5 Tips To Reduce Spending At Your Startup

For most small business owners there was a personal investment from a savings account that helped get the business up and running. Some business owners coupled their personal investment with a small business loan. Regardless of the funding path that was used this personal investment should not be wasted with frivolous spending practices. You need to reduce spending.

Startups need to be far more creative and get the best ROI possible in every area possible. Keeping costs down while increasing sales monthly can allow a startup to grow in a healthy manner. Creating a strategy in particular areas that usually eat into the budget is a great first step. The following are areas a startup can save money and reduce spending especially if the founder has a personal financial investment in the company.

Equipment Does Not Have To Be Brand New

The equipment to start a business in some industries can be the largest startup cost that there is. As long as purchasing older equipment will not impact the quality of work delivered to customers then buying used equipment is recommended. Going to a platform like that of Machinery Network allows those looking for machine parts to find what they need at a fraction of the cost if they were buying new products.

The need for the newest technology that does not offer benefits when compared to cost can make cash flow far tighter than it needs to be. If providing phones for the staff they do not have to have the latest and greatest phones but rather ones that can do everything their job requires.

Freelancers Can Be A Huge Help And Will Even Help Scale Projects

The use of freelancers has become far more prevalent than in the past as the average quality of freelancers has increased. You can reduce spending using freelancers. Far more people are freelancing as a full-time job simply to be able to work from anywhere in the world. A company that needs large amounts of data entry or even content writing can find what they are looking for on a freelancer website like Upwork. These types of freelancer sites oftentimes protect the freelancer as well as the client so everyone is treated fairly. Finding a team of great freelancers can really help when the volume of orders or business is scaling up. A person that handles freelancers has to be great at communicating in a verbal and written manner. Being able to outsource large amounts of work rather than hire employees in-house that may or may not work out will save money long-term.

Social Media Marketing Done Right Costs Nothing To Be Successful

Social media is a godsend for small businesses that are not flooded with large budgets as these platforms are free to publish on. The engaging of followers and others in the industry can help with a brand’s image without spending any money besides employee time to come up with content. The social media manager can be in-house or outsourced as social media companies can have people monitoring accounts up to 24 hours per day. Asking for past campaign success is imperative before hiring or sourcing this work as many people claim to be social media experts that are far from it.

There are enormous amounts of money wasted on company blogs that are producing the same content over and over or are covering generic topics. The presence of a blog is important but this importance diminishes if quality content is not going to be generated. Asking blog readers what they would like to see covered as well as using tools that show which posts garnered the most social media traffic can help create topics. Sharable content, as well as content that can be used as a resource on a specific topic, can help generate backlinks which are immensely important in search engine rankings.

Podcasting Can Help Legitimize A Business And Can Produce In-Depth Quality Content

Podcasting can be a cost-friendly way to create engaging long-form content that listeners can really benefit from. Transcribing these podcasts also allows for this content to be easily searched by those that might have listened to the podcast and want to reference something. The benefits of transcription also delve into SEO as this can be a great way to generate content that will be shared via backlinks and social media. Finding the right guests can broaden the reach of a small business. Well-known people in industries tend to generate traffic when on a podcast or contributing a different piece of content to the company website.

Your personal nest egg being invested adds a different type of pressure when starting a business. Keep costs under control so you can experience financial success to the fullest!

Dragan Sutevski

Posted by Dragan Sutevski

Dragan Sutevski is a founder and CEO of Sutevski Consulting, creating business excellence through innovative thinking. Get more from Dragan on Twitter. Contact Dragan