It’s no secret that starting your own business requires a serious investment of time and money. Before adding “entrepreneur” to your resume, it’s essential to understand all of the hidden costs that come with building a business from the ground up.
From permit fees to dealing with employee turnover, your wallet will work overtime to keep pace with your incoming expenses. Therefore, keeping a close eye on your finances is vital to ensuring you don’t fall into debt, putting your business in the red. While it’s normal for your business to be in the red during its beginning phases, if your business is consistently seeing financial losses, the likelihood of losing potential investors and credibility when trying to obtain loans is high.
Managing your cash flow can help prevent business losses and create a cushion for unexpected expenses thrown out of left field. Additionally, maintaining an adequate cash flow can help your company reach new heights and set you on the path to success.
Opt for a mobile notary
A notary is essential to conducting your business’s transactions efficiently. While some companies invest in keeping a notary on their payroll, using mobile notaries, like these, can save you time and your hard-earned cash.
With a mobile notary, you don’t have to worry about sitting in traffic and adding unnecessary miles onto your car to access notarial services. Your mobile notary can meet you anywhere, saving you a trip offsite. If you have clients that work outside of your regular office hours and require notarization services, consider investing in a mobile notary service that provides 24/7 access instead of a service that charges you prohibitive fees for after-hours work. With flexible services at your fingertips, you’ll never have to turn down another client again because you have to wait for a notary to open.
Try modern alternatives for marketing
Running print and TV ads used to be the gold-standard of company advertising. However, in today’s social-media-driven and internet-driven workforce, using public relations is a much more efficient way to market your business and save money down the road.
If your company is featured in an online publication or by a media outlet, you’ll quickly receive exposure without having to pay a cent. Effective social media campaigns are also a cost-efficient way of advertising your company. Unlike print ads, social media posts are a budget-friendly option and relatively low time commitment, making them easy to execute when you have limited time to dedicate to marketing initiatives.
Consider utilizing eco-friendly practices
Many businesses are afraid to invest in eco-friendly practices due to misconceptions that it’s too expensive or too difficult to go green. Little do they know, simple moves like putting equipment on power strips and flipping the power off when that equipment isn’t in use can lower your energy bills and contribute to our environment’s good health.
Despite these circulating misconceptions, being more eco-conscious saves you money. It can also make you money too. Globally, about three-quarters of the population say they would be willing to pay more for products from businesses that practice sustainability. With these eco-friendly-living myths debunked, making sustainability a priority in your business can help attract loyal customers and save you money along the way.
Buy second hand equipment
If you love thrift shopping, it’ll come as no surprise that buying second-hand is a more cost-efficient alternative to buying things brand new. As a new business, it can be useful to start with buying some used equipment until your business is turning a sufficient enough profit to upgrade your gear.
Of course, in some cases, it would be better off to buy products in pristine condition as investments for long-term use. For example, purchasing brand-new computers and printers is virtually non-negotiable. However, office furniture and decor are two categories where buying secondhand can help you slash costs while building a functioning office space.
Encourage remote working
Remote working has many benefits for both you as a company leader and your team of employees. With a fully-remote structure, you can hire employees from coast-to-coast. With your staff performing daily operations from the comfort of their home offices, business owners like yourself can also reduce or eliminate utility and operating costs, typical of traditional office spaces.
Of course, running a completely virtual office may not be possible, or you may not prefer it over a traditional office setting. In that case, you could adopt a hybrid office strategy where your team works part of the week in-office and the rest of the week from home. With this approach, your office space costs will shrink significantly, saving you money that can be better applied elsewhere.
The bottom line
Finding ways to cut costs in your business can be difficult, especially as you begin the process of creating and establishing your company. However, if you find your business in the red, there’s no need to panic. Making just a few changes and keeping a close eye on what parts of your business are putting a strain on your finances can keep your business on a successful and lucrative path.