7 Ways to Save your Start-up Money in 2022
Uncertain times have always been a catalyst for opportunity. Changes in consumer behaviour, and their adjusted needs, spur new business ideas. Never has there been a better time to turn an idea into a start-up, than now. Irrespective of how great your idea is and how many investors you have at the ready, it is always a good idea to cut costs and keep overheads as low as possible while you grow your business.
Here are some ideas to save during the year ahead:
1. Ask: Do you really need an office yet?
Part of the excitement of starting your own thing is moving into that dedicated office space where ideas will surely flow naturally…An office makes a business look and feel professional, but on the flip side it also costs a whole lot of money.
If you can, work from home – it’s the closest to ‘free’ that you will get, so try to hold off on signing a lease for as long as possible. Some resourceful layouts in a spare bedroom or open plan living room can allow you, and even a couple of employees, to make the space work for you for at least the next six to twelve months.
Obviously, you’ll need to look the part for potential customers. Look into a flexible co-working option with a minimal monthly commitment.
2. Ask: Do you really need a ‘brick and mortar’ store yet?
If you have products to sell, start selling them online first. Yuppiechef did this for years before opening their seven stores. Brick and mortar stores carry a considerable monthly commitment whereas an eCommerce store costs a lot less.
An eCommerce store also allows you to sell your products nationally. Over time your online store can provide statistical information that may give you valuable insights as to how customers react to your products, and which location would be best suited for your first physical store.
3. Outsource & Automate
At the end of the day, you cannot run a business with only a couple of employees. Consider outsourcing small business functions like marketing, accounting, IT, HR, legal, sales etc. to specialists in the field, and save!
Also, every business has mundane, repetitive tasks that can be automated. Things like the monthly invoice run, follow-up emails, report generation etc. Automation software can help you do these tasks, and the cost is far less than employing a full-time person to do the job.
4. Buy smartly: Look for bulk deals, and second-hand or refurbished equipment From buying office supplies to investing in stock and raw materials, buying bulk almost always costs a little less, which means your profit margins will be slightly bigger.
Every start-up, whether starting from rented or owned premises, will need furniture and office equipment, but these items do not always need to be brand new,. Refurbished and older models of equipment will be just as effective and help you cut costs.
5. Negotiate & Barter
There is no harm in asking for a better deal, freebie, or an exchange of trade options. Suppliers are also looking to close a deal and build loyalty and trust with their retailers, and the worst thing that could happen is they could say “No”.
6. Think: Inbound Marketing
Inbound marketing is the use of content marketing; blogs and videos, SEO, social media marketing, paid search and opt-in email marketing to attract customers by solving the problems they have.
Compared to outbound marketing; television, radio, billboards; or magazine advertisements, which are all a direct sell. Inbound marketing also costs a lot less, is easier to track and delivers higher returns on investments (ROI).
7. Think: Uncapped Voice
You won’t run a business on anything other than uncapped ADSL or Fibre, why not think the same about your voice calls? Making and taking calls is part of everyday business, so instead of taking out cellphone contracts for every sales agent, or installing a landline for customer service operators, why not consider using Domains.co.za’s Hosted PBX in the Cloud instead?
Your team will be able to make an unlimited amount of landline or cellphone calls via an app on their mobile devices, or desktops, that has all the professional features of a traditional switchboard, yet none of its challenges. Plus, it will save you a great deal of money.
For every business idea, domains.co.za has the right domain name to match, and the best in local website hosting to power it online. Our range of innovative and affordable value-added solutions like uncapped voice in the Cloud and domain and hosting reseller opportunities make domains.co.za the ideal partner for South African entrepreneurs and start-ups.
Will 2022 be the year to take your idea to the next level?
It all starts with a domain name. Register yours here.