Running a business can be hard work and very costly, especially if you’re just starting out in the field. Instead of throwing any extra change into a piggy bank like your mother taught you, there are easier ways of cutting costs, and Independent Retailer has put together tips for just that. Between advice from CEOs as well as guidance from other companies, you’ll be able to run your business efficiently and still have extra funds at the end of the week for any fixer-uppers in your shop you’ve been neglecting.
One of the most expensive parts about running a business is worrying about payroll. It’s a two-edged sword because on one hand the help is greatly appreciated and more hands on deck means more customers you are able to serve, but can you really afford all of those extra hands? According to OnDeck, a global online small business lending company, outsourcing services is a great way for businesses to save extra money.
“Unfortunately, many companies are paying far more for labor than their revenue levels can sustain,” according to OnDeck. “Fortunately, companies that succeed at staying in business have developed some effective strategies for keeping labor costs under budget. One of these strategies is outsourcing.” Outsourcing services not only saves your business in human resource costs such as accounting, cleaning, and security services, it also enables you to leverage the experience and expertise of those who are experts at these disciplines.
Derek O’Carroll, CEO of Brightpearl, suggests a new delivery method for keeping your customers happy while also saving your business some money on transportation costs. “I would recommend that businesses put in place technology that allows them to automate workflows, like order management, inventory, fulfillment and integrated purchase ordering,” O’Carroll said. “Doing so will optimize the buying cycle and save businesses time and money which can be invested back into the business.” Both Uber and Lyft offer package delivery options for sellers who want to offer same-day delivery, and Amazon has its Prime Now offering in many markets, so there are cheaper alternatives for delivery options to keep your customers happy without breaking the company bank.
Shipping your products to customers can be an expensive task, especially with faster shipping being the new fad. One to two day shipping put retailers at the top of the list during the holidays, so it’s easy to get left behind in the dust if you don’t offer it. This is where transportation giant Uber steps in to solve your worries. Not only does it completely simplify the shipping process with real-time tracking online, but it can also help you save money if you need to make bulk shipments. You also won’t get locked into long-term contracts.
Another super affordable, basically free, way of saving some money for your business is by doing your own advertising. According to an article by Entrepreneur, you can trim down on advertising costs by promoting yourself through business cards, email signatures, and wherever potential buyers can see your website or market address. You can include a business card in customers’ shopping bags, include your website in the signature on subscription emails, and even put your business name on all company vehicles. Get creative and find different ways to promote your name or website in places where buyers can see it.
Finance Management Planning
Finance management includes wealth planning. You want to ensure that your business profits are saved or invested in revenue-generating platforms and activities such as real estate and buying gold bullion. A wealth manager can help you with your wealth planning. Wealth management services are usually offered by accounting and legal firms.
Maximize Your Local Reach
Every successful business aims to maximize their local reach and establish a solid customer base. If you want to expand your business reach locally, here are some expert tips to follow:
- Team Up with Other Businesses: When looking for a tie-up business partner, it is important to choose one with a target audience that overlaps with yours. In this way, both businesses will attain more benefits, synergistically succeeding in attaining their sales and marketing goals. A mutually beneficial relationship can help both businesses in terms of brand visibility and local consumer awareness.
- Host Events: You can host a demo, workshop, or any community event to show your local support. Hosting events does not have to be expensive because you can use your products or services as prizes or freebies. Most of these events are attended by good-sized crowds, so businesses can boost their local exposure. Attending charity works and other local events that reflect company values is also greatly appreciated by local communities.
- Direct Mail Marketing: Take advantage of the United States Postal Service’s program Every Door Direct Mail (EDDM) marketing. You do not have to spend a hefty amount of money with EDDM because businesses do not need to purchase a mailing list. Also, the cost of printing mailers, such as postcards or flyers, is cheap.