6 Money-Saving Tips for Small Businesses
The cost-of-living crisis is being felt by everyone in the UK, and that goes for households and businesses. According to information compiled by Business Leader, around 57% of small businesses feel as though the economic crisis will lead to inevitable closure within the next year. With this in mind, there’s no surprise that businesses are frantically searching for ways to significantly reduce their outgoings.Thank you for reading this post, don't forget to subscribe!
Explore Hybrid or Remote Working
Many workplaces were forced to work remotely during the pandemic, which meant challenging changes but much less money spent on rent and other overheads. Even after restrictions disappeared in the UK, many businesses were still choosing to work remotely or in a hybrid setting (part home and part office). If you run an office but carry out tasks that can be done remotely, consider operating a hybrid or remote setting instead.
Printing costs a lot of money including ink, paper, energy, printers, and scanners. If your business has to include elements of printing and you can’t go 100% paperless, it’s worth looking into ways you can reduce your expenses. A great way you can do this is through a managed print service like soVision IT, which will thoroughly analyse your current situation and search for more efficient and cost-effective solutions.
Every business in 2023 uses software of some sort, whether it’s complex systems or simple word-processing tools. Regardless, the majority of business software comes with costs attached to licenses, which can soon add up. To reduce these costs, you can explore open-source software, which is completely free of charge. However, the sacrifice is often premium features and thrilling user interfaces, which are reasonable cuts to make during this harsh economic crisis.
You’ve most likely heard the saying that “time is money”, and it couldn’t be truer when it comes to running a small business. Advances in technology mean that many mundane business tasks can be automated, which alleviates pressure by leaving more time to focus on important tasks. Alternatively, many reasonably-priced outsourcing companies will take care of various tasks, which means you don’t need to buy additional equipment or find room in the budget for extra employees.
Hiring new employees is expensive, with an estimated £3000 spent onboarding a single employee. To avoid facing such expenses time after time, it’s a good idea to take care of your existing workforce. There are many ways to do this including adding to compensation packages, holding regular 1v1 meetings, celebrating success regularly, and offering opportunities for career progression.
If you spend time analysing your current monthly outgoings, you’ll most likely find plenty of expenses that aren’t being used. For example, you may have subscriptions to providers you no long use. If so, get rid of them. Additionally, you may have expensive marketing tactics, when a much cheaper social media or email marketing strategy would work.
Saving serious money as a business means going further than simply switching off unused machinery and lights. You will need to dig deep into your current processes and find cheaper and more effective ways of operating.