4 Ways to Cut Costs without Cutting Your Staff
You know that every penny counts at your small business, so you’re always looking for ways to reduce costs. If you’re looking at your budget and realizing that your normal tricks aren’t enough, try one of these four creative ways of saving money.
1. Switch to a Softphone Plan
Landline phone bills are expensive, and you pay so much money for a system that you rarely use. On the other hand, softphones, or phones based in the cloud, are affordable and endlessly customizable. Work with a softphone company such as Ooma to find the features and payment schedules that work best for you. Most Ooma small business plans include plenty of ways to connect with your customers and team members:
- Videoconferencing software
- App capabilities
- Calling services
Not only do softphone plans allow you to reach your customers more easily, but they also cost less money, allowing you to spend your money more efficiently.
2. Consolidate Your Space
How many rooms are you renting for your business? Chances are, you don’t need all the space you’ve leased, so you’re wasting a sizable portion of your budget. Check these areas for wasted space:
- Hallways
- Conference rooms
- Storage areas
- Transition spaces between departments
Then, work with your team to brainstorm ways to reorganize your office so that you use the least amount of space. Once you’ve got your plan, talk to your landlord about modifying your lease so that you pay for fewer square feet.
If you own your building, you can’t get rid of the space that you’re not using. However, you should still go through the consolidation process. That way, when you realize that you have rooms you’re not using, you have the option of renting them out to other business owners. This strategy gives you another source of income and builds your relationships with other small businesses in your area.
3. Choose Inexpensive Advertising Strategies
As the saying goes, you have to spend money to gain money. It is possible to spend too much money on advertising, though, and then it’s harder for you to make a profit. Strategies such as Google Adwords and pay-per-click ads are effective, but they’re also expensive. When you’re low on cash, favor inexpensive options such as search engine optimization articles over paid advertising. Additionally, focus on building your brand’s sense of authority rather than directly driving traffic to your site. After all, when other companies voluntarily cite you as an expert, you don’t have to pay for their backlinks.
4. Try Remote Work
Some fields are not optimal for remote work, such as medicine and education. However, if you work in sales or manufacturing, chances are that some of your employees can easily work remotely. Work with your softphone provider to set up remote access for as many employees as possible. Handle sales, customer service issues, and employee grievances remotely. Use videoconferencing software such as Google Meet or Zoom to handle your weekly staff meetings, and consolidate as much of the information as possible into an email beforehand.
Converting your workforce to at least a partially remote schedule saves you money on electricity, rent, and office supplies. Additionally, your employees save money on gas, work clothes, and childcare when they don’t have to come into the office. Finally, because you save so much time with limited remote meetings, your team has time to accomplish more important tasks, driving up your profits.
Cutting costs at your business is never fun, especially if you’ve done it a lot recently. Before you resort to drastic steps such as firing employees, consider implementing these four unusual ways to save money at your company.