Saving money and cutting costs as a small business can be tricky—if you’re a startup in the early stages especially, money might be tight already. We’ve compiled a list of money-saving tips—ways for you to trim overhead here, and increase efficiency there, until your business is on its way to better financial health.
1. Go green
You’ve heard it before and it’s still true: going green saves green. Whether you’re running a home-based business, office, storefront—whatever kind of space your business is using, the more energy-efficient your space is, the lower utility costs you’re going to have.
2. Use own-brand or generic brand goods
It’s always tempting to buy the name brand, but it’s rarely worth the money. If you’re looking at buying goods for your business, just go with generic (or as they say in the U.K., own brand); the box may not be as pretty, but the product will be the same.
3. Sponsor community events
There’s a wide range of reasons why a business may need to throw an event, but you likely will need to at some point, and they can certainly be costly. Joining together with another business as a sponsor to support or put on an event can mean a higher quality event and more press for all involved, simply because you’re able to share resources.
4. Barter with other businesses
Especially with other businesses, bartering might seem old-school but can still be effective. If you need a good or service and have something of value to offer in return, this could be a good route. Approach these types of agreements with a spirit of generosity. Make sure you know the value of what you have to offer, as well as what you’re asking from the other business to avoid insulting or embarrassing anyone.
5. Cut down on meetings
Cutting down on meetings is one crucial way to save money. Not convinced? The next time you’re in a meeting, do some rough napkin calculations based on the number of people in the room, and the average hourly salary you’re paying them. Sometimes the results can be staggering.
6. Hire capable employees with little work experience
Hire curious, capable people who are early in their careers. This might initially seem counter-intuitive, but people with little work experience are looking for entry-level positions and salaries, which saves your company money. Of course, there may be times when a more experienced candidate makes the most business sense, but often a solid employee with little work experience just needs a foot in the door, and you’ll find them competent and eager to do well. We all had to get our start somewhere.
7.Consider outsourcing or contracting some work
For those moments when you have smaller tasks that don’t warrant a new hire but that you just can’t add to your already full plate, Simon Slade of Affilorama suggests outsourcing, which is also called micro-contracting. He suggests sites like Elance and oDesk for those tasks that you just need to delegate.
8. DIY marketing and PR
Learn everything you can about marketing and public relations for your industry, and make sure you’re putting your best foot forward when you promote and talk about your business. Hiring a PR firm can be very costly, and if you’re passionate and knowledgeable, you could be your own spokesperson.
9. Ask for a discount. So simple, yet often very effective. Just ask whatever vendor if they have promotional offer or rate and what it might entail. It won’t always work, but when it does, it’s so easy and worth it.

