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When it comes to business these days, bootstrapping is the name of the game. That’s because every entrepreneur has to contend with two things when they first start their business: limited time and limited resources. To say that every dollar counts at this stage would be an understatement.
When bootstrapping, you have to look at every practical way to cut costs and maximize resources for your business without breaking the budget. The key to doing this is being disciplined and creative in how you manage the resources that are available to you. But how can you do this? Here are 5 ways that you can run your business on a tight budget while doing all growth hacks possible:
1. Cut Back Expenditure
The best way to save money for your business is to cut down all unnecessary costs. This could be anything from stationery and electrical bills to your monthly internet expenditure. For example, did you know that it is possible to run a paperless business? All you have to do is subscribe to great services like faxburner.com which allows you to send and receive free faxes to your mobile device. This will help you eliminate the need for a fax machine and cut down on most of your stationery budget.
You can also reduce your business costs by reviewing your monthly expenses. What other areas can you cut back on? A simple change like switching from a landline to a cell phone can help you save $100 or more on phone service costs every month. So question every expense and decide objectively whether it’s the best place to put your money.
2. Do More Yourself
Any experienced entrepreneur will tell you that this is easier said than done. Still, it is well worth your effort. If you’re able to take on some of the tasks you assume you have to hire someone to do, then you will save a lot of money. For example, would it be that hard to manage your social media or accounting software yourself?
We should do all we can to ensure that our businesses grow. If this involves buckling down and learning some new skills or taking on some new tasks, then get ready to do so. There are many resources available online that are geared towards entrepreneurs to help you get over any stumbling blocks along the way.
3. Outsource Menial Tasks
That said, it’s important to recognize that you can’t do everything yourself. The key here is to learn when to delegate the more menial tasks. You shouldn’t be responding to company emails if you can spend that time better by going after new clients or taking care of old ones.
If you must, hire someone on a part-time basis to take care of the less important tasks. This will free up your time to go after opportunities that will make you money.
4. Try Free Software First
One of the most significant expenses for any new business is software. While many of the tools you need are either free or very affordable, there will be some that will require a larger investment. In that case, see if you can get a free trial version of the software first.
You can usually use the trial versions for anywhere between 7 and 90 days, depending on the company. This gives you enough time to decide whether or not the software will help you be more productive and is worth the cost.
5. Work from Home
If you run a restaurant or store, this option might not work for you. But if office space is unnecessary at this stage in your company’s growth, then you can choose to work from home. Not only will this help to cut your operating costs drastically, but it will help you focus on the things that will help your company grow.