14 Apr Keeping Your Startup Lean in the Early Years
It is difficult for a business owner to keep his or her costs low when starting out. While it isn’t easy, with a few steps, one can offer valuable products or services without going over their budget. With this in mind, here are four tips to keep startup costs lean in the early years.
Accept credit cards without paying massive fees:
When signing up for a merchant account, one will pay plenty of fees. Not only do merchant accounts cost money to open, but one needs to pay fees to accept payments. While it is easy to sign up for a credit card service provider and move on to the next job, an entrepreneur can lose hundreds of dollars a year if he or she doesn’t run the numbers and find a quality provider offering low fees. Luckily, once a business owner finds a quality credit card processing provider charging reasonable fees, one can move on to their next task.
It is easy to find a marketing company and pay them to run the entire campaign. However, it’s costly and a new entrepreneur needs to take on this task his or her own. With online business marketing strategies such as Facebook and SEO, a company owner can land clients without spending large sums of cash. When running a practical online marketing campaign, a company owner can land clients from all over the world, all without spending a dime.
While tempting, a new business owner can’t run out and hire a dozen or so employees. In the beginning, an entrepreneur can save money and land quality workers by hiring part-time contractors. When hiring a contractor, not only will an organization lower its expenses, but it will hire the best man or woman for the job as contractors will have a specific skill set. Since labor costs add up quickly, one will save plenty of cash by making this simple move.
Minimal offices: Unless necessary, a company owner doesn’t need to spend lots of cash to move into a huge office building. Instead, with a simple office, one can still find clients and save money. If possible, in the first year, the business owner should run the organization out of his or her own house.
With these four simple tips, one can save money and enjoy profits sooner.