Need Money for your Business Right Now? Here is Where you Should Start Cutting Back

Some seasons are slower than others. For a lot of businesses, unless you’re an ice-cream stand, business seems to slow down exponentially during the summer months. Depending on just how slow, and how long the dry spell lasts, the summer can hit your business pretty hard.

Summer slowdown
photo credit: Vicenzo Giordano

A good way to get some of that lost money back is to cut back here and there at the office. Here’s where you should start, and what will save you the most amount of money:

Pay credit card bills soon after they arrive

A good place to start getting money back, and stop losing money, is to stay on top of your credit card bills. If you miss the due date, you’ll be charged a late fee, typically $39, or interest on the old and new balance. Have whoever’s in charge of physically paying the bills mark a calendar, or put a reminder in their phone when the bills are scheduled to come in. It’s a small thing that can save your business a lot of money in the long run. Plus, it will help for organization to not have piles of old bills lying around. Set aside a file for paid bills, and don’t let unpaid bills sit for more than a day without being paid.

Shop or negotiate for cheaper credit card processing service rates

Credit card fees have a way of piling up. Along with the late fees, lessen your processing service fees, if you can. Talk to your credit card provider, you’d be surprised how agreeable they can be with a genuine conversation and a little honesty.

Renegotiate your lease or move

Depending on the economy in your area, and if you push hard enough, your landlord may give you a better deal. Especially if you’ve been renting from one landlord for so many years, a lot of the times it’s easier for them to agree upon a new price than go through the hassle of finding someone new to rent the space to. And if your office space is just too expensive, even with a reduction, it may be time to look into moving.

Cost cutting
photo credit:

Cut back on insurance expenses

Reevaluate your business insurance. Make sure the coverage you’re getting is right for your business. If your business is organized as an LLC or corporation, the insurance you’ll need will be different than if you are a sole proprietor or partner and therefore personally liable for business losses. Be aware of what you have and what you need, so as to make sure you aren’t spending more than you need to.

Reevaluate where you’re spending for marketing

There are a lot of very effective, free marketing tools out there. You can still get the word out there about your business without spending a lot of money, if any at all. The basic profile of just about any social media outlet is free to utilize. Give the paid advertising a break if you need to do some extra saving. Instead of paying hundreds for a press release every month, maybe take a break for a couple months and give some free or cheaper outlets a try.

Eliminate optional spending

If you were planning on buying new equipment or hiring additional employees, wait. Try to make do with what you have. Utilize your employees and evaluate roles and responsibilities. This could be a great opportunity to move some of your part time employees, and move them up to full time. It’s better to not hire than to fire.