We live in a world where you can start a business from nothing. Of course, not every business can be started with no cash, but some can, which has rarely been true before. It’s fantastic, and it gives more people than ever a chance to follow their dream of being an entrepreneur.
But, many people, no matter how much their business costs to start up, fail to appreciate the costs of keeping it going. Running a business, even a relatively small one, can be expensive. This can be difficult, especially in those first few years, when you may be struggling to grow and build a loyal customer base.
Fortunately, however, there are many things that your business can do to save money, both short and long term. Here’s a look at just seven of them.
Invest in Quality Equipment and Take Care of It
High-quality supplies and equipment, whether we are talking about fuel transfer pumps from GPI to refuel your vehicles, computers for the office, or more basic everyday essentials, can cost more than cheaper alternatives. But, in many cases, buying the cheapest isn’t the best. Typically, you are just creating a false economy, as you could well spend more in the long-run, or repairs and replacements.
Weigh up your options before making any purchases for your business. Buy what you can afford, making sure that you are getting good value for high quality. Make value for money your priority, and not just a low initial cost.
Then, once you’ve made your purchases, look after them. Have your machinery serviced regularly, train your staff on how to use things correctly, and keep everything clean and in a good state of repair. All of this will save you money on replacements, extending the lifetime of what you have already bought.
Play to Your Strengths
A fantastic way to save money is doing more for yourself. This means that you won’t need to hire as many staff or services and that you will know that the job is going to be done to your exact specifications.
Think about where your skills lie. Do you have any experience or even talents outside of the workplace which could help your business? Are there tasks that you enjoy more than others, that you’d be happy to commit more time to or learn more about?
Then, think about the staff that you already have. Do they have skills that you aren’t utilizing? Do you have an expert digital marketer in-house while you are paying for a marketing service? Use the skills that already exist within your team.
Reduce Staff Turnover
You certainly shouldn’t keep, and pay, staff that aren’t doing their jobs well, or bringing anything to your team. But, nor do you want high levels of staff turnover. Recruiting and training takes time, and costs money, and replacing experienced staff that have left, with less experienced new recruits means that your business won’t be as good as it should be for a long time.
Reducing turnover can save you both time and money, and it’s usually a lot simpler than you may think. Try to offer flexible working when you can, give your team regular breaks and even perks, and treat them with respect at all times. Building relationships with your team, and helping them as much as you can is the best way to reduce turnover.
Consider Remote Working Where Possible
Running an office can be costly. There are supply costs, break room treats like tea and coffee, essentials like toilet paper, and utilities like gas, electricity, water, and rent. The smaller your office, and the fewer people that work in it, the cheaper these things will be.
Could your staff, or at least some of them, work from home, at least some of the time? This could also improve productivity, giving you the chance to make more money.
Outsource Where You Can
If you do need to hire help, consider outsourcing to freelancers, self-employed workers, or other companies that provide the services that you need. Outsourcing means that you get access to a highly-skilled expert, without having to pay one full-time. It also means that you only pay for services supplied and that you don’t have to pay workers when your business doesn’t need them, as you would if your hired permanent staff member.
Negotiate with Suppliers
Don’t just pay suppliers what they ask, negotiate first, and don’t be scared to switch if it could save you money.
Being more environmentally friendly, by reducing waste and using renewable energy could quickly start to save your business money.