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Saving Makes "Cent"! 10-ways to save big!
by Yelena Bash

In 2005 small business spending grew 5.4 percent to 4.7 trillion dollars in the US. It is projected that this number will jump to 4.9 trillion dollars by the end of 2006. What are small businesses spending their money on? It was found that 17% of the 4.9 trillion dollars goes to raw materials and manufactured goods alone! Isn’t there any way that some of this money can be saved? The answer is simple...shop around for the best deal!

A few weeks ago, my boss asked me to buy toilet paper and a couple of Snapples for the office. He left me twenty dollars and told me to feel free to pick up anything else that might be needed for the office on this limited budget. I returned to the office with a twelve pack of two-ply quilted toilet paper, a 10 pack of sponges, a lint roller, air freshener, a box of 15 garbage bags, 6 mango Snapples, and a $1.85 change. He was amazed to see how many items I was able to purchase with less than twenty dollars. Although this is just an example of small savings, this can be applied on a grander scale where thousands and even millions can be saved. What’s my secret? I shop around. I used my CVS savings card for the toilet paper and used my Waldbaum’s savings card for the Snapples to save a total of over five dollars. The rest I found at the local dollar store for a bargain!

Here is a list of 10 ideas to decrease overhead on your business:

1. Need to Make Some Pricey Purchases? For big purchases, shop around online for the best price. For electronic purchases, I recommend etronics.com. If you see a lower price somewhere else, you can usually show it to any supplier or vendor and they will match it!
    
2. Need Software? Get free software! Visit Download.com* to try hundreds of software products for free through trial downloads, freeware, and limited versions of the full product.
    
3. Do a lot of Printing? Buy recycled printer cartridges from a local supplier like Cartridge World and save big bucks.
    
4. Do a lot of Bulk Mailers? Clean up your mailing list with the US Postal Service. They will correct addresses and add zip codes with the four-digit ending for free! This will make you eligible for bar-code discounts.
    
5. Need Supplies? Try to negotiate a discount for long-term buying commitments. In other words, if you regularly use a particular product but cannot buy it in bulk due to lack of storage, ask your supplier for a bulk rate anyway. Just as long as you commit to purchasing a certain quantity over a specified time period.
    
6. Want Rewards? Join a rewards plan such as the one that Staples provides to its small business owners. This will provide you with points to use on later purchases and discounts! You will also get an agent that will help you pick out items that may be best for your business and budget.
    
7. How to Save When Paying your Bills…Pay your bills online. This will help you save time and money on postage. Also, many companies offer discounts to customers who pay online.
    
8. Save on Advertising…Split advertising and promotion costs with a neighboring business. Share mailing lists, distribution channels, and suppliers with another business to save on cost.
    
9. Join a Trade or Business Association…Many of these associations have reasonable membership fees and offer discounts on everything from insurance, travel, and car rentals to long distance phone service, golf course fees, and so on.
    
10. Make a barter agreement…Find a business that offers products and services you use and offer a trade. This will save you money and benefit everyone involved in the deal. The value of bartered goods and services may also be tax deductible; check with your accountant for details.

Decreasing your overhead means that more money will be coming in and staying in! Utilizing the tips provided above will help your business cut down on overhead and make you more money. So, stay in the black this year by cutting costs wherever you can.
 

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