12 Cost Cutting Ideas for Your Small Business

12 Cost Cutting Ideas for Your Small Business

When running a business, it is challenging to stay within your budget. Unforeseen costs can creep into your business cause you to drain your business account time and again. However, it is possible to cut costs in just about every area of your business.

For instance, you may want to consult a health insurance broker instead of getting group health insurance on your own. A broker can compare companies, policies, and rates and help you save money without sacrificing good coverage. Below, we look at 12 cost-cutting ideas for small businesses.

1. Shop Around for Your Utilities

Depending on where you live, you may have options for your essential utilities. Whether it’s your energy bills, water supply, or even rent, it’s always worth making regular price comparisons to check if you can get a better deal elsewhere.

2. Cut Down on Your Energy Usage

There are a few tactics you can employ to cut down on your company’s energy use. For example, try encouraging more mindful behavior such as switching off lights when you leave a room or turning off computers at the end of the day. Another option is using innovative, programmable thermostats or fitting blackout blinds to minimize light intrusion and passive heating.

3. Go Paperless

By cutting down on paper use, not only will you be saving money, but the environment, too. Even if you don’t go entirely paperless right away, you can take specific steps like printing double-sided, reusing scrap paper for notes, shrinking your fonts on printed pages, and unsubscribing from direct mailing lists.

4. Hire Remote Employees

Renting office/business space is one of your most significant small business costs, so finding ways to reduce it will help you cut your expenses. If you can set your business up for remote work, you can downsize your office space by not having all your employees in at the same time.

5. Utilize Space Wisely

Businesses are increasingly cutting costs by making clever use of available space. Prioritize multifunctional/collaborative workspaces and try to keep hardware to a minimum.

6. Purchase Used Equipment

Many start-ups make a mistake because they act like they’ve made it before they’ve even started. But buying everything brand new from the get-go is a luxury most small businesses cannot afford. Instead, shop around at local second-hand stores and check out websites like Craigslist and eBay for your tech, phones, vehicles, storage, and furniture.

7. Trade Equipment or Services

Bartering isn’t quite as old-fashioned as you might think, with the likes of Business Barter Unlimited and U-Exchange Business helping companies negotiate office items and services. They set limits on what you can barter, but they can be a helpful alternative to buying second-hand.

8. Use the Free Plans on Apps

It’s easy to forget that you’re paying a high subscription fee for a service you no longer or rarely use. Whether it’s an email marketing tool, a phone plan, or advertising space, make sure you’re only paying for what you need.

9. Use Cloud-Based Systems

By adopting open source software, your business can save itself a considerable expense. Open source CRMs like SuiteCRM or Odoo are alternatives to the HubSpot or Trello, and Microsoft Office’s licensing costs can be avoided by adopting G-Suite.

10. Get on Social Media

Marketing your small business can cost as much as you’re willing to throw at it, but the amount you spend doesn’t necessarily correlate with results. Some of the most effective ways of marketing your business are free or very inexpensive – including social media platforms such as Facebook, Twitter, Instagram, and LinkedIn.

11. Promote Free Word-of-Mouth Advertising

There’s a reason word-of-mouth marketing is still so popular – it works. People are more likely to listen and act on the recommendations of someone they know and trust, so it’s vital to get people talking about your business. Social media is perfect for this. You may also consider implementing refer-a-friend campaigns to reward customers with a discount or other perk for referring someone else.

12. Hire Third-Party Contractors or freelancers

Recruiting full-time employees can be expensive, but a meaningful alternative to this is to hire freelancers for specific tasks on an as-needed basis. Freelance contracts minimize risk, reduce the outlay of expenses, perks, and equipment, and enable a greater degree of flexibility.

Contact Insurance Enterprise for Premier Health Insurance

If you have questions about group or individual health insurance and need health insurance quotes, contact Insurance Enterprise at 888-350-6605. Speak to a licensed agent and find out more about how you can get an affordable health insurance plan.