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3 great ways to reduce costs as a new business

Starting a small business can be challenging, there is a myriad of considerations that need to be made that simply are not thought of from the get-go. One thing that all small businesses have in common is the need to keep costs at a minimum. With that in mind, here are 3 great ways to make sure your business maximises profit by minimising cost.

 

  1. Keep supplier costs low with contra dealing

As a business, you are unlikely to find a supplier that matches all of your needs. Compromise will be needed. This is where contra dealing can help. Factor it in as part of your evaluation of suppliers. Doing business without monetary transactions has a number of benefits including a more frictionless trade experience.

To make sure the contra deal is worthwhile, make sure you work out the rough retail cost of your transaction. This will help you determine the value of the service you are getting in exchange for yours.

 

  1. Keep staffing costs to a minimum

Staff are a critical part of your business, however, it can be tempting go round hiring experts to help you at the first sign of trouble. Equally many new business owners make the mistake of taking too much of the work on themselves.

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Work out the value of the work at your business. If you have the ability to perform work that leads to more money in your account, outsource the admin work to free up your time. Equally, only employ staff that are doing valuable work. This will help you keep staffing costs to a minimum.

 

  1. Find marketing that’s measurable

Many businesses stick to traditional marketing and whilst it has its place, moving some of your advertising budget online will help you find targeted ads that show you if their working or not.

 

If you offer a service that could provide value to a marketing agency this is where contra dealing can help. You can build a transparent business relationship that saves you money and keeps your budgets on track whilst keeping your company profitable.

 

Find suppliers to contra deal with

As shown contra dealing and general business astuteness will help you to save your company money and start to make a profit over time. If you have any questions on contra dealing and how to get started do not hesitate to get in touch via our contact form.