Allsquare Accountants Edinburgh discuss great ways to save money when running your own business
Running your own business can be a huge responsibility. The global economic instability experienced over the last few years has meant that most businesses have had to drastically cut spending and to think very carefully about overall financial management.
There are a number of ways to save money, increase profit and generate additional streams of revenue.
Consider the cost of the office space you are using. Is there anything cheaper nearby, with similar amenities? There may even be a space better suited to the business at a lower cost. Take some time to evaluate what your business needs from the perspective of office space and whether this is an area that can be changed in order to cut costs.
Are you taking advantage of any business-rate relief your business is eligible for? There are a number of different reliefs available, including small-business rate relief, retail relief, enterprise-zone relief, charitable-zone relief and rural rate relief. There may also be other types of hardship relief available for those businesses meeting specific criteria. Information about relief can be obtained from your local council.
Insurance and Other Monthly Costs
Carry out a spending review of monthly outgoings, such as insurance, broadband and phone. Are there savings to be made here? Are you getting the best deal on your contracts? Take some time to shop around and find out. Even small monthly savings can add up to a significant amount over the course of the entire contract.
Also take a look at expenses such as stationery. What could you do to save money in this area? Can you go paperless, or at least reduce the current output? Are you getting a good deal on supplies, or is this another area on which you can save money?
Legal Advice and Other Professional Services
If you pay for services such as accountancy, legal advice and consultancy, undertake a review of these to see if you can make any savings. Work together with the outsource team to determine how the services are being used, and work out if and how changes can be made to both reduce costs and increase efficiency. It may be worthwhile approaching other agencies to see if they can provide a similar service for less.
Are You Getting True Value for Money?
If you have been using the same suppliers for a while, it is always worth reviewing what you are paying and comparing this to other firms providing the same or similar products or services. If you do find the same available for less elsewhere, it is well worth approaching your current suppliers and negotiating a new deal with them, especially if you have been happy with the service so far.
Your employees are key to the success or failure of your business. Make sure you have not only the right staff, but also that they are paid accordingly. If your staff feel valued, they are far more likely to be loyal to the company and work as hard as they can for you. It’s better to employ three well-paid and therefore well-motivated and skilled employees than four at a lower rate but with fewer skills and less motivation.
Helping businesses save money is the remit of any good accountant. To find out how Allsquare can help you cut costs and improve your profit, call us today on 0131 343 1510, or email email@example.com.