Apple and Google have a whole department that’s explicitly meant for conducting research and development. Your small business can also benefit from some research which will also help cut costs.
The analysis you can do includes:
- How to run your business more efficiently in the setting that you’re in
- About your target market and how you can better attend to them
- How to best market yourself and the channels to use
Research keeps you up to date on what’s trending plus it gives you information that helps your business stay ahead. Remember that knowledge is power, and what better way to gather knowledge than through research.
Hiring Labor
As your business grows, it reaches a point that you’ll require some help. Hiring labor is a tricky affair and you’ll need help from individual(s) you can trust and who are qualified for the task at hand. Getting experienced personnel would be the best option. However, that would be expensive for your business. You could use an alternative approach to hiring, don’t look at experience but rather on the qualifications an individual hold. Hiring people with skills but with limited experience will be less expensive therefore saving you some cash. They may work better for you than if you’d hired people with experience.
Find Sponsors
Sponsors are an excellent way for businesses to cut costs, especially when it comes to organizing events. From time to time you’ll want to organize a sale or an exhibition, and it’s in cases like these that sponsors come in handy. On your own, chances are that you’ll spend a lot on the expenses of the event, but with sponsors, a lot of the costs will be minimized. Sponsors or investors are also useful for cutting down costs when it comes to expanding the business.
Be Environmentally Conscious
Go Green! This is an excellent technique of cutting down on your running expenses such as utility costs. The most fundamental requirement for your business is energy efficiency. This is a policy that you must always be keen on as it determines the overall productivity of your business.
Adopting strategies like replacing the lighting setup with energy saving bulbs, purchasing or using energy efficient devices and settings can lower your energy costs by as much as three quarters. You should always be up to date with the national policies and programs for energy efficiency such the program Energy Star which is run by the US Environmental Protection Agency.
Technology is Your Best Friend
Technology offers a new alternative to accomplishing tasks with the aim of cutting down on operational costs and improving general efficiency. The technologies that you can adapt don’t have to be expensive or fancy. All you need is something that can automate the processes that consume a lot of time, cut down the costs incurred by third-party processes and increase productivity for your business. Always be on the lookout for new and more improved techniques and gadgets that are relevant to your business. Try them out and assess their efficiency and performance. Those that score positively should be incorporated into the business whereas the negative ones are to be immediately abandoned.
Do Your Accounting on a Regular Basis
Staying on top of your books is among the many ways one that can save money on their business. You’ll be able to manage your debt, identify avenues to reduce expenses, and so on. Staying on top of your accounting is an excellent way of spotting opportunities and avenues to save money on your own business.
Conclusion
A student running a business is at an advantage for a number of reasons, they get to save a lot of expenses. However one needs skills and eye for identifying such opportunities. We have identified some ways to help students save more money on their businesses while at the same time minimizing on costs. These tips will also help your business when you’re done with your studies.
What other ways have you tried that have helped your business save some money? Kindly share them with us.
BIO: Lori Wade is a content writer for EliteEssayWriters who is interested in a wide range of spheres from education and online marketing to entrepreneurship. She is also an aspiring tutor striving to bring education to another level like we all do. If you are interested in writing, you can find her on Twitter or Google+ or find her on other social media. Read and take over Lori’s useful insights!
