How Small Business Owners Can Increase Profits While Spending Less

Many business owners have been taught that “you have to spend money to make money,” but there is a difference between investing wisely in your business and squandering money on products and services you may not require. With that in mind, here are some cost-cutting suggestions to help your company’s bottom line.

Alternatives to traditional advertising can be found online

Because of the digital age, you no longer need to unbalance your budget with large media expenditures. Instead of overspending on print ads, direct mail pieces, and billboards, use banner ads, pay-per-click (PPC) advertising, and blast email campaigns to reach a larger (and more targeted) audience. Engaging with your customers on social media and adding blogs to your website are both excellent (and free) marketing tools.

Encourage remote working

Telecommuting isn’t feasible for every business, but if you can do it, it can save you a lot of money. Not only will you save money on office space and operating costs, but you’ll also save money on commuting and travel for you and your employees, not to mention time lost.

Reduce your use of paper

Finding paperless methods to pay bills, receive invoices, and review bank statements is good for your company’s bottom line as well as the environment. Use scrap paper for scratching or taking notes. Set your printer to print in black and white, double-sided. Check with your bank and utility providers to see if they offer any financial incentives for going paperless. Small cost savings on paper, stamps, ink, and printer use can quickly add up.

Make the transition to cloud-based services

How do you store your data? What type of communication system do you employ? Legacy hardware and technologies, such as on-site servers, landline phones, and fax machines, can be costly to maintain, are susceptible to unplanned downtime, and aren’t nearly as efficient as cloud-based storage and hosted voice services. A small investment now to transition your office to cloud-based services will save money and increase productivity in the long run.