Tips for Saving Small Businesses Money
Britain is a nation of entrepreneurs, with huge numbers of companies starting up every year. One of the most important financial issues for many small businesses is accessing funding, both for the initial start-up and to ensure they can take advantage of opportunities to expand. However, it is also essential to make sure you keep track of spending on everyday operations. Here are some money-saving ideas.
Outsourcing and Using Freelances – When a business is young and the budget is tight, you may be reluctant to pay out for services from outside. However, if you and your key staff have to do everything yourselves, this will actually cost you money because of all the time when you won’t be available to concentrate on core activities. Outsourcing areas such as finance and HR to companies which specialise in these areas could be a way to free up your time, resulting in savings.
Embracing Flexible Working – If some employees work part-time, this can save you money compared to having everyone on your books full time and also help you to have a wider skills base to call on within a small business.
Using Cloud Technology – Having access to the latest technology can help to save staff time, which again has financial benefits. Investing in a software solution may quickly pay for itself if it means you don’t have to spend a lot of time doing routine tasks, which can instead now be scheduled automatically. It can also save on the need for storage space. In some cases, fully harnessing technology can even mean you don’t need to outsource a function, saving money on an ongoing basis.
Looking at Spending in Detail – Sometimes offices can get into a habit of buying in various items which may not always be needed, ranging from regular stationery orders to supplies of snacks for meetings. It could be a good idea to go through spending in detail every now and again to see where you can buy a cheaper alternative, change suppliers, or even cut out an unnecessary expense completely.
Collaborating and Bartering – Working and networking together with other small businesses can enable sharing of money-saving tips. Sometimes companies may also be able to join forces to place or fulfil a large order, to financial advantage. Barter type deals, where companies exchange professional services, can potentially also be money savers, provided you have the right safeguards in place.
Choosing Affordable Office Space – Finding a good business location at a price you can afford is key to the success of small businesses