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7 Tips to Save Money in Your Business


The new economic turmoil is knocking on our front doors. Some companies have already had to face difficulties, but we'll keep the bad times from entering our business.

Here are seven quick tips on how you can save money in your business:

1. Look closely at your administrative costs. Look for things that can be merged. Look for unnecessary expenses that you have kept up with just because of old habits. Locate all things that are really unnecessary and costs money (all companies have that kind of problem that wastes time and money).

2. Keep an eye on the financial health of your loved ones. You're not the only one who notices or will notice the slowdown. Your customers and suppliers may also be going through rough times. If you have a few customers that account for the bulk of your income, you must find out what their financial situation is like. Same thing with your vendors. You don't want to get a phone call from any of them where they say they've gone bust.

3. Take advantage of new opportunities. When one door closes, another one usually opens. It might be harder to get people to buy stuff in bad times, but when the economy gets worse so do the prices of other things, such as advertising space. Contact the newspapers you always wanted to advertise in and check out what their situation is like.


4. Make the construction of a cash reserve a priority. It may sound a little presumptuous to do this in a recession, but every few hundred dollars helps, so try to find them and get them to multiply. The reason for this is simple: companies go bust for only one reason - they run out of money.

5. Make sure you know how much money you need to earn in order to get by. In a recession, it's easy to keep hunting after each order and never really get satisfied. If you know how much you need to make, you have a figure to measure your efforts against and in any case, take a deep breath and smile a little bit when you reach that figure - before hurrying on to bring in more money.

6. Think about it every time you pay for something or look for something to purchase: In what way will this cost result in us earning more money?

7. Send invoices directly when the job is done – don't wait until you have your ordinary “billing day”. Every day is a billing day.


 


About the author

Stefan Ekberg has worked in marketing for small business for 20 years and has written around 30 books on how small business owners can market themselves with limited resources. . In 2012 Stefan was nominated as Entrepreneur of the Year in Stockholm.

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Every week some 230,000 prescribers gets his free newsletter about 5 minute marketing.

"The 5 minute marketer" - the book
You run a small business and you want to get ahead of the competition, but how can you give resources to marketing when you're short on time and the budget is tight? The solution is here! The 5-Minute Marketer is packed with 395 tried-and-tested ways to market your business in 5 minutes or less.