Regardless of the size of your business, you should regularly monitor your outgoings. Costs can mount pretty quickly, so saving money wherever possible should always be a focus.
The good news is that even small changes can make a big difference, so you might be surprised at how much of an impact it can have on your bottom line.
Here are 4 simple ways to reduce the cost of running a business.
The cost of premises
If you rent business premises and are not tied into a lengthy lease, be realistic about what you have versus what you need. It may be that they are far more sizeable than necessary, or you may simply be paying too much rent. Downsizing or moving to a less popular location could save you thousands each year.
If you own your premises and have excess space, you may even want to consider letting part of it out to generate additional income.
Shop around for vehicle insurance
Company vehicles can cost a fair bit to insure, so it is worth shopping around for quotes every year. You can go direct, but if you want to save a bit of time and money, companies like One Sure work with several insurers and underwriters and so can offer you some of the cheapest deals available on both van and car insurance.
You may be tempted to auto-renew your insurance, but it could result in you paying far more than you have to.
Take advantage of free advertising
Many social media platforms don’t cost a penny to advertise on but can boost your sales and your brand, so as well as paid for advertising, use the free options too. Instagram and Facebook are very popular but don’t forget that Tik Tok isn’t just about mastering dance moves or singing. Many people are now using it to build their businesses.
Whether it be a creative piece about a new product, or a clip showing how you pack an order, take advantage of the millions of users who might see it or share it. It only takes one to go viral, and you could boost your brand overnight.
Reduce office running costs
If your office running costs are getting out of control, it might be time to consider whether you can reduce your spending. Switching to LED lightbulbs with motion sensor lighting is a great way to reduce your electricity bills and help the environment at the same time. If you own your premises, then another option worth looking into is solar panels.
If you don’t currently monitor office supplies and any member of staff can order anything at any time, it may be worth restricting this. Having someone authorize each order or setting department limits each month is a great way to reduce waste and save some cash at the same time. Over-ordering is a common theme in offices, so keeping an eye on expenditure should minimize the chances of it happening.