When 2021 came knocking at the door we thought that we have left behind the worse and now only good can happen. But we were all wrong as the second wave proved to be more devastating than the first one. Every sphere of life was affected. The business was hard hit. Many entrepreneurs were forced to give up their dream due to the cash crunch. But we have to move ahead and again dream of a better future and for that, we have to get ready from today onwards. Money can be very crucial at times. So, saving some for the rainy days will do well for all, especially for the people who solely depend on their business to earn their living. One of the renowned financial advisers, David JC Cutler, has suggested that you can start by following certain steps that have proven beneficial for other companies during the pandemic.
Stop automated expenditure at once
Running a full-fledged business can be hectic at times. So, we resort to many automated services to lessen our burden. But this pandemic has turned everything upside down. If you are a businessman who has automated recurring expenditures, then stop them immediately as you might not need them any time soon. Like if you are still paying rent for your office space thinking that you won’t be able to get a place like that afterward and do not want to lose it, then please be practical. You don’t know for how long we have to stay inside our homes. So, if you stop paying the rent, you can save quite a lot of money. Other things you should consider reviewing are your insurances, office electricity bills, phone bills, and similar other expenses.
Stop expensive allowance and according to David JC Cutler it would be better if you can do away with it
Companies give perks to keep their employees happy and satisfied. But considering the present scenario, such things should be avoided to curtail the expenses. Certain perks like the food cost can be stopped as people are not coming to the office at all. Free membership at a renowned gym can be swapped with a health insurance plan that might prove to be more beneficial to the employees in the long run and thus can help you to save a significant amount of money.
Change your hiring policy
A general trend that has been noticed during this time of crisis is that many companies decided to change their hiring policy. They are looking for freelancers instead of regular full-time employees. Because both will be working from their home! When this thought was put to practice it was seen that the companies have been able to curtail the cost to a great extent.
Say no to marketing cost
We are now in survival mode. There’s no need for flashy billboards or other elaborate marketing strategies. As of now, it would be wise to embrace the world of digital marketing.
Opt for automation where it is truly necessary
Using automation technology can be fruitful now as that would save many manual working hours. Automated payroll can make a huge difference to a business. You can use this technology in other fields as well like electric consumption. Automating the financial management software can also be a good idea.
These things when put together to action can reduce your company’s cost by a significant amount. Try them out to see the result.