Do not save what is left after spending, but spend what is left after saving. – Warren Buffett
Few can argue that there has ever been a more important time to find tangible ways to save your business money. To this, our marketing team has reviewed dozens of articles all focused on lowering your company’s overall spend and filtered them down to the top seven recommendations for saving your business money.
#1: Lead by Example
This was the most common recommendation that we found and it makes perfect sense. If you assume a leadership role at your company, then actively embracing cost saving initiatives – in word and action – is crucial. Employees are less likely to tighten their respective budgets if they see managers and executives being cavalier about their own spending.
#2: Analyze Your Data
The easiest way to save money is to stop wasting it, so it’s imperative that you pinpoint instances where you are overspending. With the massive amount of data that most companies have, sometimes that is easier said than done. However, if you have a trusted analytics software in place, then you can not only find places to cut expenditures, but you can also identify opportunities to increase revenue.
Having a clear view of your data is the only way to make informed decisions that will cut costs and drive profit.
#3: Cut Down on Meetings
This universally agreed upon rule is also the one that is least implemented. Every hour spent in a non-essential meeting is an earned hour lost. These meetings also act to desensitize employees to genuinely important ones. Here are some quick tips for productive meetings:
- Have a set agenda in place (include a timed schedule and goal for the meeting).
- Only invite those integral to achieving the goal of the meeting.
- Email everyone the agenda prior to the meeting and ask if there are any questions.
#4: Live in the Cloud
Expensive infrastructure and long-term maintenance contracts have long plagued companies looking to cut costs. Working with an experienced cloud host will immediately save money by eliminating your on-site hardware costs and free up your IT Team to optimize your business process. In addition, migrating to the cloud instantly provides you enhanced security, accessibility and scalability which is impossible with a fully on-premises model.
#5: Learn to Barter
The more we reviewed this rule, the more value we found in it's practice. Bartering with other companies – as a “free” exchange of products or services - is an excellent way to save money while simultaneously adding value to your business. From help with marketing, sales training, website design, strategic advisory or even office supplies – you’re likely to find another company that’s interested in what you offer as a quid pro quo to what they can offer you. In addition, the services you provide can easily be leveraged into a valuable customer referral.
#6: Review Your Operating Expenses
If you’re really serious about saving money, then you need to identify EVERY opportunity to cut costs – this includes your spend around the office. From paper towels to laptops, buying in bulk (based in need) is a smart way to save money. You should also do an annual review of all your vendors. They need your business and will almost certainly offer you discounts to keep it. This applies to corporate discounts as well from your printing company to where you buy your office coffee or bagels.
#7: Reward Your Top Talent & Customers
Just like investing in a trusted analytics software, this is a case where you can save money by spending it. Providing bonuses to your best earners/producers and discounts to your best customers will pay off in the end with more deals and renewed contracts. Conversely, now is an essential time to review and identify under performing employees and customers relationships that aren’t providing the value that they once did.
Always remember: Making money takes vision, drive, resolve and little bit of good fortune. Saving money only takes resolve.
Or contact us directly!