Owning and operating your own small business is a lot of work. Any SMB owner can tell you that. But what can be the hardest part of running a business is cutting your expenditures. Not only can this increase your profit margin, but cutting down on your use can ultimately benefit the environment.
Businesses of all types and scales – from a lone freelancer to an artisan coffee shop – can all benefit from saving money.
Today we’ll cover some business money-saving tips for SMBs. It’s time to save some money for a rainy day.
Begin By Saving On Water
This may seem like a tip for those businesses that operate in the hospitality sector, but all businesses can save on business water. You could be wasting money on a vital aspect of running a business monthly.
There are so many ways to save when it comes to water usage, and being more sustainable with water usage will not only save money but also help the environment.
If you are a non-hospitality business, you should always begin by assessing where water is most commonly used in your business. A common one for all businesses is the bathroom and kitchen facilities.
For the taps of your establishment, try installing water-saving faucets to reduce the water used each time a dish is washed or hands are scrubbed. For toilet facilities, you could install a device such as a toilet tank to reduce the water consumed when someone flushes the toilet.
These may seem like small daily savings, but you’ll be surprised how much this can add up over a year.
If you are in the hospitality industry, there’s so much more you could consider saving water. Investing in highly efficient dishwashers is a great start. Applying this logic to a washing machine can also help you save if you wash beds, sheets, and linens.
Lastly, no matter what business you run, water retailers such as Castle Water can help by reducing your fixed charges and the costs associated with business water management. Look at switching your supplier now and see how much this can save you!
Look Into Your Electricity Costs
Much like saving on your water bills, you can look at how to cut down the cost of your electricity bills. Every business will use electricity nowadays, so this is a fantastic opportunity for any business to save!
Changing all your light bulbs is the fastest and easiest way to save money on electricity. Go around each room in your establishment or office space and change the light bulbs to eco-friendly power-saving alternatives. This may save pennies daily, but these pennies will add up.
It is also worth implementing employee training to ensure nothing is left turned on overnight that could sap away at the mains. Having one or two devices left on may seem like a small oversight, but it can be costly if multiple machines are left on every night.
In addition, saving energy could be as simple as installing a smart electricity metre to take note of power usage at all times of the day. This can help you identify where electricity is used and when to cut it down.
Go Entirely Remote If You Can
COVID-19 shook up the world of work. Not only is working from home achievable, but it is also preferable to many employees and company owners across the nation. Opting for remote working and shifting to an entirely remote business model (if possible) can eliminate the need for office space.
Not paying rent on an office space could cut monthly expenditure by hundreds, sometimes thousands of pounds. Not only will you forego rent, but you’ll also eliminate the need to pay for electricity, water, and heating for your office space.
It won’t work for every business, but you should.
Cut Down On Non-Essential Maintenance
This simple but effective solution can help you save money quickly and easily. But before you start cancelling services, keep the essentials, such as fire alarm checks, smoke alarm checks, and electrical maintenance. These are vital to any workplace.
But things like cleaners can easily be replaced by re-drafting your company policy. Training your employees to clean up after themselves is doable. In addition, contracting a cleaner for a day of cleaning once a month will be far cheaper than bringing in a cleaner once a week.
In Summary
Saving money is a vital part of any business, and it can enable you to expand your profit margin and re-invest more money into the future of your business.
A win-win! We hope these tips have helped inspire your money-saving journey.
