When your financial condition is bad, you tighten your belts. If you cut down on the unnecessary expenses, it would prevent your business from failing and you can survive the hard times easily. Follow these simple 10 money saving tips during the economical crisis and be amazed at how much you can save.
1. Save on your taxes
Taxes are the business problems every business owner faces. Save tax on energy efficient cars, travel expenses on business trips etc. you can cut them by partnering with others.
2. Save on your bills
a market survey showed that some small business are paying a lot of money in the form of bills, way over what is necessary. What is worse is they know they can slash on the bills, but do not take the initiative for it. Try to slash on your bills and you will be saving a minimum of 30-35% of money on your bills.
3. Save on the inheritance tax
You can save on the inheritance tax by giving away assets, changing your will or set up a trust. However, pay attention to the legal details before you do so.
4. Save money on electricity and gas
The energy costs are increasing everyday and they play a vital role in the company’s profits. Use energy efficient electrical appliances in your office and follow car gas saving methods.
5. Credit control
many small business are busted because they owe money and cannot control the cash flow. Plan credit control systematically, check references, get credit reports and check the company returns etc to save money and improve business.
6. Keep the cash flowing
many businesses do not operate in the privileged place and there is a necessity for them to manage their money. So the secret to managing business for profits or cash is simple. If you have cash then stay in the business, if not stay out of it.
7. Go green and save money
a research done recently shows that, by reducing energy bill by a fifth can save your business an equivalent of 5% sales increase. You also get a competitive advantage and increased sustainability.
8. Prevent employee theft
a research shows that 80% of the workers admit to stealing from the workplace. In most of the cases it was just borrowing some minor things, but when all of them are counted, they sum up to a significant sum over time. Sometimes, thefts are more serious and they cause a lot of loss to your business.
9. Marketing for low cost
marketing is an important part of business. However, without much budget, marketing can be a little difficult. But in the modern days marketing your business can be achieved for a small amount too and you can even do free marketing too.
10. Maintain good financial health of your business
many businesses have good products and services and increasing number of customers. However, they end up as business failures because of failing to manage their finances properly. It is important you keep up the financial health of the business. If you are inexperienced, take professional help if your budget permits it.7
More helpful links :
Co-orporate Finance: www.glaisyers.com.