It does not matter if you are a new startup or an established business, part of the road to success is keeping your overheads low. This is quite simple to do, but not everyone knows how so here are a few tips to help you.
Check Your Energy Bills
Energy bills can be a large expense for companies and keeping them down is essential. Look at some of the compare sites for energy and see if you can find a better deal than you already have. If an energy company offers you cheaper power, let your existing company know as they may not want to lose your business and will match the new deal you are being offered.
You also need to educate your employees to not be wasteful where energy is concerned. It may seem a trivial thing but turning lights off when they are not needed can make quite a saving over a year. You also need to make sure that any computers, printers, copiers, and any other equipment are turned off totally at night and not just put into sleep mode. Every piece of equipment in sleep mode can cost you nearly a dollar a week. Just add up how many there are in your premises, multiply that figure by 52 for the weeks of the year, and you may be amazed at how much you can save just by turning equipment off totally.
Check Out Your Business Insurance
There are several insurances that businesses legally should have, and they quite often come as a package. You can check for cheap business insurance online and find the best deal for you. As long as your insurances are compliant with federal laws and the ones for the state you are located in, there is no point in paying more insurance than you need to.
Keep the Cost of Borrowing Down
Of course, the best way to keep the cost of borrowing down is not to do it at all. However, that is not always possible as sometimes businesses need to raise finance for new equipment, to expand the business or to get it off the ground to start with. The interest rates you are charged can vary greatly, and the lending company that may seem the simplest to deal with is quite often the ones that charge higher rates.
Outsource Some Jobs
The beauty of outsourcing is that you only pay for completed work and freelancers do not come with all the trappings of employing someone. Jobs such as bookkeeping, accounts, payroll, social media management, content management for your website, and many other tasks can be outsourced and save you a small fortune.
Check Your Accounts
You need to go down the overheads in your accounts to see where else you could save money. Could you buy your office supplies cheaper? Can you save on your premise’s costs? Is there a way to reduce your phone bills? Any overhead that is costing too much is taking the profits from the business. This can make a difference between the success and failure of your venture, and cutting costs where you can is essential.