When starting a business, you know that every cent counts, and money can be scarce. New businesses can easily fall into debt – and that’s what you want to avoid. But it’s not that simple. Things are expensive. You need equipment, office space, computer software programs, employees – the list goes on. So you may be looking for some tips to help you reduce your expenses when starting your business. Keep reading to find the solution you’ve been hoping for.
Virtualise Your Office
Commercial office space costs money – a lot of it. But in this day and age, digital technologies make communication between employees and target customers so much easier. So why not put this to good use? All you basically need is a laptop and a reliable internet connection & you can connect to anyone from anywhere.
Save the money you would have spent on rent and charges & rather invest it in inventory or raw material. As your business grows, you’ll slowly be able to set up an office outside of your home.
Consider Used Equipment
When starting out, there are ways to acquire the equipment essentials you need, but at reduced costs. Look at the second-hand marketplace for things like desks, chairs, bookshelves etc. You could even search for used printers and fax machines.
However, when it comes to high tech devices, you might consider renting laptops and tables rather than buying them second hand. If buying second hand you can never be sure if the software or hardware components are intact and there’s no warranty to protect your investment. You might buy a used laptop which breaks within days and then you’ll need to spend money to repair it. So, it’s much safer and more convenient to rent from a reputable company.
Don’t buy the first thing you see. Take your time and really shop around for bargains. Also consider buying supplies or equipment that you know you’ll need, in bulk. And don’t limit yourself to local suppliers or companies. While it’s good for the local economy, you might benefit from ordering online or from companies in larger cities.
If you don’t find the talent you’re looking for locally, consider outsourcing as a possible option. This can sometimes be cheaper than hiring a permanent employee, and it gives you more time to get your finances & business plan in order before you expand your team. It also gives you the chance to see if the business you’ve chosen is really for you, before you start carrying the responsibility of a large payroll.
Outsourcing is also a great way to network and make contact with people you might use again in the future. And if people enjoy working with you, they might even mention your name & business to their other employers, improving your reputation across the board.
Cutting costs and saving money is an important part of starting up any new business. You really need that initial ‘injection’ to give your business the best possible chance of success. It’s easier than you think and if you have more tips for other business leaders, please share your thoughts below.