These are uncertain times. Businesses are increasingly taking cost-cutting measures to survive the pandemic and stay afloat. Unfortunately, in many cases, even the most stringent cost-cuts are not enough.
A true entrepreneur knows the difference between eliminating items that cost more and ‘cutting back expenses.’ Change, after all, can be an opportunity to choose better!
Here are five tips to reduce business startup costs:
Small can cost big
Trivial expenses on office supplies can cost big. A Harvard Business Review found a company allowing spending of nearly £7,800 a year on just stationery and supplies. This is not a big amount for a big company, but for a start-up, £7,800 in a year can do much more than just buying office supplies.
Take a look at the budget that you allocate for different departments and cut everything that is not bringing value to your business start-up.
Say hello to technology if you haven’t already!
Reduce business startup costs by doing away with landline phones and switching to online communication tools like Skype, Zoom, Cisco Webex, and Google Hangouts. Go paperless and reduce ink, paper, mailing supplies, and postage costs.
Market it right
Online marketing helps increase the visibility of a company and its products.
Promote your product or service through SEO keywords in blogs, social media marketing/advertising. When done right, your business can become a thought-leader without spending too much.
Resources and outsourcing
In general, departments that do not help in core operations could be outsourced. This would mean leaving your in-house resources free for taking up more vital tasks and better ROI on their engagement.
Doing away with unnecessary distractions
In a Harvard Business Review, 71% of senior managers out of 182 surveyed said meetings are unproductive and inefficient while 65% felt that meetings kept them from completing their tasks. If you want higher productivity, start by minimizing distractions like unnecessary work emails, meetings, and social media during work hours. Don’t bother about quantity, focus on quality.
Which of these business cost-reducing tips did you find useful? Share with us in the comment section!