Did you know that 82% of businesses fail because of poor cash management? Expense control is difficult for everyone but it is something that business owners need to get a grasp of fairly quickly if they want to be successful.
Many owners may feel that cutting costs means that they’re losing out on something important to run their business. There are plenty of different ways that you can easily reduce business costs yet still run your business efficiently.
You can save a few dollars in many different places and they all add up in the long run.
Keep reading for our guide on seven ways to easily reduce business costs.
1. Reduce Your Paper Usage
One of the easiest cost reduction strategies is spending less money on paper. Did you know that small businesses spend around $80 on paper per employee annually? That is a whole lot of money that could be saved just by cutting the cost of buying paper!
Plus, in 2020 most companies are using digital technology a lot more anyways. Think of all of the things that your company can do more efficiently on the computer verse by using paper. There are probably tons of things!
If you’re not ready to make the jump and go completely paperless, then there are still ways that you can reduce your paper usage! Try using both sides of the paper and shrink the font to fit more onto one piece of paper.
You can also use scrap paper to take notes instead of just throwing it away.
2. Power Down When Possible
Your electric bill is another huge company expense but there are ways that you and your team can help reduce it. Another one of our awesome cost-cutting strategies is to power down electronics when you can.
When you or your employees aren’t using your computer, then make sure to power them down. This goes for other electronics as well! Power down the fax machine, printer, or copier when you aren’t using it.
Another great tip is to unplug other electronics around the office when they aren’t in use. These could be small things such as the office coffee pot or a phone charger. It might seem like a small thing but those costs sure do add up on your electric bill.
3. Create Your Own Pay Stubs
Whether you’re a small or large business owner, pay stubs are something that you’re going to need to have for each of your employees. It can be easier and less time consuming to pay someone else to create a pay stub for your employees but that cost can definitely add up over time.
It is actually very easy to make pay stubs all on your own! You can even customize your pay stubs with your company name, address, and logo. You’ll also need to insert each one of your employees’ personal information so that they will have a valid pay stub.
Creating your own pay stubs for your employees is easy and can be done very quickly. It’s also a great cost-saving way by doing them all on your own.
4. Keep Supplies Together
If you’ve ever over ordered something, then this is a great tip for you. Keeping all your supplies in one area is a great way to watch out on your supply levels. Try having a closet or area in your office where you house all of your supplies.
This way you can make sure that when something gets low, then you can order another batch of it. Instead, if you keep supplies scattered all over your office, then it will be more difficult to know when you’re running low on something.
Ordering things just for the sake of ordering can really cut into the expenses of a company especially if you don’t necessarily need it just yet. Make sure that everything is together so you can keep an eye on the level of your supplies.
5. Use Digital Marketing
Digital marketing is a great way to help your business save money especially compared to other types of marketing. Print marketing means that you will need to get flyers made which can add up.
Content marketing is completely free as long as you’re creative and have the time to do it on your own. You can make social media accounts for free and attract your target audience through your posts.
Even creating a video can be done for free as long as you have a smartphone. You can post your video on YouTube, Facebook, Instagram, or even Twitter for tons and tons of people to see!
6. Let Your Team Work From Home
Did you know that you can actually save money by letting your employees work from home? If you already have office space, then you can give your employees a day or two a week to work from home to help you save money.
Just think about it! When you turn off all the lights and unplug electronics, then you’re saving money. Plus, working digitally is a great way to save on paper!
In 2020, working from home is a great way to save costs for your business as well as for your employees. They won’t have to travel which will help them save money and you can save money too!
7. Ask For Your Employees Help
Business cost reduction isn’t just going to happen with you alone but with the help of all of your employees. Make sure that you let them know that you’re trying to help save money and ask for their input. They might have some awesome ideas that can help save you money.
Overall, you will need their help to save money in the long run. They will help you go paperless, unplug electronics, watch over the supply level, among many other cost-saving methods you might come up with.
Getting their input is just as important and will definitely help you save money.
Be In Charge of Your Expense Control
As a business owner, expense control is an important part of operating your business so that it can run smoothly and efficiently. Saving money by running your business is also a great way to help you increase your profits which is what every business owner wants!
Reducing businesses costs and saving money can help your business thrive especially during tough times.
Make sure to check out our services to help with your business!