Creating a Savings Drive

But staying close to costs maintains visibility, allowing you to make informed decisions and keep the business on solid footing. Often, the simplest disciplines are what allow a business to thrive over time.

With that in mind, we have compiled a list to get you back to thinking about the basics and what you can do to help your business, especially in today’s climate.

Don’t automatically reach for a loan

Taking out a loan costs money. Sometimes it costs more money than you initially think it will. And once you are in, you are in the for the long haul. Plus, you might be paying a loan to sustain costs that you don’t actually need to have. Before you sign on the dotted line, take a look at what you are spending. But of even greater importance is to look at how you can get your invoices paid on time and how alternative funding solutions may be the answer (We might be able to help you here!). Your cash flow is the most important source of funding you have. Because it’s your own money.

Review those costs that seem fixed and forever

When did you last renegotiate your leases? Or perhaps review your utility suppliers and tariffs? Even small changes like moving to LED lightbulbs can make big savings over the long term.

Subscriptions

These can really add up over a year. Software, trade bodies, online services…you name it. The list can be long. You might even have some that are not being used at all anymore! Take stock and reduce the list to what the business needs right now, not what the business wants.

People and suppliers

Looking after our people and our suppliers are a vital part of thriving. Because they all work together to help us deliver for our customers. So, before we hire another person, think about how we can reorganise to give our existing team more responsibility and more money in their pocket. If we paid our suppliers early what more could they do for us in the long term? If we bought wholesale and not retail how much could we keep in our pocket?

Marketing

Before committing to paid advertising, review what you already have. A well-managed social media presence and a consistent programme of useful content will often reach more of the right audience than a paid advertisement, at a fraction of the cost. If your website content management system is accessible to your team, update the site yourself.

Make it a habit and keep a checklist

Don’t be afraid to have a habit of reviewing costs across the business and asking the question ‘How can we do that more efficiently? Create your own checklist and keep adding to it. You’ll be amazed at how much it can add up.

Here’s a few things ideas we have seen:

Get interest on your money by setting up a sweeps account
Renegotiate your lease or rent
Check out alternatives for utilities
Got spare space? Consider a short term let to a new or small business
If you have things in storage have a good clear out making sure to keep records that are legally important to keep
Look at your subscriptions to publications, groups and organisations. Are they essential to the business or just magazines gathering dust uncreased and unloved?
Send one person to that seminar or conference and get them to do a show and tell to everyone back at base.
Do you use consultants? Consider what they actually add. Perhaps contact your local university’s business school.
Find a cheaper insurance quote
Right size office supplies. Do you need everything you are ordering?
Are you really using all the office equipment you have on lease? Can you downsize that copier or go down to one all-purpose copier for example?
Do you really use all the features of and phone lines on your system?
What expensive telephone conference calls can be done on cheaper video calls?
How can you trade time and expertise with suppliers instead of cash? You may be surprised how much you can help each other with no money changing hands
Does your agency have to do all your website updates? Get access to the admin system behind your site and write your own updates.
Cut the advertising and get social. You may be able to reach more customers via LinkedIn than from a magazine. Undertake a full audit of your marketing and test alternatives.
Print off less and store digitally more
Look at the packaging your suppliers use – if you can reduce their costs they will pass it on to you.
Buy recycled printer cartridges
Cut your lighting bill with motion detectors on infrequently used spaces
Use freelancers more. Anything bought retail – can you buy it wholesale?
Car share more on business trips.

Got some more to add to the list? Let us know and we’ll share them!