5 Ways to Reduce your Overhead
In business, an overhead means the ongoing expense of running a business and there are many expenses to take into account. Such as IT, cleaning, suppliers, administration staff, office space, accounting and so much more. Budgeting all of these expenses even becomes an overhead expense and you have to be mindful of where you can reduce overheads costs. Here are five ways you can reduce overhead costs.
1. Rent an office space
This is a great way to save not only money but time and effort as well. Leases, office fit-outs, IT and infrastructure set-ups, administration and furniture package, all cost a lot. In a rented office suite, this third party looks after all these aspects because that is their business. You become their client and you have more room to focus on what you do as a business. For examples on office suite packages, check out Servcorp Executive Suites.
2. Use web-based technologies for business operations
With each passing day, more web-based and cloud-based software are being created to aide businesses. To name some areas of business operations these softwares can look after:
- Accounting,
- Asset management
- Collaboration
- Communication and online demonstration
- Customer record management
- Data storage
Some programs are free to use. For example, MailChimp manages email marketing and newsletters. Easy to use, you can also track click frequencies and whether your recipients like your content.
3. Outsource
If sales are your main concerns then don’t waste time drawing up ledges and creating marketing plans that fail. Use your strengths and turn your weaknesses into a plus. Hire a public relations boutique to handle your media and marketing. Look for a credible accounting firm to handle payroll and finances. Just be sure to outweigh the offsets of outsourcing expenses up against having your own accounting department, for example.
4. Go virtual to save on travel and communication
Conferences and seminars can now be done online. Save on flights, accommodation and car rental expenses. Fit more work-life balance in your schedule. The benefits of going virtual are endless. And speaking of virtual, chose this option over paper expenses. Not only are you supporting the environment but you are giving your staff the option to efficiently read. Such as, instead of skimming through a report, they could use a search function to pick out information they need to know in a timelier manner.
5. Hire the best
This is the current trend for many businesses and many are catching on. Rewrite job descriptions and include multitasking in the list of duties section. The payroll will be the same but your employee will be able to undertake more tasks. For example, a copywriter is equipped to handle technical writing, Search engine optimization, journalism, public relations, email marketing and social media. These professions cross check each other very easily. By getting someone to handle social media under your very nose, you can have more control over this free service which covers a huge chunk of your marketing plan.
Category: Business
