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Boost Your Cash Flow With These 9 Money-Saving Tips

 

As a small business owner, you’re motivated to grow your business and turn a profit — but it’s not always clear how to ramp up your cash flow. Luckily, it only takes a few small changes to make a big difference in your financial picture.

1. Review all expenses, even the little ones

Small cuts in ongoing expenses can add up to big savings over time, so it’s important that you know where you are spending your money. There are several ways to do this—from a simple scan of your bank statement to engaging with technologies like BodeTree that organize your financials for you at the click of a button. Awareness of where your money is going on a weekly basis is vital for keeping small expenditures from adding up unexpectedly.

2. Marketing on a budget

Advertising and marketing are critical for the growth of your small business. You might have the best product in the world, but no one will know about it if you don’t have strong marketing efforts. Fortunately, there are also cheap and efficient ways to reach your audience. Use social media as a low cost way to directly interact with your users. Look for opportunities to make a TV appearance, whether appearing on a local news program or cable advertising. You have a lot of experience and advice—use it to teach a class, speak at a conference or write articles to gain exposure.

3. Outsource the small stuff

Employees are one of the biggest chunks of a small business’s budget. Consider outsourcing for specific tasks that would require training of staff or new equipment. In addition, outsourcing repetitive tasks such as data entry and payroll will allow you to focus on acquiring more customers and growing the business.

4. Utilize the cloud

Cloud applications allow you to pick and choose exactly what you need, so you’re not paying for anything you don’t use. Forget software licenses and expensive hardware that constantly require updates—these are no longer necessary with today’s cloud technology.

5. Make experience count

Give a local college student a chance to gain experience by hiring interns. Using interns cuts back on expenses—from salaries, to benefits, to office space—while giving an eager student a valuable chance to learn. It’s a win-win situation for everyone involved.

6. Buy supplies in bulk

When you need to purchase office supplies, buying in bulk can cut down product and shipping costs. Look back on your purchases and identify which ones are purchased regularly, and see how much you can save by buying in bulk.

7. Buy used equipment

You can save up to 60% by buying used computer equipment and office furniture, and it will do the job just as well as paying full price.

8. Consider telecommuting

Telecommuting can be a great option to save money within your small business. Telecommuting allows you to save on office space, and the operating costs that go along with it. Plus, research shows that employees who have the option to telecommute tend to be more satisfied with their positions.

9. Go green

Small changes like turning off lights and computers when they’re not in use will reduce your energy bill. Print on both sides of the paper to reduce paper waste and cost—or better yet, go digital and don’t print at all. Update your mailing lists so you aren’t sending out unnecessary letters, saving on paper and postage. And be careful with air conditioning—you can significantly save on energy by bumping it up a couple of degrees.

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  1. […] Related: Boost Your Cash Flow With These 9 Money-Saving Tips […]

  2. […] because you have good cash flow and you’re doing brisk business does not mean your first hire has to be a full-time staff member. […]

  3. […] every week to review your finances. It doesn’t matter if you’re simply checking your current cash flow situation or reviewing your performance relative to a peer group. The important thing is that […]

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