It is the never ending battle you will have as an entrepreneur, your assets, your finances, your cash, whatever you want to call it. The issue is always in relation to keeping your bottom line as high as possible, but it can throw up a lot of conflicts when you’re trying to stick to a steady budget. While we seldom think of the little expenses that will add up there are always some massive ones. If you don’t prepare it will take a massive chunk out of your expenditure, so let’s have a look.
Working for yourself as an entrepreneur means that you are a liability for many insurance companies. This is why it’s important to find the best policy for your money and the same applies to the business that you are running. There are many factors like rental insurance, insurance for your business fleet, as well as things like your public liability insurance if you are working in a customer service type role. The trick to navigating these issues is simply to shop around and find the cheapest policy. This requires a lot of planning and preparation especially when it comes to navigating the tricky issue of how much excess you would pay if you were to make a claim but it’s all about research, unfortunately, which takes a lot of time!
Your Technology Expenses
It has got to a point in the modern entrepreneurial mindset that we must have the biggest and best items of equipment to keep rolling with the punches. However, as the latest software or hardware is released on a bi-annual basis, this could easily send you up the creek without a paddle in a financial sense. Your telecommunication is another factor which results in needless expenses and is generally viewed as one of the largest spends for a company. So if you have an audit of your bills or take advantage of telecom bill management resources, this will be a way to make the most of streamlining your technological resources. With every item of equipment, you need to ask yourself, “do I really need the latest on the market?” If you take a streamlined approach to reducing your bills, especially if you are communicating with clients on the other side of the world it may be beneficial for you to make the most of a more manageable resource such as VoIP. Or, even if you are a sole trader are there simple ways around the issue like emailing the client?
This can be a big mistake entrepreneurs make, as the old belief is that you get what you pay for! But sometimes there are ways of getting good quality employees without paying through the nose. Instead of paying huge amounts instead you could tempt employees to work for you by offering more flexible working hours or having more benefits such as extra vacation time. It’s always important to remember that if you can find the right member of staff, they will work for the benefits of the job rather than the pay.
These are big expenses you need to think about cutting down on. Regardless of whatever stage you are at in your business it’s always worth addressing your biggest expenses and learning how to manage them