Starting a business is exciting and scary in equal measure. This is especially true if you are on a budget and are relying on the business being a success. You will be aiming to not only recoup your initial investment but to grow it, building a reliable source of income that is reflective of the time, effort and passion that you will put into it.
Depending on the type of business that you are launching, there are ways in which you can minimize your expenditure whilst still projecting the image that you wish the public to recognize you for.
Research
When you’re writing your business plan, cost out options for delivering the desired outcome. Don’t just settle on the particular software, accountant or supplier that your competition uses because, “If they use them, they must be good”. Shop around, compare quotes and don’t be afraid to investigate cheaper alternatives. Often, you will find that alternative products and services deliver a comparable or better level of service or support at a cheaper price. Maybe they are just not as well known.
Do It Yourself
If you are comfortable with basic technology, you can save enormous amounts of money by designing your own logo, building your own website and printing your own flyers and business cards. Hiring a website designer could cost upwards of $10,000, but with a bit of time and know-how, you could build an advert-free website with a similar look and feel for less than $300.
If your skills lie in the practical rather than the technical, you could build your own or upcycle existing shelving to furnish your new business premises. This will not only save you a lot of money but provide a unique appearance to your shop front which is sure to be a talking point, especially when you show it off on social media.
Social Media
The days of advertising in the local press are basically gone. Modern consumers turn to social media to research businesses and brands and are heavily influenced by trends and popularity. This means that businesses can capitalize on free advertising to attract customers and the start-ups that are best able to embrace all that social media can offer are likely to thrive.
This form of advertising costs nothing but your time so use it wisely and develop a strong social media marketing plan to project your new business to the widest possible audience, attract the attention of influencers and keep your posts exciting and relevant. Remember to always engage with your followers, keep their attention, reward their contributions and regularly challenge yourself to do better. Take on board feedback and fine-tune your user experience to ensure that you are attracting and retaining the right clientele for your business.
Spend Wisely
There are things that you will have to buy for your business to run successfully and others that will enhance the customer experience or provide you with valuable data which will make the outlay worthwhile. An example of this is your point of sale technology. If you are unlikely to handle large amounts of cash, a cash register may not represent best value for money, however an easy-to-use card reader will pay for itself very quickly, especially as many only charge a percentage of the sale price rather than a fixed monthly cost.
You will need to report your earnings and outgoings to the IRS for business tax purposes so buying software which is compatible with that which your accountant uses, or that allows you to easily categorize your data in accordance with the IRS’ Form 1040 if you plan to self-report and save on accounting fees will save you time and keep you safe from penalties.
Business tools such as budget friendly digital signs can be a cost-effective way to drive consumer behavior in store, and allow you to plan your layout to maximize the chances of link selling. They can also appeal to consumers who enjoy interacting with a digital presence and can be set up to work in a variety of ways to best suit your business and intended purpose.
Summary
By targeting your spending and investing your time wisely, you will be able to get your business up and running with minimal initial costs, helping you to see a higher return – sooner.
