Running a business is expensive, and some costs you just can’t get around, like the cost of a good attorney or the price of keeping customers satisfied. While you shouldn’t cut costs in some areas, there are others in which you can make simple adjustments and save yourself hundreds.

 

Areas in Which You Can Cut Costs

 

Marketing

 

Marketing is extremely important. It’s what gets the word out about your business and draws in customers. As important as it is, though, there are some ways that you can save money and cut your costs when it comes to your marketing department. For example, instead of hiring somebody to come up with a slogan or design a logo, you can use an online slogan generator or free logo designer.

 

You can also shift your focus more towards digital marketing and your efforts online. While snail mail campaigns and billboards and banners still have their place and purpose, the costs can add up quickly after the design, the printing, the postage, etc. Instead, focusing on your digital marketing efforts will save you a lot of money since a lot of it, (like SEO), can be done for free or cheap.

 

Employees

 

You need your employees to keep your business running, and they’re part of what makes it so great. Although you shouldn’t go firing your entire staff and trying to do it all yourself, there are some ways that you can cut costs and save when it comes to personnel. One way to save is to let employees telecommute—this will mean that you can get away with a smaller office and they can use their own equipment, so you don’t have to furnish any. Another way that you can cut costs is by outsourcing certain roles and projects.

 

Not all positions are long-term/permanent positions and since hiring an employee can cost more than the project is worth, outsourcing to a freelancer or hiring a short-term, contract employee can save you a lot of money and cut down your employee costs.

 

Equipment and Tools

 

Whether you run a corporate office or a labor business, you need certain tools and equipment to keep your company running. From computers to phones or backhoes to cement mixers, the cost of equipment can add up fast. Rather than spending full price on new equipment, though, you can cut costs by purchasing gently used or refurbished equipment which will let you continue to operate as needed but save a lot of money.

 

Utilities

 

If your office building is poorly insulated or uses outdated equipment to heat and cool offices or to run the lights, you could be spending a lot more on utilities than you need to be. Instead of paying the costly bill, try replacing light bulbs with LEDs or CFLs and swapping your thermostat for a smart control device. If it’s within your control, updating the HVAC system is worth the money—if it’s not your call you should lobby for it. Simple changes like these can save you hundreds of dollars a year.

 

Providers and Vendors

 

Providers and vendors are a necessary part of business, and you may have found the best partnership possible at the best price possible. Remember, though, that everything is negotiable. One way to save money with providers and vendors is to approach them and ask for a better rate or offer to trade services instead of money. If they aren’t interested, you may want to consider shopping around and looking into new providers (such as CRMs) to see if you can find a better rate and save some money in the long-run.

 

Areas in Which You Shouldn’t

 

Research and Testing

 

When you’re just getting started or will be putting out a new product, it’s important to conduct research and do testing to ensure that everything is as it should be. While it may be tempting to cut out a test or to cut back on research time to save money, you could end up costing yourself even more down the road if something goes wrong. It’s always worth doing your due diligence, taking your time, and paying the cost of research and testing.

 

Legal

 

There are a lot of things that can go wrong when it comes to running a business. Whether your product causes an injury or a contractor sneaks in language that causes you a lot of harm, it’s good to have legal counsel or a lawyer like Aaron Kelly on your team who can ensure that you’re protected and taken care of in the case of an unfortunate event. Although it’s cheaper to use the online legal services than it is to hire a lawyer, that’s one area you won’t want to cut costs in case something does go wrong.

 

Customer Satisfaction

 

Your customers are the lifeblood of your business. If they’re unhappy and dissatisfied, they’ll leave. And if they all leave, you’ll have no business. While you don’t need to be sending each of your customers a gift every month, it’s worth the effort to ensure that they’re satisfied, send out surveys, and make adjustments as they suggest to keep them happy and loyal to your brand.

 

Although you shouldn’t cut costs in every area of business, there are some in which you can make small adjustments and save big. What areas of business are costing you the most and how can you cut costs in them and save?

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