Every small business owner is seeking for ways to boost revenues, save money, and enhance cost effectiveness in the face of a faltering economy.
The good news is that books and articles are full of inspiring ideas. But in today’s challenging economy, you need innovative and imaginative strategies to save rather than just covering the obvious ones.
Don’t use paper
You may minimize storage cost, printing cost and enhance overall productivity by running a paperless office. By scanning papers you may distribute and share information effortlessly
saving your
business time and money.
Use a balance transfer with a 0% credit card.
A fantastic approach to reduce your debt and reduce interest costs is to move the debt balance from one card to a card with a 0% intro APR. For example, if you had a $5k balance on a card with a 17% APR and moved the balance to a credit card with 0% initial APR for 15 months, you would save $862 in interest alone!
Renting equipment
To avoid the high upfront expenditures you’d incur when acquiring equipment consider a lease. Since many lease agreements include these costs, you can save a significant amount of money on repairs, renovations, and maintenance in addition to conserving your
company‘s cash.
Collect money out front.
When giving customers credit, take into account getting a portion of the money up front with each purchase; it will assist your firm decrease risk, enhance cash flow and save money in collection attempts. For example, you can impose a 25% down payment on all future transactions made from your net 30 account holders.
Request the discount to cut cost
Depending on the agreements, the vendors you use can provide quantity savings of 50% or more. If you can fulfill these conditions, you might be eligible for a discount. You might be eligible for anything. This including an early payment reduction or an interest-free loan in the form of vendor credit.
Change banks
It comes as no surprise that banks are attempting to increase revenue from fees in order to offset all the recent regulatory changes. Greg McBride of Bankrate sums it up well when he says, “As consumers, we’re not captive to these rising costs, but we’ve had to be vigilant and proactive about avoiding them.” Avoid charges like ATM surcharges, check bounce fees, and most recently, the debit card fee, at all costs. If transferring to a different bank may significantly reduce your expenditures, it might be just what you need to do to save your
business money.
Think about bundled services to cut cost
Some businesses provide packages of services that combine phone, cable,
internet, fax, and web hosting. Your organization can save hundreds of dollars a year by combining two or more services provided by the same provider.
Use debit cards for payroll
Your
company‘s administrative costs might be significantly reduced with a payroll system that accepts debit cards. It reduces the possibility of fraud and eliminates the cost associated with printing checks. According to the Association of Certified Fraud Examiners, employees are involved in 60% of all fraud events that occur within a corporation.
Spending Control for Employees
Every level of employee uses or abuses credit cards provided by the employer. You may save money and steer clear of costly blunders by establishing rules, turning on pre-set limits and warnings, and keeping an eye on your monthly expenditure reports.
Present electronic bills
E-invoicing is the practice of sending invoices to
clients directly via email. If you start sending invoices electronically, you can save money on printing and mailing expenses for your
business.
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This post contains affiliate links.