10 Money Saving Tips for Small Businesses

Small businesses have a lot of pressure on them, and more so since the financial crash of 2008. However, there are plenty of opportunities for growth and success if business owners are prepared to work hard and cut down on waste.

In life, you are forced to make savings in other areas if times get tough financially, and businesses are no different. With that in mind, let's take a look at 10 ways that small businesses can save money and give themselves the best chance to move forward and thrive:

Stick to a Paperless System

As online technology continues to improve, the less likely businesses will need to use paper for invoices, HR letters and reporting.

Banks got the ball rolling with paperless systems, and in order for your business to make savings in areas that won't affect yours and your employees livelihoods, consider going through all of your systems and seeing which ones you can put online rather than on paper. You can save yourself hundreds (maybe even thousands) of dollars on paper waste, and still have professional and smooth-running systems.

Do Your Marketing In-house

Many small businesses spend thousands on campaigns ran by digital marketing companies every year, whether it's running social media accounts, creating video content or running PPC (Pay per click) and ad campaigns. Although these can yield results and should definitely be considered, small businesses running on a limited budget should look to do their marketing in-house.

You can split the marketing tasks between your staff - including running the blog, updating your social media pages, etc. - and then outsource the bigger jobs, such as creating online video. That way, you are still getting quality professional work, but you'll be paying out a fraction of the costs.

Use Online Scheduling and Payroll Reporting Tools

One of the biggest forms of waste is time management, and whether your staff are office based, contracted, remote workers or working on zero hour contracts, you want the reassurance that they are all working at their optimum level, without being overworked. After all, time is money.

Fortunately, there are online tools that can help business owners to track time management, set tasks for employees (and schedule them) and control all aspects of your payroll and reporting. A great example of one of these tools is Timeclock Hub. This tool does all the above and so much more, and can help small business owners to save a great deal of money on wasted productivity in the long run.

Turn Everything Off Overnight

At the risk of sounding obvious, it is essential that business owners drill the importance of saving power into the heads of their employees. This means switching off computers, lights and anything that might be using a plug socket overnight.

In the short term, it might not seem like you are saving any money, but your energy company may offer you a cheaper rate if you're using less energy over time. Also, consider shopping around to see if you can get a better deal elsewhere.

Use Free Software Where Possible

There are ample opportunities for small businesses to save money on various software, and one of the biggest is to make the switch from Microsoft Office to Google Drive. You could save your business a lot of cash and still have the ability to create written documents, spreadsheets, invoices and presentations.

Whatever software your company needs to operate on, conduct an online search and see if there are any free alternatives that can do the same job at a fraction of the cost. You'll be surprised how many innovative people are out there creating these incredible tools and software.

Invest in Second-Hand Equipment and Furniture

Every small business owner has the dream of running an office that looks like it has been put together by a top designer, but that isn't always possible, especially in the early days.

But that doesn't mean that you have to run a shabby office. There are plenty of amazing opportunities to purchase second-hand office equipment and furniture, and if you shop around, you can find bargains that have barely been used.

You can fork out for the brand-spanking stuff when you're rolling in cash, but until then, be wise with your money and keep your refurbishment budget at a safe level.

Negotiate Deals with Your Suppliers

If you have a number of suppliers operating on an adhoc basis, why not see if you negotiate a long-term deal that saves you money. The majority of suppliers will offer discounts to loyal customers who want to pay upfront for a sustained period, so ask the question and see where it leads.

Work Remotely Where Necessary

If you believe that your business could run using remote workers, it could save you a lot of cash. For starters, you might be able to cut down on office space, which is likely to be one of your biggest expenditures each month.

Your day-to-day costs will also be considerably lower, as you will be using less electricity as a result of there being less computers/laptops being used. You could also consider paying remote employees a smaller wage due to them not having to travel to work every day.

Rearrange Your Office for Maximum Natural Light

If your office has big, beautiful windows that capture the natural light perfectly every day, you could be staring at a superb way to save your business a lot of money. Open those blinds and let that light in, and switch the office around so that you can maximize the lights potential, and use less artificial lighting as a result. The pennies saved will soon add up.

Look for Early Payment Discounts

Many suppliers will offer discounts if invoices are paid in full, and within a certain number of days. Although it may be difficult to do this all the time, if you have the money at your disposal, it is a good idea to make the most of these discounts in order to increase your finances further down the road. Even if it isn't mentioned on the invoice, see if you can negotiate that deal. The worst they can do is say no, and you've lost nothing.

For long-term payments such as gas, electricity, broadband and rent, see if you can save money by enquiring about Direct Debit payments. You may already be paying this way, but if you're not, you could be missing out on a golden cash saving opportunity.