Running a business costs money and as we begin the new year, it’s important for many businesses to focus their attention on the finances of the company and making sure that it’s not losing out in any way. There’s plenty of ways that a business can save money. Here are just a few to get started.
Cut Down On Operating Costs
If your business is in a building you own or you’re renting out a space, the cost of operating it can be quite substantial. So it’s very important to take a look at the current costs for this area of the business. Firstly consider how well the building is functioning through its energy bills. It might be time to switch providers or contacting your current one and try to strike up a new deal. If you’ve got any work planned on the building this year, perhaps think about the cost of it and spreading the work further rather than doing it all in one go.
Stationary and cleaning services can soon add up and take away a lot of the businesses income so consider pushing the digital aspect when it comes to creating documents and files. If it’s doable, try and get as much of the internal business affairs on your servers rather than on paper and in folders that will only clutter up the space. Work with your employees to promote a greener working environment.
Get An Accountant
If you haven’t already got one, get an accountant. If you have, then make sure you’ve got one that will do everything possible to save your business money. A good accountant will be able to bookkeep the organisation but will also have knowledge of taxes in regards to your business and what you can and can’t claim. They’ll be able to advise you on where the company may be losing money and recommend ways of helping it save money.
You also want to make sure you have a legal team too or at least someone who is going to protect your organisation from any future issues.
Replace Traditional Advertising
Advertising has certainly changed since the introduction of social media. Consumers are picking up fewer newspapers and magazines because it costs them money. Nowadays you can get it all online for free so why would they bother spending their hard earned cash? So try not to waste your money too much on traditional advertising, instead, try paid advertisements on social media platforms like Twitter and Facebook. Utilise any social media skills that the organisation possesses, and if you’re lacking one, it’s worth the investment to hire someone in.
Always Look For Investor And Investments
Every business wants to be financially successful, and it’s important to any company, particularly a new one, to have a number of investors to help to business get on its feet or to have the extra funding needed to develop the business to a point where it makes more money or gains more attention. Take advantage of networking events and opportunities and take the time to get to know people. Often those who want to invest will be those who want to know everything about the business rather than ones that just say they have money to invest but may not have any intentions to do so.
As a company, investments should also be considered to create new financial opportunities. Stocks and shares are a risky but good way of earning extra money. Investments can also be relative to your staff members. It’s important for some employees to be able to see a career path in the organisation so if they’re keen to progress, it might be a good idea to discuss where they want to go and investing your money in training or through promotions.
Try Flexible Working
Flexible working has become very popular as the balance for work and life, is important to many people. Therefore it might be worth running this initiative to see if it makes a difference to work productivity. Having high productivity is what will make the company money, so if your staff don’t feel valued or unhappy, then they won’t want to work hard for your organisation. Flexible working can come in the form of working from home or flexible hours to cater for those who do the school run or have other commitments.
Save On Expenses
Work expenses can be a big hit for any businesses, and some employees can end up taking advantage of their benefits. If it’s possible, try and find ways to save on expenses. Whether that means having a budget for each staff member’s trip away or meetings that are outside the office. Sometimes, the economy will hit a business financially, and therefore it’s essential to save where possible. Expenses are often the cause of companies leaking money, so don’t fall victim to it!
Internships are now more commonly paid roles rather than being just paid in experience and so they should. Interns will often work just as hard, if not harder than your own employees because they’ll be keen to impress. Internships are great if you can’t finance a full-time employee but do require someone for an extended amount of time. Make sure you interview your interns just like any other recruitment process and go for the individuals that are going to give something beneficial in return for the experience you are giving them.
Some internships also end up with a position opening up for them, so always factor this in when taking on a new intern.
Outsource Where You Can
Outsourcing is a great way to save the company money, particularly when it comes to specific ventures for the business that might be executed more efficiently than it being done in-house. When a business wants to streamline their finances, it’s a good idea to keep your full-time staff to a minimum and then hire out independent contractors for other work that may not require someone full-time.
Saving money for your business is something to think about whether you’re established or not, so try these tips today.