Aotearoa faced many economic challenges in 2023 that ultimately led to a dramatic reduction in the country’s GDP. As a small business owner operating against this backdrop you might be knackered, wondering how to manage your costs of doing business.
In this must-read guide for small business owners, we breakdown a few tips on how you can better navigate your business costs. Take a squiz.
Here’s how you should navigate rising business costs
#1 Review your small business budget
Regularly review your business budget and identify things that you spend extra money on. Then work towards eliminating these extra expenses.
Often this means renegotiating contracts, reducing office supplies, streamlining operational and marketing costs, etc.
#2 Integrate tech into your business
Technology can enhance productivity and efficiency in small businesses, which helps reduce costs.
Consider automating repetitive tasks, implementing cloud based systems, and utilising digital marketing strategies in place of traditional marketing.
#3 Focus on customer loyalty and referrals
To make sure that you have a stable customer base, try implementing loyalty programmes.
To stimulate revenue growth, you can also implement referral programmes where you offer existing customers money for bringing in new customers.
#4 Make sure that money owed to you is paid
If customers/debtors owe you money, ensure that you’re paid on time. For this, communicate and agree on a designated payback period.
Invoice your debtors as soon as possible to convey urgency and regularly remind them to pay you back. This way you will always have enough money to stick to your budgetary requirements.
#5 Ask for help and advice whenever needed
Asking for help is important.
Your bank can provide you with basic consultation services, connect you with business coaches, and get you in touch with government agencies and programmes designed to guide local business owners.
We can help – Save up with professional accounting, white labelling, and bookkeeping services
Our financial services are designed just to help bring down your business costs while receiving industry-standard professional services.
Here’s how we help you cut down costs:
- Avoid spending money on hiring and maintaining in-house accountants with our virtual accountant services.
- If you’re an accounting practice, reduce resources and save up with our white label accounting services.
- We eliminate the need to hire more employees than is necessary
- We help you avoid working overtime to reduce utility bills and admin costs.
- Have an expert team record your finances and avoid costly bookkeeping errors that lead to bad credit, legal issues, etc. with our bookkeeping services.
Interested? Drop a kia ora in the chat and we’ll take it from there.
When we discuss managing costs, outsourcing is the ideal venue to take. Read up on why you can’t afford not to outsource on our FREE Ebook. Drop your email on the chat and we’ll send it to you.
