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Some of the highest SMB costs can be a very negative presence for your company. And you may even find you are struggling as a result. Which isn’t great if you are a mom with a family to support using your business. So here are some handy tips to reduce your outgoings a little.
Shipping, Of Course
Finding the right partner for shipping is essential to keep costs low, and you need one that understands your needs. And shipping gets expensive. But you can cut costs by finding the right partner. For instance, one that offers freight shipping quotes for time-sensitive deliveries to make sure you don’t incur charges from disgruntled customers. Other ways to cut shipping costs include reducing the weight of a package, pre-paid shipping, and switching partners.
Necessary Office Supplies
No matter your business, you will have costs related to materials and supplies. And even the smallest business can have high costs when it comes to just running the office, with an average cost of almost $100 per day per employee. But there are some things you can try to cut costs. Commonly, simply keep track of inventory and order when necessary. But you can also look for suppliers that offer deals on bulk buys and cut office waste with recycling and reuse policies.
The Highest SMB Costs Includes Staff
If you own a business, then you know that labor costs are the highest expense you have in most cases. Apart from the obvious route of letting people go (which should be a last resort), you can try some ways of getting this down. First, you can put a hold on overtime. You can also reduce working hours and offer better training as a means of retaining skilled workers. Additionally, you can use staffing agencies to hire employees on an ad-hoc or temporary basis when needed.
Expensive Utilities
There’s hardly a single person on the planet that hasn’t been affected by the massive increases in energy and utility prices. Apart from the wealthy, of course. And it is having a big impact on business that doesn’t share the same protections as residents. So, the first thing you need to do is reduce how much energy you use. Automatic lighting, shutting down machinery when not in use, and even switching suppliers will help you. And of course, educate your staff about energy.
Fleet Management Costs
Your business might rely on using its own fleet of vehicles to operate. This can include deliveries, employee transport, and moving cargo. And fuel alone can be almost crippling when it comes to the costs of fleet management. But there are other things, such as insurance, maintenance, and bad driving habits, that contribute. However, with fleet management software like Fleetio, you can track damage, driver behavior, and where to change routes for saving fuel.
Summary
As a mom, you might run a small business on the side or full-time. But some of the highest SMB costs you need to cut include shipping, any employees you have, and the cost of fleet vehicles.
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