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How To Save Money In Your Business

Why look at ways to save money in your business? Business isn't about how much you make, but about what you keep - the net profit. Cut an expense, and the savings usually goes straight to that bottom line. Learn a simple way to spend less on electricity each month, for example, and you'll have ,000 more profit over the next ten years. Here, then, are a few random but useful ideas for cutting those costs.

Ask Vendors How You Can Save Money

Often, just asking can save you a lot. Ask a supplier if there is a way to cut the cost, for example. Maybe you and he would be better off if he delivered more of something, but less often, for example. You won't know until you ask.

Join An Association

There are professional associations in most industries and service professions. See what benefits you get by joining one. Some can help you get reduced insurance rates and discounts on legal costs and other services.

Educate The Customer

I would love to be educated by many of the online services I use. Good simple explanation of how to use their products would keep me from having to call and e-mail them so frequently. It would also save them the cost of handling those calls and e-mails. If your customers are coming back with questions too many times, you probably aren't educating them well enough at the point of sale.

Piggyback Your Advertising

Save money mailing out advertising by including it with other mailings, like your invoices. Put coupons in with your products to encourage repeat business.

Trade Advertising

If you are mailing advertising to a few thousand people, maybe you know of a complementary but non-competing business that does the same. Agree to put his ads in your mailings and have yours in his. You can mail out as many ads for half the postage and envelope costs this way.

Save Money On Labor

While working at a restaurant I tracked the customer count in relation to the employee scheduling. I found that there were many times when we didn't have enough employees on duty, and many more when we had too many. Changing the scheduling meant better customer service and savings of about ,000 per year on labor.

Reduce Your Lawyers Hours

If you need to hire an attorney, ask if there are things you can do to prepare which will cut the time you are billed for. There is no point in having your lawyer make 0 phone calls that you can make in five minutes. Wait to discuss several issues at one time with your lawyer - he will be charging a minimum for each time you call him.

One last tip: at least once a year, look back on every expense you had, and see if there is a way to save money on any of them this year.

About the Author: Steve Gillman wrote the e-book 400 Ways To Save Money. For more on this and other useful insider information, visit:

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