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Whether you’re a start-up or an established business, chances are you’ll do just about anything to save money. However, as important as it is to save money for your business and improve your cash flow, cutting costs in the wrong areas can have detrimental effects on your business cash flow as new business and sales are affected. It’s essential that you initially reduce costs in areas that are less likely to affect the growth of your business. Below are a handful of money saving tips to implement within your business:
1. When investing in new computer/s for your business, opt for the laptop instead of the desktop computer to save money on your electricity bill each quarter. Laptop computers use approx. 80% less energy than regular desktop computers.
2. Shop around for a better phone plan. With so many new and competitive phone plans out there you are bound to find a better deal than you currently have. Visit Plan Panda to compare pre-paid and unlimited phone plans.
3. Save a few trees and reduce your stationary bill by reducing printer use. Ink and paper expenses can add up quickly so ask yourself if you really need to print that document. Ensure your employees have the same attitude towards printing. If you do need to use the printer, make sure to use recycled paper and make the effort to recycle ink cartridges when they are empty.
4. Reduce artificial lighting and air-conditioning use by opening the window or letting in some natural light if possible.
5. Purchase the necessary office supplies in bulk to take advantage of ‘bulk purchase discounts’. Although there will be a slightly larger upfront cost you will save money throughout the year as long as you can effectively plan the volume of supplies required for the term.
6. Use interns or work experience staff where possible to carry out tasks that allow you to spend more time on the more important tasks. Not only are you helping out a student with gaining the relevant industry experience, you will save money and may find the perfect employee to work for you in the future when the business grows.
7. Advertising can seem like a type of ‘money pit’ if the funds are not implemented properly within the relevant advertising channels. Before you stretch the budget to purchase that expensive newspaper advertisement, try a few of these free advertising and promotional techniques.
8. Companies need to identify new ways of promoting their businesses. What they can do, is cross promote, where the chances of closing the deal are much higher.
8. Cut down on travelling costs by having employees share hotel rooms and hired cars. Arrange a corporate account with your hotel, airline and car hire providers to keep track of your travel expenditure and receive further discounts and savings.
In summary, aim to lower utility bills, closely monitor travel expenses and make the most of free or low-cost advertising and promotion methods.