Running any business requires an initial investment for setting up infrastructure, hiring services and thereafter the running costs also need to be incurred. However, for small and mid sized business owners, overhead costs can be quite taxing at times. These include office supplies, utilities, rent and advertising, etc. While these costs are inevitable eventually there are ways to reduce them.
Below listed are a handful of tips that you can utilize to reduce business overhead expenses:
- Doing away with paper- You can cut down costs by discarding paper usage for business needs to a large extent. Storing documents in cloud services is quite convenient and helps you avoid the clutter created by printed materials. You can also use PDF for sharing documents with employees. This also minimizes the need to have printer and invest in ink cartridges for business needs.
- Evaluating and prioritizing needs- Sometimes, business owners overlook the fact they can actually do away with certain services. Inspect carefully and find you what services and utilities your business can do without! For example, in the age when everything is done online, you may actually do without business cards. You may use some social media services and look for cheaper web hosting services for this.
- Using less number of vendors- If you hire separate vendors for separate services, eventually you will end up paying more for running the business. When you use less number of vendors cost cutting is easier. When you use one vendor to get more than one services, he may offer you services at lower rates.
- Ditching the phone- When you have to use the internet at all times and VoIP services are thriving, you may not use a separate phone for the office. Use Skype for business communications and interactions with clients.
- Hiring more capable people- When it comes to hiring new employees, you will need to act cautiously. Do not always look at the degrees and diplomas when hiring new employees. Find out how skillful they are. If an employee handling the accounting needs knows the basics of hardware and networking, that is a boon. He may be able to fix small network issues and you will not have to hire third party services!Hiring third party printers- In business setups where printing is necessary, it makes sense to hire third party printer service providers than using printing setup at workplace. This can help keep the premises cleaner and bring down operational cost.