Running an office has a high overhead cost that becomes the focal point of attention for businesses looking to become more profitable. However, it’s those little costs that add up over time and do the most damage to your bottom line.
There are many different approaches you can take to cutting your office operating costs. Here are five that have the potential to have the greatest impact on your profitability.
Shop Around
Many businesses make the mistake of skipping the good old-fashioned process of comparing prices and shopping for a deal. They consider their purchases a business expense and tax write-off and don’t consider any alternatives. This is a big mistake that can cost a company thousands of dollars a year.
Take time to shop around and be frugal. When looking to have new promotional materials printed, browse for Vistaprint coupons at Deal News. If you’re looking for new office chairs, look at bulk options from various suppliers or search for blowout sales to pick up some odds and ends. If all else fails, tell your supplier what their competition has offered you and see if you can get some price matching.
Know When to Outsource
Having employees is a significant operational cost. In addition to paying them their compensation and benefits, you need to provide a place for them to work, the computer, energy to run the computer, pens, paper clips, and so on to get things done.
Consider outsourcing tasks to contractors rather than employees. When you do this, the onus of office supplies and space is put on them. Additionally, you have the option to pay them for brief periods of work as you need them rather than steady employment. Outsourcing also applies to having promotional materials designed and printed, rather than investing the time and ink it requires to handle it yourself.
Use a Shared Workspace
If you require the traditional office setting for your team to work effectively, forgo the capital investment of buying a space. Rather than struggling to find a space that’s big enough or dealing with the added expense of renting a space that’s too big, use a shared workspace.
With a shared workspace you rent space in a larger office area. These are often modern with up-to-date perks, like wifi that’s included in your monthly payment and presentation equipment. Some workspaces even have gyms and cafes on site. This is great for businesses that can’t commit to a space for very long or have special needs.
Go Paperless
Short of business cards and promotional materials, it’s rare that a business actually needs to have paper. There are some teams that work entirely online, without ever printing paper. Make the shift toward going paperless in your office, evaluating how much it costs you annually to print, staple, highlight, and write. Start by shifting to paperless invoicing – this will also help you cut down on mail and processing fees.
The one challenge with going paperless is ensuring you have adequate documentation for taxes and potential audits. To get around this, you’ll need to ensure you have adequate cloud storage for documentation and strong virtual paper trails.
Create a Remote Work Policy
Create a company culture that promotes remote work. Rather than investing in desktops, provide laptops that employees will be able to take home with them. Allow for flexibility surrounding when employees are expected to be in the office.
Not only will having a remote work policy cut down on the costs of maintaining an active office, but it will also empower your employees to find a healthy balance between their work and personal lives. This improves employee engagement, productivity, and ultimately your bottom line.
To cut your office operation expenses, think about where you’re spending money and how you can work smarter. Search for deals, outsource when appropriate, and take a more flexible, modern business approach.
