Many small businesses are feeling the pinch of this current economic climate. Below are some simple steps that may help keep your small business afloat. These tips relate to your office, how you handle staffing issues, outsourcing, and using your money more efficiently. Review these ideas and see which ones will work for your business.
Office
1. Rent is one overhead expense that you may be able to decrease. Look into renting industrial space rather than commercial office space. The reduction of your monthly rent can give you the breathing room you need to stay in business.
2. Big expenditures can wait. Review the necessity of any large equipment expenditures. Can they wait a few months? Is it possible to lease the equipment rather than buy? If possible, hold off on the large expenses until you are more financially secure.
3. Review your shipping options. Are you spending a lot on shipping your products out? Some companies have found that working with Federal Express saves them money in shipping, reduces the time spent on handling and labeling packages, and, by paying with a credit card, such as American Express, they can receive points as well as a detailed statement each month to help with the billing process.
4. When buying supplies, buy in bulk. However, don’t leave all the supplies readily available. Lock the additional supplies away until needed so they aren’t needlessly wasted.
5. Most offices don’t need an inter-office phone system. Everyone has their own cell phone and most intercommunication is done through the computer systems. An inter-office phone system will most likely be unused and that money could be better spent elsewhere.
6. If at all possible, don’t have a company car. Between gas, insurance, and car payments, the value of having a company car available is not worth the investment.
Staffing
7. Discuss the possibility of changing your work week to a 4 day work week. By working only four days a week, you eliminate an entire day of overhead costs and your employees don’t have the expense of commuting that extra day.
8. Outsourcing projects that are not your employees’ area of expertise will save you money in the long run. By finding someone who knows how to do the project, you won’t have to pay for the time it takes to get your current employees up to speed on the latest information.
9. Is your business seasonal? If so, consider hiring temporary or seasonal staff with the understanding that they are only hired for a specific time frame. With seasonal staff that comes back each busy season, you can also reduce your training time as well.
10. Stock your office kitchen with sodas and buy a good coffee maker. Allowing your staff to have coffee breaks that consist of going to the kitchen rather than out to the store will bring them back to their desks quicker and will give you an energized and appreciative workforce.
11. Can some of your employees come in during off hours? If at all possible, find out if your employees can tailor their hours to curtail ‘rush hour’ traffic. This will provide you with more relaxed employees who aren’t late due to traffic congestion.
12. Look into having a gym at the office or find out if you can get a discount with a gym in your area. By offering your employees this perk, you will have employees who want to come in early or stay late to use the gym. In addition, your employees will be healthier, decreasing the amount of sick leave you will have to pay.
13. Find out if you can work out a discount from the local deli to bring in sandwiches or salads to your office. Your employees will spend more time at their desk rather than ‘out to lunch.’
