Whether we like it or not, money makes the world go around – especially in the world of business! As a business owner, your main goal is to make profits from your enterprise, and no matter whether you run a large corporation or a small business from home, it’s imperative that you’re doing your best to keep money in the plus. More often than not, a dip in profits can be caused by overspending, and even though you must spend money to make money, there are a plethora of different ways to become more cost effective with your business.
Much like when you’re buying a house, it’s a good idea to shop around when it comes to the utilities that you’ll have to pay for your business. Running an office full of computers can and will rack up a large electricity bill – and that’s before you take heating and water into consideration! There are plenty of ways to find cheaper deals for your utilities, but it’s advised to use comparison websites to ensure you’re getting the best deal possible. Many providers will be able to create a deal for you as a business too, so it’s definitely worth mentioning.
You should also consider shopping around for other things such as your office supplies. While it’s likely that many stationary suppliers will have similar prices, it’s always worth saving a few extra pennies by switching and keeping your eyes open for better deals. However, you may find that remaining loyal with a particular company will reap plenty of money off benefits, so keep this in mind when buying your office supplies.
Know when to cut hours
One of the most expensive parts of running a business is paying your staff and sometimes, it might be worth thinking about cutting down hours or the amount of staff you hire. How do you calculate labor costs? With technology becoming a larger part of everyday business, it might be an idea to consider using a program to help you calculate how much you’re spending on labor.
Many entrepreneurs choose to give their staff members set hours and days so that labor costs aren’t unexpectedly raised. Another great way of ensuring that you’re not paying more labor than needed is by eliminating overtime. Any overtime that is worked could be owed back with time off rather than pay, and putting your staff on a salary can also help this idea come into play.
With every business, there are infrequent tasks that need carrying out and for occasions like these, it simply doesn’t pay to hire someone to take on the job. This is where outsourcing comes in and can be very cost effective indeed. For example, if you needed an extra hand with your finances, outsourcing someone just for that task will not only save you from hiring unnecessarily, but it will also ensure the job is done in a timely manner. Once the task is complete, you can carry on as normal without having to overspend.
Offer remote working for your staff
As mentioned earlier, running an office full of computers will use a lot of energy. If you’re looking at ways to reduce costs when it comes to energy consumption as well as paper use and indeed heating, it might be an idea to offer remote working for your staff. Of course, you would need to meet with your staff from time to time, but allowing them to work from home will save money and also make their lives easier too. Not having to face the commute to work each morning will likely make your staff more motivated too! Thanks to the wonders of the internet, it’s now easier than ever to stay in contact with your staff and keep communication levels high.
Use free marketing techniques
Marketing can work out to be very expensive, especially if you’ve got an ongoing contract to ensure that your business and everything you’re about it seen by the right people. While it’s imperative that you do invest in marketing, you should also take advantage of the free option too – social media! Here are some effective tips on using social media to market your business:
- Run competitions and giveaways using your social media accounts and lead users back to your website. Not only will people become more interested in what you’ve got on offer, but you’ll also be driving that all-important traffic to your website too.
- Post regularly to ensure that your content isn’t lost in the abyss of social media posts that are made each day. Posting once a day won’t give you much of a chance of being seen by the right people, so make sure you’ve got plenty of content ready to post on your social media accounts.
- Make sure the content you’re posting is relevant and useful to your target audience. Images, memes, and videos are more likely to grab the attention of potential customers, so keep that in mind when you’re creating posts.
- Reply to comments and messages that come through to show your customers that you’re an active account. A business account that seems inactive is likely to lose followers. This is especially important for those commenting with any issues they’ve had with your business or it’s products.
- Use free social media scheduling to ensure that even when you can’t be active, your readers are still seeing your content.
- Be sure to use all available social media platforms, and to learn their individual algorithm to gain the most benefits from using it. Each platform has a different algorithm, but one thing many have in common is the use of hashtags.
We’re sure you’re aware of the state of our planet, and how important it is that we all do our bit to help preserve the environment. Luckily for you, being environmentally friendly can also bring in a little extra money than before too because you’ll be:
- Spending less on energy and in fact generating it yourself.
- Not having to pay for endless amounts of paper each month. Going paperless can both save the planet and your wallet!
- Bring in more customers. A company that cares about the environment will get more customers than one who doesn’t show they care.
Investing in solar panels for your business and other ways of going green is sure to both help our planet and make your business more cost-effective.
Use time management tools
Finally, when a team isn’t running as efficiently as it can be, it’s essentially eating away at your hard earned profits. That’s why using time management tools can be an extremely effective way of freeing up extra money within your business. Helping you and your staff delegate the work more effectively will both help with workloads and be more cost-effective.