How to Run a Cost Effective Business

Running a business is not an inexpensive undertaking. There are a lot of expenses involved. It can be easy to get in over your head, especially when you are just starting out. But with some strategic planning and by making careful, thoughtful choices, you can minimize your expenses without letting the quality of your work suffer. Here are a few tips on how to run a cost effective business:

Buy Used Office Equipment

You can save a lot of money by buying used or refurbished office equipment and furniture. You don’t need the latest and greatest when it comes to equipment like printers, copiers or scanners. There are companies like JJ Bender that sell used and refurbished machines like used wide format equipment that look and function just as well as brand new ones. Similarly, you don’t need to buy brand new furniture just for aesthetic purposes, especially when equipping areas in your office that won’t get a lot of customer traffic.

Consider attending a “going out of business” auction to get a great deal on good office furniture. If you plan to buy used printers, copiers, scanners or the like, make sure to source them from a reputable company such as JJ Bender. They have almost 40 years of experience in the business and have thorough quality checks in place to ensure that every piece of equipment they supply is up to standard.

Review Your Vendors Regularly

Every year or every six months, review your list of vendors and suppliers and your existing contracts with them. Check out their competition and see if they are offering more competitive packages to make sure you are getting the best possible deals.

Don’t be afraid to let your current vendors know that you are considering other options (though of course you should not be obnoxious about it.) You might be surprised to know how much your pricing could improve once your vendors are aware that they have competition for your business.

Save Money on Supplies

Take some time to think about how many supplies you really need, and what supplies are essential and which ones you can do without. You can save a lot of money simply by cutting back on office supplies.

Encourage your employees to reuse and recycle supplies as much as possible, and consider going paperless in your office. Advances in technology and cloud-based services have made it easier than ever to go paperless, and this is not only a cost effective business practice, but it is also one that is good for the environment.

Go Green

In relation to the above tip, going green is one of the most effective ways to reduce your business expenses. The more energy efficient your office is, the less you will have to spend on utility costs.

When shopping for office equipment and appliances, make sure to buy energy efficient models. Switch to energy efficient lighting and use natural lighting as much as possible. Train your employees to practice green habits such as turning off and unplugging equipment when not in use, and encourage them to reduce waste whenever possible. These simple habits can go a long way towards making your business a more cost effective and environmentally-friendly one.

Running a cost effective business takes some careful planning and restraint. Practice making practical choices and soon you will find it easier to stick to your budget and save more money to use in other important business activities.