Your top three expenses are your employees’ wages, inventory, and rent. According to a new infographic from Bolt Insurance, 1 in every 5 dollars your business earns goes toward paying your employees. That’s a tough expense to cut, but there’s a lot you can do to reduce your costs on equipment, taxes, utilities, phone service and shipping.
You might not save a lot right off the bat, but these kinds of savings add up once you’ve implemented a fair few. Bolt offers us 16 ways to save on the top 10 business expenses. Some of the great tips include:
- Keep Payroll Taxes Down: Offer employees added benefits instead of bonuses
- Reduce Your Hardware Footprint: Desktops use far more power than new laptops or tablets – when computers break, replace them with new models
- Rent: Even though you have a fixed lease, given the state of the economy, you can negotiate
- Accrue Interest: By making your bank deposits early in the day, you can get credit (and start accuring interest) that same day
- Utilities: Change your light bulbs, turn off the lights when you’re not using them, shut down your computers at night and switch off your surge protectors to avoid any electricity vampires like cell phone chargers
Check out these tips and more right here:
These kinds of savings can definitely add up. How do you cut costs in your business? Tell us your tips in the comments below!