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15 Practical Ways To Reduce Business Costs

15 Practical Ways To Reduce Business Costs

As a business owner you can’t stop for searching new ways to reduce business costs and gain more profits. Otherwise, your business will never thrive. By implementing these 15 simple strategies within a year, you’d be able to save thousands of dollars in net profit!

1. Take advantage of the freelance workforce

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    A recent study predicts 40% of the U.S.’s workforce will go freelance by 2020. Why not start taking advantage of a temporary team from day one and avoid paying huge overheads and adding up costs like sick leaves, training, vacations, insurance, and so on? Having a flexible team working on a per-project/task basis will significantly reduce your business operating costs, improve overall key performance indicators, and will allow you to focus on more important tasks while minor things are getting solved by your dedicated virtual assistant. Nowadays, you can basically outsource anything, from handling emails and managing your FB business page to complete website design and full-cycle development projects. Besides, hiring a specialist abroad may cost you less than hiring someone with the same skill set back at home.

    Most popular freelance marketplaces:

    All types of projects

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    Micro jobs and small, simple tasks

    Design

    Coding and web development

    2. Start an internship program

    Sometimes, having a remote worker is not an option as you need help onsite—say, sorting out that huge pile of papers on your desk. Get in touch with a local college and offer to establish mutually beneficial relationships—you get a free workforce; they get a cool company to send students to. Win-win. Alternatively, you can post an advert online at sites like Urban Interns and check out all the rising stars eager to work with you for a shining resume credential and real hands-on experience. Moreover, there are high chances of discovering true talents to hire afterwards as part-time or full-time assistants who already know how to things get done at your company.

    3. Use energy-efficient appliances

    Utility bills eating up a huge chunk of your income? First of all, opt for compact fluorescent light bulbs. They cost more than the usual bulbs, however they function longer, thus saving you a pretty penny in the long run. Secondly, consider switching to energy-efficient appliances, particularly those with the Energy Star label. Again, they do cost more, but you can cut down the expenses with numerous government-sponsored rebates, along with making your biz eligible for green energy tax credits. If you need professional advice on making your company more energy efficient, just ring up your power company and request a free energy audit. An inspector should come to analyze your workplace and suggest further ways to reduce energy consumption.

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    4. Keep a virtual office

    If most of your team works remote and you don’t have an ongoing need to gather at one place, why should you bother to pay huge rent for the office space? Business meetings can be held at any venue, co-working space, or conference hall. However, you still like to keep things looking professional and earn your credits, right? And occasionally you do need to fax something or print a bunch of promotional materials. If that is it, most virtual offices provide you with temporary printing solutions at a flat rate; VoIP phones with a personal voice message box; corporate mailing address; a dedicated receptionist handling your calls and a bunch of other cool perks that tend to cost a tiny fortune when implemented at a regular office.

    5. Barter

    So you run a small writing business. Have you ever though of offering your professional editing services to have a marketing campaign developed for you in return? Bartering is no longer difficult with a number of B2B barter sites like U-Exchange and TradeBank gaining huge popularity among small and middle sized business owners. Set up an account and start exchanging services you need! Besides, it’s an excellent way to grow your business connections and score potential customers or partners.

    6. Go paperless

    Do you really think you need those copies printed for everyone? Now look at your monthly printing costs and think again. Still opting for paper bills and invoices? That’s stone age with so many online payment and invoices systems available at reduced costs. Retain your clients with email marketing and ditch mailing coupons and advertorials by snail mail to cut down the costs even more!

    7. Re-examine your phone plan and ditch your land line

    Are you sure you have the best cellphone plan currently available on the market? How long has it been since you last checked the prices? If you signed up for your plan more than two years ago, it’s definitely not the best option available on the market today. If you need to make international phone calls frequently, use Skype or Line, an app that has lower prices. Moreover, swapping your land line for VoIP or a virtual phone line will save you a big bucks at the end of the day.

    8. Don’t be shy to ask for a discount

    Take the nerve and ask the retailers directly whether they can give you a discount as a small business owner. Surprisingly, most will say yes if you are shopping for big ticket items. Alternatively, sneak around for coupons and special deals, sign up to retailers’ newsletters to be the first to know when certain items come on sale, plus get a few money-saving apps installed on your phone to receive instant alerts.

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    9. Invest in self-education

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      If you feel reluctant about paying yet another one-time consultants to solve the problem for you, spend less on self-education. Or pay nothing and gain lacking knowledge at one of these 25 killer educational websites. There’s no better investment than education and in the long-run, spending time and effort on learning something new will pay off later on!

      10. Buy used equipment and furniture

      Shopping in thrift shops and bargain sales is no longer shameful. It’s trendy. Loads of businesses prefer to equip their offices with shabby vintage stuff costing pennies instead of luxury designer goods (that often look pretty much the same). Businesses claim to save up to 60% costs merely buying used office equipment like computers, faxes and printers. Scroll through Craigslist, check out your local paper classified and online auctions like eBay to get everything you need at least two times cheaper.

      11. Cut back on paid software

      Nowadays there’s an open-source free alternative to nearly any product at the tech market. Unless a specific software is absolutely crucial for keeping your business running smooth, get rid of it! Microsoft Office can be replaced with Open Office or Google Drive; Basecamp has a free, similar-looking alternative Trello and you can create beautiful online and PDF designs with free photo-editing tools like Canva or Picmonkey instead of using Photoshop. Which leads as to the next point…

      12. Conduct timely technology and services audits

      How many paid apps and subscriptions do you currently have? And how many are you actually using? Bet these two numbers differ quite a bit. If you have not used a certain technology or service for the last 90 days, it’s time to cancel your subscription and stop paying for things you obviously do not need. Make it a rule to review all the paid products you have every two months. Moreover, before getting yet another piece of paid software, visit Download.com and try hundreds of software products for free through trial downloads, limited versions, and freeware to make sure that it’s indeed a product you need.

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      13. Eliminate finance charges

      A lot of businesses lose thousands dollars annually on ridiculous things like high membership fees on business credit cards, late loan payments and credit-card processing fees. By simply staying on top of bills and paying them exactly when they are due, you will save your business a great amount of money each year. Yes, keeping up with the bills can be complicated, so try to automate as many financial processes as possible by implementing online payment systems and setting up special alerts when bills are due. Also, pay a visit to your bank and ask what better credit card options they can offer you as a business owner.

      14. Opt for online advertising

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        Does your business have a Facebook page and Twitter and Pinterest accounts? Do you have a website properly optimized for mobile search? In 2015 if your business is not online, it practically does not exist! Compared to traditional marketing and advertising, promoting your biz online allows you to get faster results with less money spent. Start small by adding a blog to your website, offer expert advice, reach out to new media and bloggers with thrilling stories you can share, invest some time and money in social media marketing, and optimize your website properly to get a huge amount of targeted traffic and new customers.

        15. Use the power of co-opetition

        Team up with fellow business owners to collaborate and share expenses when buying new supplies in bulk. Moreover, you can group even further and jointly promote a sidewalk sale, share mailing lists and distribution channels with businesses offering complementary goods or services that may interest your customers. Also, you can exchange advertising spaces on your websites, share each other’s coupons and special deals (for a small fee or percentage from each sale made) and occasionally appear at each other’s business blogs to boost your rankings and attract a new audience to your websites.

        Featured photo credit: ShellyS via flickr.com

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        Elena Prokopets

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        Last Updated on February 11, 2021

        Want to Get Free Product Samples Like Bloggers and Beauty Gurus Do? Read This.

        Want to Get Free Product Samples Like Bloggers and Beauty Gurus Do? Read This.

        Imagine receiving a regular supply of free samples through your letterbox?

        These free samples by mail could include things such as cleaning products, cosmetics and packaged food.

        Free samples are a great way to try out some of the latest products. One week you may have a new toothpaste to try – the next week you may be snacking on a delicious chocolate cookie sample.

        As the saying goes, variety is the spice of life. And by requesting free samples by mail (I’ll show you how shortly), you’ll have not just variety – but fun too!

        Tell Me More About Getting Free Samples Sent to My Door!

        So, it looks like I’ve caught your interest. That’s great news!

        Just before I introduce you to 10 places where you can get free samples by mail, let me clarify a couple of things.

        Firstly, all the places I’ll talk about are currently active in sending out free samples to consumers. (In other words, no links to out-of-date or dead pages!)

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        Secondly, location is key. If you live in North America, then you’ll have a wide selection of places to sign up to. In other locations (for example, Africa, Asia and Europe), you’ll have fewer choices – but free samples by mail are still a possibility.

        Lastly, to whet your appetite for the freebies, here’s a short list of product examples:

        • Pet food.
        • Beauty products.
        • T-shirts.
        • Greeting cards.
        • Wallets.
        • Snack bars.
        • Vitamins.

        Free Samples by Mail… Tell Me Where to Get Them!

        It’s now time to share my recommendations for the best sites to claim free samples from.

        Let’s start with…

        #1 SampleSource

          This company sends out boxes of 6-12 free samples about four times a year. Products include baby wipes, cereals and tissues. Register with SampleSource to be notified of the availability of their free samples. (Canada and U.S. only.)

          #2 Influenster

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            As their name suggests, Influenster wants to send free samples to you in exchange for you sharing about the products on your social media accounts. Once you’ve become a member (join for free!), they’ll send you a box of free goodies every few months. The more you share pictures and reviews of the products – the more free samples they’ll send you! (All major territories.)

            #3 PINCHme

              This organization will send you free samples in the hope that you’ll then go out and buy the equivalent full-size products. To receive regular boxes of free food, drink and cosmetic samples (and sometimes coupons), then sign up and create your profile. (U.S. only.)

              #4 House Party

                Thinking of throwing a house party? If yes, then be sure to sign up with this company. They’ll send you a box of ‘themed’ products and services that you can hand out at your party. Register with House Party. Wait for the fun freebies to be mailed to you. And then start sending out your party invites! (Worldwide.)

                #5 YoFreeSamples

                  This site is a great resource for a whole host of free samples that can be mailed directly to your door (with no survey requirements!). You’ll find anything from books to perfume, with new offers listed daily. Head over to their site to see what’s currently available. (Mostly U.S., with occasional offers for other countries.)

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                  #6 Magic Freebies

                    The U.K.’s most popular freebie site. Register for their email newsletter, and they’ll send you a daily email with eight free sample offers. These include products such as disposable razors, dog bowls, and even fake tan! So, what are you waiting for? (U.K. only.)

                    #7 SweetFreeStuff

                      Since 2002, this simple site has been linking to the best free sample offers currently available. To get started, sign up to their daily email newsletter, which contains links to the latest offers. As well as free samples, SweetFreeStuff also gives information on coupons and deals. (Worldwide.)

                      #8 Sample A Day

                        Would you like to receive a notification of a new free sample every day? Well, that’s the promise from this site. They claim to thoroughly research all offers, ensuring there are no catches or hidden surveys! From baby products to socks, this site is sure to have something for you. Registration is super-easy. Simply enter your email address. (Australia, Canada, U.K. and U.S. only.)

                        #9 Pretty Thrifty

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                          This site specializes in free beauty products, but also lets you claim free samples such as energy drinks, snack bars, and even magazine subscriptions. Pretty Thrifty has more than 85,000 followers on social media, so clearly knows how to attract free sample hunters. One thing that makes Pretty Thrifty stand out from most of their competitors, is that their email newsletter is available in daily, weekly and monthly formats. (Mostly U.S., with occasional offers for other countries.)

                          #10 CrazyFree

                            My final tip for getting the best free samples by mail, is Australian company CrazyFree. Their funky website offers big brand free sample offers, which currently include items such as Dolce & Gabbana perfume, Coke Zero, and Happy Dog pet food. To claim the offers, select the free samples you would like, and then complete their registration form. (Australia, U.K. and U.S. only.)

                            Receiving regular free samples by mail is a fabulous way of testing out the latest products on the market (and some that aren’t even on the market yet!)

                            You’ll impress your friends and family with all the free stuff you’ll be receiving. And take it from me… it’s a fun, free and rewarding hobby.

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