How to Build a Business on a Lean Budget.

It is indeed true that you have to spend money to make money. However, what happens when you don’t have the kind of money you need to make the kind of money you want? What do you do? There is a very important question that seems to trouble countless business owners. That’s the question of how they are going to run a successful brand on a tight budget. 

Having a business is one thing, being able to manage is another. It is no surprise that being able to manage one’s business on a lean budget is considered a jackpot for many. As a budding entrepreneur who has limited resources, there is no shame in wanting to have a booming brand without having so much hassle, money-wise. There are so many business owners who still have to use the income from one job or business to fund another business. How do people in such situations cope with their tight budgets?

As you read further,  we are going to provide you with ways with which you can run your business while on a lean budget. This article will provide 5 ways with which you can run and manage a solid brand on a budget. 

1.    Reduce your running cost 

Reducing running costs is one major way with which one can effectively run a business. Whatever cost you seem to have incurred that is not important should be cut off. For instance, if there is going to be a need to lay off dormant members of staff, then by all means you should. Some companies choose to cut the cost of internet expenses, buy used equipment in place of old ones, opt for getting interns or volunteers and so on.

2.   Embrace working remotely

Remote working is the new normal. The covid 19 Pandemic, although a devastating period exposed some of the goldmines that were never considered before the pandemic. Remote working became popularly accepted and this has helped squash some previously held notions, attached to working remotely. 

The question is, why spend so much on office spaces and maintenance when there’s no need to? If your business does not need an office space to function, then there is no need to get one. Remember that, getting an office space doesn’t end there, you would most likely need to get furniture, office paintings and designs, pay utility bills for it to truly serve clients and members of staff.

3. Avoid wrong marketing expenditures 

Yes, marketing should be a great priority for any company. However, in focusing on marketing, we should be very careful with the type of marketing platforms we opt for. Know the type and kind of marketing that works for your business. Do not spend money on unproductive marketing campaigns. 

4. Avoid getting unnecessary office gadgets and equipment 

For business owners that have offices, know the kind of office gadgets and equipment that catches your fancy. Do not buy gadgets that will not make the members of staff more efficient and productive. If it’s an important piece of equipment, get it! If it’s going to be a liability in the long run, just make sure it is a necessary liability.

5. Eradicate debts 

The bottom line is, you need money. How can you get money? It is important to emphasise that services are paid for before any job is being done. Make it a culture in your organization. There might not be a need to emphasize on full payment before the service has been rendered to the client but, make sure a specified percentage has been settled before the commencement of any job. Do not put yourself in bad situations because you need clients. Avoid debt and bad investment. Most importantly evaluate your business plan properly before starting up any business. 

In conclusion, for any business to be able to survive on a lean budget then some very major steps would need to be taken. In all of this, you must not be afraid to do what is best for your company, discipline yourself and your mind. Don’t be scared to ask for professional help. At Conedge, we help and offer you consultancy expertise that will give you answers to transforming your business. Talk to us Now