Whether you are starting a small or medium business or you are already established, it is important to keep a keen eye on business costs. I used to have my own jewellery shop so I know how important this is. You may only break even for the year at Christmas time and it may be a fine line between profit and loss. Here are some tips for cutting your business costs and making sure you go into profit.
Use your time wisely
As they say time is money, so stop procrastinating and be more productive. Simple things like using a diary, delegating responsibility to staff so you are free to do more important things, planning your time effectively and setting goals to establish what you want out of your business can all help you use your time wisely.
Use your space effectively
If you work from home or work from an office environment it is important that your work space is organised and clutter free. There are different companies who provide an effective storage solutions such as warehouse storage solutions in Harrogate offers this service to its clients all over UK. Being efficient with storage space means you can fit more supplies in the same cubic footage, allowing you to bulk order thus saving money.
For small businesses this may mean a trip to Ikea, whilst medium and large businesses may mean utilising shelving and racking solutions for your office and warehouse. Buy a wall planner and put it in a prominent place so you can see your diary at a glance enabling you to plan better.
Shop around for the best deals on utilities
You probably compare the cost of your home utilities like electric and water but why not shop around for the best deals with your business utilities? Online sites such as Go Compare allow you to compare your business and electricity costs at a click of a button thus finding you the best company for your needs and saving you money.
Consider taking on an apprentice
Apprenticeships allow staff to take on the job training whilst gaining a qualification. You get staff trained to your specification, and the cost to the employer is less than a regular member of staff as they are on an apprenticeship wage. Taking on an apprentice is a big time commitment however, so you have to factor that into the equation when decided to take one on.
You can also apply for funding to cover the costs of the apprentice’s qualification if you’re providing their formal study as well as being their employer.
Out source workers
Whether you are looking for payroll services or an admin assistant, it could be worth outsourcing these responsibilities. Sites such as People Per Hour or Elance are excellent for sourcing these skilled people. As you are not taking on a permanent member of staff you will only need to pay the rate agreed for the task, thus cutting out holiday and sickness costs.
Even technical experts can be out sourced to work on a hourly basis as opposed to a monthly wage.
Ask for discounts with your suppliers
After all if you don't ask you don't get, so it's worth asking for discounts with your regular suppliers. You could always shop around for better deals and ask your current supplier to match them. They will appreciate your loyalty if you stay with them.
Use free conferencing and phone calls
Skype will allow you to speak to people all over the world, cutting down the need for national and international travel. Their business service starts at only £1.30 a month.
Also sites such as Free Conference allows you to make conference calls with no fees, limitations or downloads.
So these are 7 tips for cutting business costs. Can you think of any more?
* In collaboration with Warehouse Storage Solutions