Business Connections by Adams

S U MM E R 2 0 2 1 3 BUSINESS connections Reading this article could really pay off in the long run Cost-Cutting Strategies for Small Businesses No matter what type of small business you have, you should be able to find at least a few ideas here to help you cut costs. Every dollar counts, so it’s important to save wherever and whenever you can. Go Paperless You can lower storage costs, printing costs, and improve overall efficiency by running a paperless (or near paperless) office. Try to scan documents and keep electronic records as much as possible. Go Green The more energy efficient your space is, the lower utility costs you’re going to have. For more information on greening your spaces, check out Energy Star, a program run by the U.S. Environmental Protection Agency. Lease Equipment Rather Than Buy It A lease allows you to avoid the big upfront costs you’d face when purchasing equipment. You not only conserve your company’s cash but can also save money in repairs, upgrades, and maintenance since many lease agreements cover these expenses. Ask for the Discount The suppliers you work with may have quantity discounts. To find out, ask about discounts and what you need to do to earn them. You may be able to get anything from an interest-free loan in the form of vendor credit to a healthy discount for paying early. Barter With Other Businesses This is an old-school strategy, but it can definitely still be effective. If you need a good or service and have something of value to offer in return, this could be a money-saving route to take. Stay on Top of Your Accounting When money is tight, things like late fees on bills or a client who doesn’t pay on time can be a significant problem. Make every effort to ensure your collections are on time and outstanding balances are minimized. Don’t Buy in Bulk Small business owners often buy things like office supplies in bulk because the per-unit cost is lower. But you have to ask yourself, “Will we ever really use 1,000 pens?” Generally speaking, it’s better to buy only what you need today and free up your cash flow for other things. Adams offers communications solutions to save you time and money. Call 217-214-8708 to find out more.