Saving Money for Your Business in Eastern Ontario
Regardless of the size of your company, having management information tools in place will assist you and any other shareholders of your company in better managing cash flow issues within your business. Understanding how to manage expenses wisely to avoid financial pitfalls and grow the profitability of your business requires time and effort.
If your business is suffering from ongoing negative cash flow or possibly facing corporate insolvency or bankruptcy in Kingston, Ottawa, or surrounding areas of Eastern Ontario, the same tips can be applied to help your business overcome this challenge. It is natural to experience ebbs and flows in business cycles. At D. & A. MacLeod, our team suggests the following tips to assist in increasing the company’s bottom line.
Evaluate your Environmental Impact
Eliminate excess printing costs. Excessive and unnecessary printing is not only damaging to the environment, it is also increases business costs needlessly. Consider sharing documents online and storing files electronically in a secure space is often free or otherwise inexpensive. Similarly, turning off electronic devices – such as computers, photocopiers, printers and vending machines – once employees go home, will help you avoid unnecessary expenses.
Investing in energy-saving equipment and fixtures is another effective corporate strategy. Both the federal and provincial governments, as well as utilities may also offer grants, rebates and tax credits depending on the program. Consider switching to compact fluorescent light bulbs; recycled ink cartridges; as well as adjusting air conditioning and heating when there is less traffic in the office or it is closed. If you are opening a new business, you may want to consider searching for leased space. You’ll also want to ensure that the premises are adequately insulated for our climate. If not, try to have the landlord agree to upgrade the space. In the end this will increase the bottom line.
Humanize Yourself with Employees
Giving employees more reason to care about their work by entrusting them with your business and making them a part of the decisions will help morale and increase productivity. You should always strive to hire individuals with whom you feel are capable of being put in this position. Travel more effectively on business trips by booking flights and hotels in advance and choosing less expensive options. This will also help to decrease unnecessary spending.
Develop Good Relationships
Depending on the size of your business, employing numerous people can become very costly, but many individuals with special skills are now happy to freelance. If you hire contractors to work remotely or in temporary roles, provided they are not defined as employees under the Income Tax Act, you can make significant cost-savings by not keeping them on your payroll and avoiding certain expenses such as vacation pay, insurance, and other costs. Consult your tax and or accounting professionals to assist in determining if this is a viable and allowable alternative under the Income Tax Act.
Network where possible. For many businesses, it can be valuable to partner with related businesses to save money in areas like buying supplies, recommending each other to clients, and even providing less expensive services or products to one another.
Shop Around for Deals on Insurance & Software
Compare insurance companies and offers from various other suppliers to find the best rates for your business. Although you may have already found ones you like, you could be paying a premium for roughly the same product or service. Many companies will also give you a corporate discount; if they do not offer one upfront, simply ask. Buying in bulk may seem like an automatic cost-savings, but it naturally saves you money to buy only what you need now and in the not-so-distant future.
Take advantage of trusted free trial software before committing to making any purchases. Furthermore, you may save money by deciding to purchase gently used furniture for the office, rather than high end, brand new items. If you have expenses such as credit cards, loans, and membership fees, ensure that you are up-to-date on all bills to avoid racking up late payment expenses.
Specializing in Bankruptcy & Corporate Proposals for Ottawa Businesses
Whether you’re experiencing significant financial concerns with your business, or are simply looking to speak to someone about the best ways to budget and save to improve stability, our team is prepared to speak to you. Talk to an experienced Licensed Insolvency Trustee (LIT) at D. & A. MacLeod today about your options for corporate proposals in Ottawa, insolvency, and many other solutions depending on your situation.
We specialize in providing assistance to businesses and individuals, and will provide a free, initial consultation to discuss your financial options. Let us assist you on the road to a new beginning and will meet at the location nearest you. We are conveniently located in Ottawa, Kingston, Smiths Falls, Orleans, Pembroke, Brockville, Cornwall, and Kanata. Contact us today at 613-236-9111 to book an appointment.
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