Do you want to increase the profitability of your growing business this year? Does the idea of improved cash flow sound good, but you’re not sure how to generate more sales? One way you can increase the amount of cash in your business account at year-end is to reduce your business operating expenses. Check out these tips to see which ones can add to your company’s profits.
1. Negotiate subscription rates with your suppliers.
Offer to pay a monthly/annual fee for a reduced rate on supplies you use on a regular basis. Asking for subscription rates lets your suppliers know you are looking for better deals and indicates you’re prepared to shop around for the best prices.
2. Outsource business tasks to save you time, stress, and money.
Many small and mid-sized companies often outsource marketing, bookkeeping, accounting, and legal roles. You may want to consider factoring your invoices for access to immediate capital as well as streamlining your accounts receivable functions. Invoice factoring saves you time from collecting accounts receivable from your customers and can fill in the cash flow gaps that often happen while growing your business.
3. Consider purchasing second-hand office furniture.
Just because an office chair or desk is worn out, that doesn’t mean you have to buy a brand new replacement. Check with your local office supply store for returned lease items or browse at your closest thrift store for funky furniture finds.
4. Exchange services with providers in your area.
Bartering is making a comeback and can be a phenomenal way to get products and services for your business. You can barter with your local notary, lawyer, cleaning company, or even catering business. Check Craigslist for local barter opportunities in your area. Once you get used to participating in service exchange arrangements, you’ll wonder why you didn’t think of it sooner.
5. Reduce travel time and expenses.
Spend less time and money traveling to meetings by attending virtually. Why travel to a meeting if you can attend via the internet? If you have a distributed staff across many locations, this can be especially useful for staff meetings. Many conferences now offer a live video feed of their event; watch the event via your laptop or smartphone screen without spending a dime.
Reducing your small business expenses is easy if you make the effort. Small savings can add up if you get your entire team involved in cost-cutting measures. Will you be trying any of these helpful tips to ensure your business reduces expenditures now or in the coming year?
Your Questions Answered Quickly
Whether your business is thriving and you can’t keep up, or you are waiting on clients to pay their invoices, Universal Funding can help your growing company. Call us at 844.334.1856 or complete our rate form today to learn more about invoice factoring and how it can improve your company’s cash flow.
About Universal Funding
Universal Funding is a private funding source that has funded thousands of businesses and more than $2 billion since 1998. We turn your accounts receivable into the funding you need through invoice factoring and can have capital in your hands in a matter of days.