The easiest ways to save money in your business is to maximize your cash flow.
"Cash is king" in any business - so keep your expenses to a minimum and by keep your overheads low.
Business to business finance ... investigating cost cutting measures to improve your liquidity and to keep your cash flowing.
EASIEST WAYS TO SAVE MONEY - BUSINESS TO BUSINESS FINANCE
Some financial institutions offer sweep accounts - your business earns interest on positive cash balances.
These financial institutions are in a position to transfer [or sweep] your money into interest bearing accounts while the money isn't needed -
- and then to transfer the money back when you do need it.
Look into state and government loan programs that offer lucrative loans with attractive incentives to small business owners - especially entrepreneurs.
Make a determined effort to lower your overhead costs including rent, advertising, indirect labor and any professional fees.
Try and use independent contractors where it is feasible and of course legal.
Try and establish from the outset what you will be charged for professional fees from accountants, lawyers or professional consultants.
It is to your advantage to negotiate a fixed amount rather than ongoing variable fees that are not definitive.
Apply for business loans that will allow you to maximize any potential tax benefits.
Remember to investigate and to insist on the best terms and conditions for your proposed business loan.
Sell any unproductive assets that are not generating a revenue for your business.
(Conversely - aim to only spend money on assets like buildings and vehicles if they will generate revenue long-term)
Consider taking merchandise on consignment - in this way you get to build up your stock, but you only have to pay when the goods are actually sold.
Bill your clients promptly and efficiently in order to receive your money promptly.
Be resolute and firm when it comes collecting money due to you.
Negotiate longer payment terms with your vendors and don't pay your accounts payable too soon.
Remember that the suppliers are looking for your business - so insist on excellent credit terms.
On time is the earliest that you should pay any of your suppliers.
Continuously monitor and track money that is drawn out of the business by the owner (yourself) for non- business purposes.
Too many withdrawals can impose a cash drain on your business and limit you cash flow.
Regularly evaluate where you are able to increase your prices (without compromising on your creditability or service) in order to maximize profit margins.
You may need to increase your prices as costs increase and market supply and demand changes.
Easiest ways to save money - cost cutting measures that will help your business to economize but not compromise.