Money saved is money earned. People who have grown up on this quote understands the real value of money. Businesses can moreover learn a great deal out of this quote.
Sometimes things that bring bankruptcy to a business are not problems in the business model or the economy. It’s because the business hasn’t made provisions to save costs and focus its energies on wealth expansion.
A business that is profitable is the one that constantly keeps a check on costs that are levied and profits that are realized.
If you’re having a hard time justifying profits or managing finances, then you have come to the right place. Because we are gonna go through some amazing ways that your business can save costs and become more profitable as a result.
Is your business still not leveraging automation? Automation is one of the most powerful things in the business world right now. Everyone is taking advantage of automation that leaves the organization with time at their disposal that they can now devote towards making another buck rather than hiring a human resource whose job can be automated by software automation.
An Excellent example of automation can be the Zapier Web Platform. There is an end number of automation in Zapier that sets things into motion.
Downloading leads from your ongoing Facebook Ads Campaign, you can rather set up an automation that automatically creates an entry in a spreadsheet every time a lead is generated.
You are now left with the time that you can devote to creating more campaigns or optimizing campaigns that aren’t working well. This right here is what’s gonna maximize your wealth.
2. Outsource microservices
Did I just make a suggestion to incur an expense? Keep reading; you will get the point that I’m trying to make.
Every organization is in need of services that they need to carry out to serve their own customers. I’ll do it all alone is the attitude that often turns fatal in terms of putting a hole in your cash pocket.
This is where you hire pros who are well equipped and expertise in getting this done. For example, the cleaning services business should focus its energies on serving their customers the best way they possibly can. They should nurture their customers, buy new equipment that will make their service more efficient.
But at the same time, they need leads to run the business. This is where they can hire services of other business who specializes in providing that particular service. It can be a PPC Agency specializing in providing lead generation services to businesses like yours; then there are answering services for small businesses that can help you out in servicing the customer while you focus your energies on the business as you should.
3. Conduct an 80/20 Analysis
Do you know the 80/20 Rule? It’s called the Pareto principle. It implies (and it’s tried and tested) that 20% of activities are responsible for 80% of the value that your business can generate.
- This means, 20% of customers are bringing you 80% of the sales
- 20% of products can be bringing you 80% profitable sales
- As a business owner, it is your duty to identify your 20%
Once you find that out, now it’s time to shun those activities or resources that are in no way contributing or bringing value to you. This is where massive savings take place.
You never know if you were selling products or services that were actually incurring losses. Like for example, Siteground recently shut down its Affiliate Program in India because they realized that people weren’t buying hosting from the Affiliate program for a long duration and an increasing number of people were asking for refunds and canceling it.
The program was doing more harm than good, and so they took the call of shutting it down because, as a business, they want to remain profitable.
4. Embrace the cloud
Don’t you think it’s barbaric to still run the business on paper? It is high time that you embrace the cloud. Cloud Computing capabilities can do wonders for your business in terms of cost-cutting.
For example, you can use Dropbox to share files, Teams to conduct virtual meetings; there are dozens of such tools that will come in handy and save you the unnecessary costs that you are incurring presently.
So there is it is, keep saving costs wherever you can. Every now and then, a new startup emerges with automation or an innovative way for you to save costs. Take advantage of events like Black Friday to grab some awesome Lifetime Deals and save even more.