Running a business with limited resources is a challenge most small businesses have to manage if they want remain afloat. To stretch their resources, small businesses are always looking for the means to cut the cost of doing business without breaking the law or affecting the quality of products and services they offer to the consumers. Laying off staff are usually not a viable option because most of the run on small workforce that is sometimes overstretched. Plus reducing the workforce can sometime affect the output and quality of products and, as a business owner, you don’t want that.
Here ways to cut costs in your business without disrupting service delivery.
Retain your best talents
Recruiting for new employees takes time and is a gamble because you are not sure, even with the most rigorous processes that they will perform as well on the jib as they did during the interviews. So, do your best to retain your employees and avoid frequent disruptions in service delivery. Compensate your staff fairly and create a work environment that promotes and rewards excellence and team work. More importantly, look at your management style. Most people who quit their jobs do so because of their bosses.
Embrace technology
Automating some of your business functions will save you money in expenses you would have spent in hiring staff and keeping them on the payroll. Depending on the nature of your business, you can automate the payroll, marketing and communication functions of your business. You can have video conferences rather than physical meetings that necessitates the need for travel that is both money and time consuming.
You should also try to keep your company as paperless as you can to reduce the costs of printing, finding suitable space for the physical files and disposal of waste paper.
Outsource
Keeping Staple Gun Staples for DIY office maintenance can only get you so far. There comes a time when you must bring in professionals to help you out. This can be in office maintenance or in the running of your business. Contrary to popular perception, outsourcing doesn’t come at a huge cost. You can hire freelance professionals who are still as qualified but charge less than most companies because they don’t have running costs such as office rent.
This way you can get the services of highly rated professionals in your business without incurring the cost it would have taken to put them on a payroll. However, only outsource the services that makes business sense.
Work remotely
The cost of renting an office space, catering for the utility bills and the transportation costs for yourself and your employees make a significant portion of your operating expenses. To save on these costs, and if it can work for your business, work remotely. Everyone will save on time and money. As a business owner, you won’t have to pay for rent anymore and your employees won’t have to commute daily thereby saving on time and money.
