Earlier we discussed ways to save on utility bills. Let’s look at other ways to save.
- In businesses that depend on a fleet of vehicles, fuel prices are always a concern and a drain on profits. If possible attempt to purchase fuel efficient cars, such as hybrids or high mileage vehicles. You can check for rebates from the government that lower your tax burden as well.
- Office supplies are expensive. One way to cut costs, instead of tossing stationary that has been printed on one side, print on the other side any in-house documents. This will reduce paper waste.
- Another idea to save on office supplies. Band together with neighboring businesses and buy from the local Costco or Sam’s Club in bulk. Cost sharing can cut costs.
- You can also save on office supplies by shopping online at EBay or Overstock.com for office equipment. This is where you can get deals from companies that have excess inventory available.
- In house printing can be expensive. I know some people who would rather buy a new printer than buy cartridges. Some office supply stores offer a rebate on the used cartridges. It usually ranges around $3.00 per cartridge.
- Advertising is another expense that can take a toll on the bottom line. You may consider teaming up with businesses in related fields to advertise. In the world of science this called mutualism, where two organisms benefit from each other. For example, a real estate company may line up with an appraiser or mortgage company. An accounting firm may line up with a law firm or a beauty salon with a clothing store or spa.
- Inexpensive advertising is available on some websites and is free on Craigslist.
- By joining an online forum or Linkedin group in a similar field, you can find out how they are eliminating waste and saving money.
- Bartering is also a popular way to save. There are barter clubs that you can explore.
- Another cost cutting idea is outsourcing jobs to independent contractors. Extra office work can be handled by virtual assistants. Virtual assistants can type letters, do data entry, work on marketing campaigns and graphic design and some are qualified to handle your accounting needs. Since they work on a contract basis only, you can avoid extra payroll costs.
Congratulations! You are still in business. The past few years have been tough. Some of your competitors may have gone out of business, but yours has survived. Hopefully these tips will assist you in putting more profit on the bottom line.
Co-written by Jan Fowler and Greg Colvin of Acquisitions Unlimited, Inc., a Tampa brokerage/M&A firm that markets and sells existing businesses.