Business 101: Seven Cost-Saving Ideas for Small Business Owners

Having a small business is an exciting endeavor that many people only dream about. The time involved and sheer cost of running a business, however, is enough to send any entrepreneur into panic mode. With planning and a touch of creativity, your business can flourish. Here are some cost-saving ideas to consider.

Employees versus Contractors

Consider hiring contractors versus employees. Contractors will not expect to receive benefits that an actual employee will expect. This works especially well with start-ups, and if you only need people for a certain amount of time on various projects.

Dump the Office Glitter

When feasible, let team members or contractors work from home instead of renting office space. This alone can save several hundreds of dollars a month. As the business grows, more space can be purchased.

Save on Supplies

Shop around before making purchases on office supplies, such as paper and technical equipment. You would be surprised at the varying costs for the exact same items. You can save money by getting quality items in the first place, like credit card paper rolls and reliable computer software.

Trade with Other Merchants

In some cases, merchants will swap services and products. This is a great deal for both parties. If you are a landscaper, you may swap landscaping services for a marketing firm who is willing to help you get exposure for your company.

Collecting Debt

As a business owner, there may be times you need to collect debts. In this case, you will need a debt-collection merchant account. The best way to cut costs here is to research the companies that offer this service and make sure you are getting a competitive rate. This alone can save you thousands of dollars over time.

Training Team Members

High turnover due to poor hiring and training will cost your company severely. Taking the time to hire the right people and train them will improve your retention rate. Employees are more confident when they are trained well and will also pass on great training to future team members.

Marketing for Free

Marketing your services is a must for any business establishment. A great way to advertise for your business is to volunteer at well-attended community events. Building these types of relationships will build a strong reputation for your business over time.
There are lots of ways to save money while building your business. Most importantly, remember to be resourceful and improvise whenever possible. Spend less money on the glamorous office and more money directly into the products and services that your customers are going to buy.