4 Mega Cost-Saving Strategies for Small Business Owners
It is estimated that around 20 percent of small businesses fail in the first year. This increases to a failure rate of 50 percent by the fifth year. So how can you ensure your small business stays afloat?
As well as increasing revenue, you should aim to save money wherever possible. Read on as we give four must-know cost-saving strategies for small businesses.
1) Go Paperless
Going paperless is one of the cost-saving initiatives that work on many levels. Not only are you reducing your carbon footprint, but you can also make huge savings. Think about how much paper you use daily then total that up for the year.
There are platforms for doing any type of document digitally. Good ones will be secure and efficient. You can sign them using electronic signatures.
2) Lease Equipment
The equipment you need when starting out takes up a lot of your upfront costs. Even smaller operations need the basics and they do not come cheap. Any cost reduction in business is an advantage when starting and leasing can help you do that.
Not only do you save money upfront, but most of the maintenance and repairs get taken care of by the leasing company. As it is easy to cancel and upgrade, you can also stay at the cutting edge of technology without having to buy everything again.
3) Get Insured
Getting insurance may seem like more expenditure. Yet for that inevitable instance where things do go wrong, it can be one of the biggest cost-saving ideas you undertake. Many places require you to have it by law.
General liability will protect you from any claims people may have against your business. These could be court costs, medical bills, or legal damage. Property insurance will cover the building you operate in including your building and furniture.
Worker’s compensation is also advised. It covers your staff in the event they are injured while performing their duties. Cole Harrison is a specialist in getting the right insurance for your business needs at the best prices.
4) Streamline Your Marketing
When it comes to marketing, small businesses can often employ a scattergun approach until they know what is working. This can be a mix of digital and traditional marketing methods.
One of the most efficient cost reduction strategies is to take a good look at what is working and what isn’t. This is easier to do with digital mediums, where metrics can be used to tighten up campaigns as they are running. If you don’t have time to devote to a total marketing overhaul, then don’t be afraid to outsource it to a company that has the means to do it for you.
Implementing Cost-Saving Strategies
Some of these cost-saving strategies can be implemented immediately. Others may take planning, so think about how they can be integrated. Within a few months, they should offer considerable savings.
If you found this article helpful, we have many more. From finance to marketing we can help your business flourish.
