Cost Saving Ideas for Business

If you have read this month's newsletter you know that I recently did a break even analysis for Advertising In Motion.

Looking at the long list of "fixed" costs made me carefully consider each line item. As I did, I realized, after some investigation, that I was able to decrease many of those "fixed" expenses.

Here are some of my cost saving ideas:

Supplies

• Print only with black ink. Color ink is so expensive.
• Print all documents in draft mode. This saves even your black ink thus reducing your printing costs.
• View things online. Limit yourself to printing only those things that are absolutely necessary.
• Try to condense 3 part forms into 2 part forms. This save ink, paper, or outside printing costs.
• Print smaller runs of brochures and business cards. This eliminates wasting unused media as information changes.
• Pay bills online. This saves on the cost of checks, envelopes, printer ink, and stamps.
• Move to electronic faxes, thus not printing unwanted faxes. You are not only saving money, but being green.
• Require prepayment for all orders. This not only saves the cost of sending invoices, but saves the accounts receivable department's time as well.

Advertising/Marketing

• Are you reaching your target market? Contact me if you need help with this one.
• Register your domain name on free sites.
• Have your blog on a free site.
• Link your blog and other social networking tools to your website. This helps you get ranked higher on search engines rather than paying for Google adword.
• When using Email systems such as constant contact, review the names in your contact list. Remove those with out dated email addresses and those who consistantly don't open files.
  

Car

• Be efficient with your travel as much as possible, grouping appointments by area. This saves not only gas, but valuable time.

Telephone

• Review your phone service level. Are you using the most cost effective plan for you? Can you bundle services to get a better rate?
• Do you need both a land line and a cell phone?
• Compare rates of other phone suppliers. Is there another company with comprable service that charges less?

Insurances

• Check the rates of other companies.
• At the very least, contact your agent and discuss all of the coverage you have. Are you carrying more than you need?

Taxes

• Donate unused samples or outdated materials and products to non-profits. This saves you money on your taxes and makes you feel great. Make sure you get a donation receipt at the time of your donation.

Interest

• Don't carry a balance on a credit card. Call your banker for alternative financing options. Paying interest eats into your profits.

Miscelleneous

• Pay one year on contracts rather than monthly if it gives you a price break.
• Check prices of different vendors. Compare not only cost of goods, but shipping price as well. You may find it cheaper to deal with a local vendor.
• Limit the number of samples you buy.
• Review the networking groups and organizations you belong to. Are you getting a good return on your investment?
• Review training classes that you pay for. Is there a way to get the same information for free?
• Review the software you use. Is there a more cost effective alternative?

Implementing these ideas will save me thousands of dollars over the course of a year. I believe they will help you too.

Feel free to share money saving ideas that have worked for you.