How to Cut Down On Some of Your Key Business Costs

calculator-calculation-insurance-finance-53621For many small businesses, the best way to increase profitability is to look for ways to cut expenses. Every dollar you save is another dollar in profits and as long as you maintain quality, efforts toward cost cutting can be an effective way to provide financial relief to your business. 

You might not be able to get rid of many of these expenses altogether, but there is a good chance that you could cut your costs considerably by managing small business expenses more effectively. The following are a few of the major expenses that can impact small businesses and some of the ways they can be reduced.

Rent

Rent is usually one of the biggest expenses for a small business. If you are renting space, you need to make sure the location is serving you well. Think about whether you need all of the space you have. If not, move to a smaller, more affordable location. If your business does not depend on traffic, you could consider moving to a place that is away from busy commercial areas. 

Marketing

If you want to get more leads, attract new customers and build brand recognition, you are going to have to pay for marketing. With that said, you might be able to find ways to save money on marketing. Try to focus on the marketing channels that offer the best ROI. Investigate the types of marketing that offer a good return in your industry or talk to local business owners to find out what works well for them.

Equipment 

Depending on your business, you might need all sorts of equipment. If you are looking at an expensive piece of equipment, you might want to consider buying it used. As long as the used equipment is in good condition, it can be a way to save a lot of money on an otherwise expensive purchase.

You should also invest in preventative maintenance for any expensive equipment you have. The maintenance might cost money over time, but it can extend the life of the equipment and help you avoid expensive repairs.

Utilities

Utilities can be another major cost for some businesses. You have to cover costs like electricity, water, internet, phones and gas. One way to cut these costs is to set rules around how some of these utilities are used. Make sure resources like electricity and water are not being used wastefully. You could also consider buying more efficient appliances and equipment. Some of these pieces might cost more upfront, but they could save your business money over time.

Employee Compensation

Labor is the highest cost for many businesses. You definitely want to have a good team of employees around you, but you also want to make sure you are not spending too much on labor. Evaluate your payroll to make sure you really need all of the employees you have. In some cases, you might only need a part-time employee where you currently have a full-time worker. Making some of these adjustments can make a huge difference for your company’s bottom line.

As another option, you could also consider hiring a virtual assistant to handle some of the work that would go to one of your employees. This is usually more affordable than keeping an employee on the payroll and virtual assistants can help with a wide range of tasks.

Take the time to look at every expense to see if there is a way you could cut costs. You might not be able to find huge savings on everything, but every dollar counts when you are running a small business.

Home Improvement Projects That Need Extra Help

electrician-1080554_960_720Every home eventually requires repairs. For whatever reason you’re looking into home improvement, it’s sometimes necessary to seek professional help. Adding crown molding or building a shelf is one thing, but when you’re looking to alter plumbing or electrical work, it’s best to hire help. Take a look at some of the ways an expert might benefit your plans for home makeovers and maintenance.

 

Accessibility Modifications

 

There are plenty of reasons to make your house more accessible. You or a family member may need expanded access or assistance, or you may simply want to make your home more inclusive if you plan on putting it on the market. However, such modifications often need a contractor to be done safely and properly. Adding extra-wide doorways to accommodate wheelchairs, ramps or entrance ways with no steps, and handrails on stairs and in restrooms are all best done by professionals. You may want to convert your shower to offer wheelchair accessibility, which may require complex work. As a good deal of the alterations will be done in the bathroom, kitchen, or bedrooms, it’s best practice to have an expert on hand to avoid broken pipes, flooding, or the unnecessary damaging of walls.

 

Outside Help

 

If you want to clean and maintain the outside of your home, there are numerous things you can do yourself. You can use a pressure washer on your walls and windows to remove dirt and grime safely, and even to clean your driveway. While you may run the risk of scratching your paint, no permanent damage will be done to your home. However, once you think about cleaning your gutters, you may want to hire the help of a professional. Not only will they have the right tools and make sure no leaves or debris remain blocking your drains, they are trained and less likely to injure themselves when working at great heights. Additionally, regular maintenance can prevent animals and insects from nesting in your gutters themselves.

 

Installing a Fence

 

There are various benefits to fencing your home. Fences offer extra privacy and security against a pet escaping. They also provide an additional layer of protection against burglary or home invasion. Professional help can be advantageous for a project of this complexity, especially if your fencing extends underground. When installing or repairing a fence, you may be surprised to learn that a contractor is often required. Not only will you need to make sure that your yard is properly fenced, but there may be restrictions you are unaware of. For instance, some cities have height limitations on fences, and a contractor will be aware of these and ensure that there are no city policy violations.

 

Help with Wiring

 

This is another area where you do not want to risk injury or property damage if you’re inexperienced with home modification. Even if you successfully get wiring working properly, you may accidentally create a fire hazard without being aware of it. You may overload your circuits, and end up creating an expensive problem that could have been avoided if you’d used a professional. There is the possibility of injuring yourself during the process, too, without having the proper equipment or training of an expert. While hiring a professional is an added expense, it is worth it to protect both your health and your home.

 

It’s good to keep up to date on your home’s maintenance and to invest in worthwhile improvements. However, no matter how confident we are in ourselves, it’s always important to be certain of what we’re doing, especially when it involves wiring, plumbing or great heights. Professionals have tools we don’t and knowledge gained over years of work. Do some things yourself, but know when it’s best to get an expert’s help.