When you cannot get something for free – a thing of beauty that we love at It’s Free at Last – at least find simple ways to save money. The less money that flows out of the company through expenses, the higher the earnings are likely to be at the end of the financial year. That’s the way you have to think about it from a business perspective.
1. Use a Terminal for Quicker Transactions at Your Retail Store
Instead of investing in highly costly POS equipment at your business, consider a more economical option. The people at Punto de Venta have both a smartphone app that works out payments and sends e-tickets for the bill (a Bluetooth printer is also available), and an Android-based terminal complete with receipt printing ability via a thermal printer that attaches to the top.
These affordable electronic solutions are available on a monthly plan with cost savings possible for multiple years under contract.
2. Use Remote Workers
A remote worker is still an employee, but they just work from home. Save money on office space, lighting, heating, electricity, PC supply and more. They’ll still need a full benefits package, but if they work from home, it significantly reduces the cost of employing them.
It also gets managers out of the habit of feeling like if they don’t see the person at their desk, they’re not actually working. It becomes about what they produce, not who is seen and how often they visit the office.
3. Use Lean or Frugal Business Practices Even During Boom Times
Companies often make the mistake of spending big when the money is rolling in. This has the effect of reducing their overall profitability and the retained earnings don’t improve as much as they should.
The downside with this situation is that bad times inevitably roll along at some point. Then it’s too late to cut back on expenses. Companies do it anyway by slashing costs including letting go of a chunk of their workforce, which means dedicated employees lose their jobs and the people left behind are left demoralized and fearful.
Avoid this situation by examining every planned business expense to find out whether there’s a free or cheaper solution available. Usually it’s laziness that contributes to overspending with staff not looking hard enough for frugal options. If necessary, reward employees who find the most savings in the yearly expense budget to encourage them to get more involved.
4. Use Freelancers Too
With freelancers, they’re usually paid per piece. That is to say, paid for the code they produce, the articles they write, or other activity that’s verifiable. Because most companies have both busy and slack periods, they can scale up or down the number of people they need to run their business. By doing this, they save on office space, as freelancers are remote anyway, and on a salary. That’s the case even if they’re paid the same equivalent rate as full-time employees in the same role.
By adopting lean principles to reduce waste, and finding sensible strategies to keep budgets tight without missing out on growth, businesses squeeze as much juice out of the business model as possible.