5 Things Small Businesses Can Do to Reduce On-Going Costs
Running a small business is tough, especially in today’s no growth environment. With stagnant revenue and increasing inflation it can feel like you’re getting squeezed from all sides.
In this type of business environment reducing costs can mean the difference between your business surviving and going out of business altogether. Here are 5 simple things you can do to reduce on-going business expenses:
- 1. Turn off all electrical devices when not in use
With electricity prices constantly rising, you want to make sure you’re not spending more than you have to. Many businesses will leave computers or lights on, even when nobody’s in the office. Make sure these are turned off when people aren’t using them and enjoy the benefit of smaller bills each month.
- 2. Travel only when necessary
Business travel can really add-up and may not always be necessary. Determine if everyone from your business really needs to go to a conference or how many people really need to go for a client visit. If travel is unavoidable consider staying in cheaper hotels and flying coach instead.
- 3. Make sure your mailing costs are as low as possible
If your business sends more than $50 a month on mail, it might be worth considering a postage meter to reduce your mailing costs. Postage meters save both time and money as they always add the correct amount of postage and can handle more letters per minute than a person can. Plus, metered mail is less expensive than regular mail.
- 4. Buy second hand office furniture
With many businesses folding, there have never been more opportunities to save on office furniture and equipment. You can often buy used office furniture at 50-80% off what it would cost new. Plus, it is more environmentally responsible as you’re reusing something that would otherwise be put in the trash.
- 5. Allow people to work from home
Perhaps the biggest expense many businesses face is the high cost of renting office space. By letting people work from home on a regular basis you can reduce the amount of space you need. However, just be sure you put in place a way to check what people working from home are doing with their time. You don’t want to save on office space only to have your employees slack off.
These are just a few of the many ways your business can save money on on-going business expenses. If you have others please share them in the comment section below:
