If you’re like most entrepreneurs, your startup could use more money. You haven’t opened your doors yet but your plans require more money than you have so you’re going to have to pinch some pennies. Here are a few ways to cut some expenses and save money before your business opens.
You don’t need fancy furniture. If customers will visit your office, you need a professional and clean setting but that doesn’t have to include top of the line, brand new furniture. Look on craigslist for used items, if you have an IKEA store in your area, look in their scratch and dent area, and check local second hand stores. You’ll likely find everything you need at a fraction of the cost. If you don’t have people visiting your office, lower your standards even more.
It’s not on eco-friendly, it’s wallet friendly. Hold on to boxes, newspapers, bubble wrap, and anything else you can use for shipping products. Shipping supplies are expensive but if you’re a retail business, it’s likely coming to you free of charge every day. Don’t throw it out. Reuse it.
As you grow, the amount of money you charge on your business credit card will grow. Make sure that card has rewards points. Use the points to for employee perks, event tickets for important clients, and cash back bonuses that help your bottom line. Remember to pay the card in full each month or the points cost more than the benefit you receive from them.
Startups don’t run like larger businesses. Other than specific knowledge like computer programming, everybody should know how to do everything in the business. Don’t hire three part time employees if you can train two high performing people to do multiple jobs.
No PR companies
Don’t hire companies to do what you can accomplish on your own. You don’t need a PR company to advertise for you and you don’t need a research firm to perform market research. If you’re looking for a new site, spend a day counting cars and foot traffic at the perspective location. Give people a free product or service in exchange for completing an anonymous survey.
When making your business plan, figure out ways to save money without sacrificing service or quality. Just as you would at home, take on a do it yourself attitude for jobs that don’t require specialized knowledge. Saving small amounts of money in multiple areas of your budget add up fast.