Starting a new business is one of the most exciting moments in life. But if you’re a numbers person, it can also be overwhelming and anxiety-inducing. Fortunately, there are ways to save money and avoid debt as a brand new entrepreneur. And as they say, “A dollar saved is a dollar earned.”
How to Save Money as an Entrepreneur
Follow the steps below to cut costs with your new business effectively. Implementing these money habits will undoubtedly benefit you in the long term.
1. Don’t Lease Office Space
Living in a modern world offers the amazing ability to work from home. Not only will you save a substantial amount of money by not leasing an office space, but you can also write off part of your mortgage or rent on your taxes.
Depending on your business, you may be able to offer your services in the client’s home. Various business models are becoming more and more client-centric, meaning it may benefit the client even more if you go to them rather than have them come to you.
If you’re already locked into a lease or need a separate physical office location, there are still options for you. Try negotiating your lease or move to a shared office space.
2. Use Your Network
Chances are you probably know someone who has experience doing something you need for your new business. Whether it’s a graphic designer who can help you with your logo or marketing materials, an accountant who can give you financial advice, or a fellow entrepreneur in your industry who has already priced out services you need, reach out to them for their advice and help. You’d be surprised how many people are willing to help, especially when it comes to a good friend.
3. Utilize Cost-Effective Freelance Service Marketplaces
If you don’t know anyone who performs a job skill you need, try skimming freelance marketplaces like Fiverr. Services can start as low as $5 per job.
4. Re-think Your Marketing Strategy
Marketing can be a huge expense for any business, and when you’re brand new, you don’t want to spend all of your available capital on it. Re-think your strategy by being creative and finding other ways to get your name out there. Word of mouth is the most valuable form of marketing and doesn’t cost a penny. Anyone can start a social media account for free and reach millions of people through it. And going green will not only cut office supply costs, but it’s better for the environment and is its own marketing strategy.
5. Find Interns
Sometimes interns are the best people for the job. They’re generally well-versed in things like social media and are able to take care of tasks that require little to no experience. On-the-job training is also beneficial for them and their resume, so it’s a win-win for everyone.
Starting a new business can be a great experience. However, there’s usually a learning curve involved, and one of the most important parts is learning how to save money. Any way you can save will ultimately help your business be more profitable over time.