Often, when you are thinking about improving profit, you think of generating more sales and income.
Have you considered the other side of the equation – your expenses?
The best part about this is if you can save some expenses in your business it goes straight to your bottom line.
You cannot cut all your expenses or stop spending money because you need a base level of expenses to run your business. However, if you selectively target a few key expenses in your business and renegotiate with your suppliers, that can be a real win in improving your profit.
By doing so, you are still getting what you need but you are also doing it at a greater profit.
Here are four things to help you get started:
1) Start asking
If you don’t ask, you will never get what you want. You will be surprised at some of the savings that you can get just by asking.
2) Even small reductions can improve profit
Even if you can get a 2%, 5%, or even a 10% discount on some of your current suppliers, that can add straight to your bottom line. Think about the difference to your profitability over a year. Go for the small wins as they can make a big difference when they add up over time.
3) Do some market research
You do not necessarily have to go and change suppliers but make sure that you are getting a competitive, market-relevant price deal.
4) Change your buying habits
For example, if you have been ordering supplies on an ad-hoc basis, consider how much you can save by ordering supplies for the whole month or year. Most suppliers would be able to issue a better deal if you are buying in bulk.
The key here is to think about the areas in your business where you could be negotiating a better deal with your suppliers or changing your buying habits.
P.S. Whenever you are ready here are 4 ways we can help you build and grow your business:
1) Download your copy of 3 Proven Tactics That Give You 5 Hours Back in Your Week
This totally free guide includes tips, time-savers, and expert advice on how to immediately claim back 5 hours of your time each week. Inside you’ll discover 3 proven tactics to stop time being wasted in your day so you get more done each week. To access the guide click here
2) Watch the Business Freedom Formula Video
In the video you’ll to discover the step by step blueprint we use to help small businesses create their version of business freedom. This could be simply streamlining your business so it runs more efficiently, increasing your profits so you have more choices or setting your business up so you can have time off without worrying that it is all going to fall apart. Click here now to watch
3) Book a 10 Minute Exploration Call
If you would like to explore how Biznostics can help you run and build your business, then book your 10 minute exploration call. On the call we’ll find out a little bit about your business and work out if and how we can help you. Book your call here
4) Join our Business Freedom Program
The Business Freedom Program is designed for business owners who feel stuck in the day to day running of their business and their business is not running as efficiently as they like. It helps you make your business much more profitable, much more efficient and much more enjoyable to work at. We are putting a new group together next month so if you would like to build a strong and successful business email us here with ‘Business Freedom’ in the subject line.