Tips for Reducing Your Business Costs

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Running a business can be expensive work, so we’ve put together some top tips for reducing expenditure and optimising where your money is going.
aaron
Aaron Gilmore
Managing Director

Start with your expenses

It’s amazing how much money can be taken up by office supplies. Whilst this applies to obvious examples such as stationery and consumables, it also extends to your energy usage, insurance, rent, subscriptions to business tools and much more.

The first thing to do is take a look at all of your monthly outgoings and decide if anything can be cut – there could very well be an expenditure that simply isn’t necessary, or items that can be bought from a more affordable supplier. It could also be worth investing in more efficient technology, which comes with an initial outlay but can greatly increase productivity and your profit margins along with it.

Ensure that your marketing is doing its job

Effective marketing should get your brand, messages and service offering in front of a target audience, but it doesn’t stop there. By putting marketing activity such as blogs, social media, email newsletters and video content to full effect, you can generate leads and move them along the sales funnel until they transform into regular customers.

Networking should bring a profit

Many business owners attend multiple networking groups every week, most of which come with a fee. If you enjoy taking part in lots of networking and it’s bringing results, there’s no reason to stop. If, on the other hand, you’re allocating many hours that are cutting into your workflow and personal life without bringing a profit, it’s worth deciding which deserve your time and which can be ditched.

Strategise your time

Your time is precious, so it needs to be spent wisely. There are a number of ways to achieve this, which range from simple changes to working practices, to the application of useful digital tools.

The most obvious potential tweaks to the way you work are often the ones that are forgotten or neglected. For instance, minimising distractions both throughout the day and especially when you’re carrying out important tasks will help you to remain focused and in control. This includes telling your staff and colleagues that you need some quiet time but sometimes that isn’t enough, so turn your phone to silent and remove yourself from emails and notifications until the job is completed. Sometimes it might even be a case of working remotely for as long as it takes to get the job done.

Another excellent way to use your time in a more efficient way is to lump as many appointments into as small a time period as possible. Rather than having meetings every day, schedule them all into one or two days of the week. This way you free up large blocks of time for other duties, plus it can often result in lower petrol and transportation costs.

First time buyers’ relief

When investing in property and/or land for commercial purposes, you’ll need to pay Stamp Duty Land Tax (SDLT). However, if this is your first property and it was purchased for £500,000 or under, you can apply for first time buyers’ relief, or FTBR. This was introduced in November 2017 and has helped business owners to save significant amounts.

Take our free accountancy check-up

We’re here to make your business run smoother than ever by giving your accounts a health check and highlighting any areas that can be improved. Our short form only takes four minutes to fill in and it will enable us to create a proposal that’s tailored specifically to your business. Take our free accountancy check-up now or get in touch on 01482 235575.

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