Operating a small business can be equal parts challenging and rewarding. Many fledgling entrepreneurs pour every ounce of dedication they have into their respective enterprises and never take their eyes off the prize. Even with no guarantee of long-term solvency, these intrepid individuals work tirelessly for the sake of their businesses. As any seasoned entrepreneur can attest, the first year is a rocky time for any small business. While trying to carve out a reputation and secure clients, many small businesses simply run out of capital. Any entrepreneur who wants their newly-opened business to avoid this fate will be well-served by the following pointers.
1. Eliminate Unnecessary Promotional Efforts
Depending on the nature of your business, traditional forms of advertising may not be the most effective avenues for promoting it. For example, businesses that specialize in web marketing, website development and other cutting-edge fields don’t always find success through advertising in local papers, radio spots and TV commercials. As such, it’s in your best interest to determine which promotional avenues work best for your business and which are failing to provide a return on investment. Learning what works and what doesn’t with regard to advertising can prove helpful in maintaining a business checking account and keeping your finances intact.
2. Be Open to Telecommuting
While telecommuting isn’t an option for all small businesses, it can be an effective way to cut costs around the office. The more employees you have, the more office space you’ll need – and the more office space you need, the more you’ll pay in rent. Needless to say, individual employee workspaces can eat up a lot of room, and if there’s no reason for certain team members to work onsite every day, consider allowing them to do the bulk of their work from home. Furthermore, the less time employees spend at the office, the fewer resources they consume. Sure, team members will still be expected to come in for meetings and important presentations, but allowing them to perform their everyday duties from the comfort of home stands to cut costs, increase productivity and reduce job-related stress.
3. Purchase Supplies in Bulk
Purchasing office supplies in bulk may initially seem like a costly prospect, but bulk-buy discounts can easily save businesses thousands each year. Inkjet cartridges, copier paper and other modern-day office essentials can be purchased in bulk from a number of retailers that provide businesses with special discounts. Additionally, if your team members go through snacks and beverages like there’s no tomorrow, purchasing drinks and various food items in bulk should also prove beneficial to your finances.
There are countless trials associated with running a small business. In addition to overseeing day-to-day operations and managing staff, business owners have to play a pivotal role in promotional efforts and wowing prospective clients. Unfortunately, as a result of insufficient funds, many fledgling enterprises wind up having to close their downs before making a reputation for themselves. Small business owners looking for effective ways to conserve money would be wise to heed the tips discussed above.
