Small businesses can have even smaller budgets.
If you’re looking to advance your budding company, but you don’t have much funding to work with, don’t worry. There are some fiscal-friendly strategies every CEO can implement into their business model. Read on for four ways to save money for your small business!
#1 Utilize free marketing
One of the biggest ways modern companies cut costs is through social media marketing.
It no longer takes an enterprise marketing budget to get your brand out there. Swap the pricey billboards and television ads for free advertising on platforms nearly everyone uses. For instance, consider:
As time goes on—and eCommerce expands—these websites are becoming increasingly business-friendly. With marketplace features on Instagram and Facebook, monetized videos on YouTube, and even job postings on LinkedIn, it’s hard to go wrong here. The best part? If you’re producing organic content, it’s free!
Use a social media manager to control all your accounts from one place. This makes it easier to send out mass campaigns on every platform at once.
#2 Embrace remote work
With COVID-19 ravaging the traditional workplace, remote work has hit a peak in popularity. Not only is remote work safer for the time being, it can also help small business owners cut costs.
When you work from home, you may have to invest in a telecommunication service to stay connected with your team. While this may cost a small fee, it’s nothing compared to the regular expenses that come along with working in an office space or storefront, such as:
- Rent or mortgage
- Food and snacks for employees
- Commuting costs (public transit, gas, etc.)
- Providing tools and technology (computers, registers, printers)
For a more affordable alternative, have your team work from home on their own hardware. If you’re a retailer, bring your products to a digital platform and sell online.
#3 Hire fiscally responsible employees
When you’re putting the company’s money in other people’s hands, you don’t want to rush the hiring process.
In addition to a resume and cover letter, it’s important to run a background check on any candidates you’re seriously considering. This will be particularly important for those in the financial department of your company, and you’ll want to get a thorough credit report before allowing them to handle your assets.
A credit check for employment will reveal factors such as:
- Credit score
- Financial issues with previous employers
An applicant may seem great on paper, but you never know what they could be keeping from you. Make sure to get all the necessary information about a potential hire before making any risky decisions.
#4 Go paperless
If you want to see more green on Earth and in your wallet, consider taking your small business completely paperless.
The average cost of paper management by U.S. businesses is $8 billion per year. From lost documents to copies of receipts, paper expenses can add up quickly. Going paperless can help save a good chunk of these funds, and it’s not difficult or expensive.
Try cutting out paper through some of these easy swaps:
- Scanning documents to PDFs
- Providing email receipts only
- Use an electronic signature app
- Opt for digital transactions (Venmo, Zelle, or PayPal)
Keep your small business profitable
A small business will only thrive if you nourish it.
Keep your company profitable by matching your expenses to your size: small. If you’re working with a manageable team, utilizing technology, and expanding gradually, you should be able to cut costs in all the right places.
Remember to make logical decisions in terms of your finances, and don’t be careless with money. Know where to save money vs. spending money, and you’ll be on your way to small business success!