The sheer amount of financial and logistical obstacles that small businesses face is incredible. Most people have no idea what kinds of challenges await budding entrepreneurs and small business owners, yet anybody in charge of their own enterprise can list dozens of problems and tribulations.
Arguably one of the biggest challenges newer small businesses face is financial in nature. While great ideas and solutions can yield massive profits over time, initial start-up costs and day-to-day operations in the short-term can be monumental. As such, saving money whenever and wherever possible is absolutely imperative.
To assist with this goal, we’ll be looking at 4 cost-cutting, technology-based solutions that newer small businesses should take advantage of.
Take Advantage of Open Source Solutions
Sone of the biggest costs to businesses, in general, are software, licensing and other technology-based solutions. Ultimately, vendors across all industries make a fortune offering “business-grade” products and services, which are often overpriced and underdeveloped.
The world of tech is becoming increasingly accessible thanks in part to open source solutions. The software in the form of programs and apps are particularly prominent in this category with open source alternatives for most major forms of software imaginable. Many are free or available at a significantly reduced cost when compared to their competitors.
To underline just how pervasive open source solutions are today, take a look at Upverter. This browser-based open source solution is used for designing electronic products such as circuit boards and controllers. The Upverter download section of their website has hundreds of unique designs submitted by its community. Anybody can try out this open-source solution via the Upverter download section of their website.
Contract Rather Than Hire
Traditionally, small businesses had to rely on employees physically-based near or at their base of operations. In today’s tech-driven world, emerging small businesses can instead contract with part-time or temporary firms and do so from anywhere in the world.
Many small business roles and needs can be filled remotely, with services available for businesses of all types. These “remote employees” can help keep costs down when compared to traditional employees (who often receive various benefits and mandate additional taxes be paid). It can also be a great way for small businesses to perform a trial run for one or more roles before committing to full-time traditional employment.
Evaluate Insurance Needs
Many small business owners are concerned over the level of coverage they have regarding insurance – and for good reason. However, needs change over time and especially in the early stages. One potential cost-saving measure involves using a variety of business insurance platforms online. Solutions such as CoverHound & Insureon can fetch dozens of business insurance quotes in one sitting.
With this information, you can determine not only whether you’re getting the best price for your level of coverage but also whether the coverage you have can be reduced without substantial risk.
Utilize Cloud Services
Last but not least, every small business should look into cloud computing services if they’re looking to save money. With a world of cloud services available, businesses can save on everything from program licensing to storage costs by opting for all-in-one cloud services rather than stand-alone solutions.
Additionally, cloud services can help emerging small businesses avoid needing to purchase various forms of expensive hardware and peripherals, arguably helping it to pay for itself over time.
Small businesses (and even those destined for success) will struggle financially in the beginning. Minimizing costs as much as possible should be a top priority. With these four tech-based solutions, you can cut costs and help eliminate any red ink from your budget.