 When it comes to reducing business costs you may have already looked at the regular suspects – locating the least expensive office supplies, replacing light bulbs with more energy efficient models, and bid janitorial services and use the best and lowest bid.
There might be some additional ways to reduce your overall business costs that you may have never considered.
1. Hiring a virtual assistant
Let’s say you need someone to provide administrative services on an on-call basis. This would be a job for a qualified virtual assistant. There is no need for benefits or vacation pay because a virtual assistant only works when you need them.
2. The Effective Use of a Freelancer
A freelancer may be someone you hire to write an article or provide graphic design or web development services. These are creative individuals who can help you reach your goals in a cost effective manner. The use of a freelancer can help you achieve your goals when your budget may not allow for another full-time employee.
3. Online Meetings
If you have employees in multiple locations you may find that having a virtual meeting might actually provide lower costs and greater productivity. You want to keep in touch, but there might be substantial expense in either driving or flying for a face-to-face meeting. An online meeting can provide a comprehensive way to share ideas, allow employees to share computer visual data and listen to each other from locations throughout the world. You can access unlimited meetings with fewer than 15 employees for less than $500 annually. You may be spending at least that much just trying to get everybody together for one meeting.
4. Mailings and Product Fulfillment
You could stand in line at the post office to have every package weighed. Of course that might also mean some dirty looks from other customers who just want a change of address form or a roll of stamps. Many companies have opted to use a postage meter and avoid the time and gas it takes to make a run to the post office. Equipment rental can add up quickly. A better cost saving option might be to purchase your postage online. A free digital scale can help you know what postage you need and you can conveniently print postage from an office computer hooked to the Internet. You may realize a savings of more than 50% when compared to traditional postage meters.
5. Legal Affairs Department
The role of legal council cannot be minimized, but can also be very costly. What if you could access less expensive, but highly qualified legal documents, contracts and legal assistance with business startups or expansions? An online legal document service can save you time and expense by tapping into the collective brain trust of legal talent from across the United States.
6. Be the Negotiator
If you use a supplier regularly you should seek to negotiate a better price for products you regularly use. You can always shop around for a better price, too. If an existing supplier understands you are actively seeking a lower price they might actually give it to you.
7. Examine Regular Expenses
This includes insurance and all bills. Do you have a choice in gas and electric suppliers? Have you checked the latest prices phone company competition? Do the specifications on existing insurance need to be changed? Are there better options? Answers to these questions could mean an enhanced bottom line.
8. Big Savings First
You could spend so much time trying to find small ways to save money that you fail to take note of large savings that are right in front of you. This could be an office relocation to save on monthly lease terms, staff restructuring or the elimination of company vehicles. You can spend so much time concentrating on the life expectancy of a light bulb that you fail to look at some of the largest savings opportunities first.
9. Business Leverage
Do you sell something that other businesses could use? It’s possible you could find a way to leverage your supplies or service as a means of exchange or barter with other companies. This can be a win/win as you get what you need and so do they. In the end it’s cost effective for all involved.
10. Examine Your Marketing Budget
Every business will use advertising in some form. There are so many places to advertise (on and off line) that it might make sense to develop a comprehensive plan to reduce marketing expenses and target consumers in less expensive ways.
It’s your business and the profit margins are getting slimmer all the time. Find ways to reduce expenses while maintaining positive growth. The end result may mean greater long-term business stability.
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Desperate times calls for desperate measures right? We're all in this together and these are the exact things that rarely come to mind when things are dandy.
I am a small business owner in Los Angeles and I can tell you for sure that times are extremely challenging and we could use all the advice we can get - this is a great resource!
Thanks for publishing this article!!