Look after the pennies and the pounds will look after themselves. This old English proverb holds just as much meaning now in the Eurozone as it does in England. As a business owner you may be looking over your budgets from quarter to quarter or year to year and find yourself thinking, where did all the money go? Entrepreneurs that are new into the market and own a small businesses or more the more seasoned owners of larger businesses all have one thing in common. They all want to cut costs and save money in any way possible. The topic of small businesses and saving money is one that is often raised at business workshops and C-Suit meetings. For this reason we have pulled together six ways that small business owners can start saving money right now:
Shut Down Computers
Energy and electricity costs are always a major item each month. One simple way to save on electricity is simply to turn off computers when you leave work for the day or plan to be away from your desk/office for an extended period of time. You could even shut down your computer entirely, if you know that you will be in meetings all day. With advances in technology you could even consider installing software that will automatically shut down your computer when it sits idle for a pre-determined amount of time. Not only will this save you some money each month it will also help to prolong the life of your computers. For that reason it’s a win-win deal for those cost conscious business owners of both large and small businesses.
Trade Paper Towels for Automatic Hand Dryers
Does your business burn through paper hand towels? Why not consider moving to automatic hand dryers. They have an initial cost investment, but pay off in the long run against the reoccurring cost of new paper towels. Again with the advances in technology the newer models of automatic hand dryers are more energy efficient than the older ones so they use less electricity, and in turn less money.
April 22nd is international Earth Day in 2014, but here’s a thought… Why not make every day Earth Day? While it may go without saying, it must be mentioned. You would be surprised how many people do not think of this. Always reuse paper, print on both sides of the page and avoid printing unnecessarily. Take the time to recycle both paper and empty toner cartridges. One idea could be to call around to the large office supply companies and see if they have a discount program in place for businesses that recycle.
Download Free Software
When starting a new business or even expanding an existing one you may find that you need to get new software programs on your computer to help run the business more efficiently. One idea that you can think about is not going out and immediately buying what you need. You should first look at the inexhaustible horde of free resources available online. Consider trying the free trials offered by many businesses or even switching to OpenSource software that are readily available online. Taking time to research the different free options out there is definitely worth the money savings that you will make.
Work Remotely or Share Office Space
More and more budget-conscious businesses are adopting work-from-home policies, and when you think about it workplace flexibility makes economic sense. You can save on the costs of office space by allowing your employees to work virtually and telecommute. If this option does not work within your business model you could think about sharing office space with another business or individual. This will help, as you split any office space expenses, such as monthly rent costs.
Compare Credit Cards
Although you may not think it, credit cards can have a huge impact on your monthly expenses. If you aren’t always able to pay your balance in full at the end of the month, shop around for a card with a lower interest rate. If you are able to pay the credit card balance in full, it’s essential to avoid those unpleasant annual fees. Compare credit card companies, or simply talk to your own company and ask if they can waive those fees. Let them know other companies are soliciting you and chances are, they’ll do what it takes to keep your business. Although it may not be possible in every business but the best thing you can do is not have or use a credit card.
There’s a number of tactics you can use to cut business costs and the more you implement the more you can save. Some, admittedly, do require an initial investment, but when you think of the longer term, these investments could save your business lots of money.
It shouldn’t matter if you’re new to the business world, or even a veteran, saving cash each month should top your list of priorities.
How do you save money each month?