Business owners are always trying to maximize profits and save wherever they can to ensure success. Here are some of our favorite creative ways to save some cash:
Website:
Build your own website. Many small businesses spend a ton on having a website built and maintained. Guess what? You can do it yourself using website builder software. Check out the offerings from Wix, Squarespace, GoDaddy and others. You’d be surprised at the sophisticate product you can turn out at a fraction of the cost.
Advertising:
Ads can get expensive. Consider enlisting other small businesses to participate in communal advertising, in which you share suppliers, mailing lists and distribution channels. It’s best to work with other companies having a solid reputation and offering complementary products or services.
Spread the word:
Community events are terrific venues to show off your expertise in your given industry. You’ll get free exposure for your business and yourself. You never know, it might lead to paid speaking gigs!
Convert living space:
Commercial offices are so 2010! The IRS has made it easier to declare part of your home as your office and earn valuable tax deductions. Renting office space is expensive, and for many businesses, unnecessary. This is especially true if your business involves e-commerce, where customers will never see your workplace.
Think used:
If you do need office equipment and furnishings, think used! You can get used desks, chairs, filing cabinets and so forth for a fraction of their costs when new. Remember, shiny new furniture is no match for a healthy bank account.
Use freelancers:
It’s cheaper to use freelancers when needed, because you don’t have to pay employees who might sometimes be idle, and you don’t have to worry about the costs of payroll, withholding, benefits, profit-sharing, etc. In addition, using an experienced freelancer saves you the cost of onboarding and training an employee.
Barter:
You might offer something that can be bartered, allowing you to obtain products and services without spending cash. For example, if you’re a freelance CPA, you might obtain legal work from a lawyer client in exchange for tax preparation work.
Borrow wisely:
Entrepreneurs often waste time applying for bank loans only to find out a month later that they’ve been turned down. Sure, bank loans offer good interest rates, but only to the most credit-worthy clients and only after taking a month to make a loan decision. If you’re in a fast-moving business, you can’t afford to waste a month on a business opportunity that might evaporate in a week. When you borrow from IOU Financial, you’ll get your money in a day or two, putting you in a position to open the door when opportunity knocks.
Demand discounts:
Has it occurred to you to demand discounts from your regular suppliers? You’ve given them your business, now they can provide you with a thank-you by offering a discount on future orders. You just might find them very flexible when you hint at taking your business elsewhere.
Don’t buy, rent:
Do you occasionally need heavy equipment, vehicles and other items available from your local rental store? By renting, you avoid large capital outlays and money spent on equipment maintenance and repair. Rental expenses can be deducted when they are incurred, whereas equipment purchases may take years to depreciate. Renting makes a lot of sense for a variety of small businesses.
f you have tried all of these strategies, but are still finding it difficult to sustain your business during the holiday time, turn to IOU Financial. We make it a priority to support small and medium-sized companies with easy loans up to $300,000. You can get funded in as little as 24-48 hours.
