How to Run a Business Without Breaking the Bank

Written by Chloe Harwood

These days, a vast number of people are starting up their own businesses. Unfortunately, many of them will fail. The most common reasons that a business fails early on might surprise you. It is not because of a lack of interest in the venture. Tellingly, the majority of startups don’t succeed because the company isn’t set up to be financially viable in the first place. In other words, the business is not running in a cost-efficient manner, so it stops working before it ever really began. If you have a great business idea in the pipeline, it might be the case that you haven’t thought much about the financial side of things yet. This is very common. Lots of budding entrepreneurs get so caught up in the ideals that they forget to face the realities of the costs involved. Nonetheless, there is good news. Whatever you current situation, there are certain steps you can take to minimise the risk of financial disaster. Here are a few tips on how to make your new business run as cost-efficiently as possible.

The Paperless Office

Today, there is very little excuse for not going paperless in your new office. Unless your venture is to sell stationery, there is no need not to go digital for all your business needs. You are sure to save a tremendous amount of money this way. The only thing you need to be aware of is data loss. Ensure that everything is backed up multiple times. Ideally, you want to have a backup copy off-site as well as in the cloud. That way, you are insured against the worst happening.

Automate What You Can…

Again in the realm of technology: automate everything you possibly can. There might be one or two stylistic choices that you want to make, just for the sake of impressing your customers. But on the whole, it makes no sense to hire an extra hand to do a job that can be done technologically. If you hire too many people, you will only end up having to fire them once you realise you don’t need them. So the kindest thing is to not hire them in the first place.

…And Outsource The Rest

Outsourcing is possibly the number one method for saving money when you are running a young business. Fortunately for the up-and-coming business owner, you can outsource just about anything. And you don’t have to worry about the outsourced work lacking quality – there are some fantastic experts out there. For example, you could – and should – be using an outsourcing contact center. It makes no sense to dedicate a whole team in your office to answering the calls when you can just let the professionals do it for you at a fraction of the cost.

Use Technology…Within Reason

When it comes to saving cash, the golden rule for technology is: make use of as much of it as you can without using it needlessly. In other words, it pays to use the right tool for the job – and we’ve already been through the benefits of a paperless office. But that doesn’t mean you should invest in pointless gadgets. You may laugh, but many young businesses spend far too much money on frivolities – and it always ends poorly.

About the author

Chloe Harwood