A critical factor that can best speed up the growth of your company is coming up with ways to save money. In the startup stage, funds are generally low, but reinvesting in your business is important to survival and success. A positive cash flow is essential at all times.
This doesn’t mean you should avoid spending money and missing out on opportunities. Rather, it’s about using your funds where they’ll do the most good. By following these guidelines, you can set aside some big money even in the early phases of entrepreneurship.
Who Needs An Office?
In the era of wireless networks, video conferencing, and mobile devices, you or your employees may not need a central office to work from. Even if you do, think about a remote workforce to minimize it. Employees in the field, such as sales people or service personnel, can check in or submit forms and reports from their homes or while on the road.
As a startup, you might be able to do away with the expense of leasing office space by taking advantage of Internet connectivity and simply working from your home office. It also gives you the chance to get things done no matter where and when you want to work.
The same connectivity can help you locate outside sources to take on certain projects or responsibilities. Outsourcing is a multi-billion industry, with thousands of freelancers and independent firms looking for work. They can design websites, compose ad copy, and many other tasks at highly competitive rates.
It saves you money in the long run because you can simply outsource whatever needs to be done for a flat rate, on a per-job basis. You might also want to outsource certain business functions on a contractual basis, such as payroll or accounting needs. In either case, you avoid having to hire and insure full-time employees.
Finding and hiring talent online when you need it is a quick and affordable solution. Anything that you lack skills in or can’t make time for can be outsourced to a third party. If you make the right choices it reduces your burden and saves you money.
Look For Affordable Software
Every business needs certain types of software. It also generally needs to be upgraded periodically. Fortunately, you’ll find a number of cost-effective alternatives to expensive business applications and licenses. A variety of applications for bookkeeping, project management, customer management, and other tools can be purchased separately or as a software suite according to your needs and the best deals you can discover.
Many business software solutions come with a free trial period or limited versions enabling you to use them at no cost, at least temporarily. You might also consider open source versions or cloud computing services.
If you only need certain components of an existing product, find out if the company can tailor their business suite to your needs. A software solution that’s tailored to your requirements may cost more upfront, but it will save you money in the long run if you’re only paying for what you need.
Social Media Marketing
The most effective way to market your business to the right audience is over social media platforms. It costs nothing to launch a social media profile and even though it’s not a simple or guaranteed solution, it works if used effectively.
By connecting with those who follow you, you have the opportunity to tell your company story, reach out to industry influencers, and engage potential customers. While you could establish profiles on any or all of major social networks and reach out to millions of consumers, a sound social strategy is important to optimizing your time and effort. You need to identify where your ideal prospects are and what kind of content they like.
One you start building up a strong audience, they become your brand advocates and spread your message, still at no cost to you.
In conclusion, a lack of funds is usually the barrier to startup growth. By saving costs wherever possible, you boost your profitability and your cash reserves. Whether it’s social media marketing, outsourcing, or tailor-made software, every dollar you save can be used to grow your business over time.