Want to know the secrets to starting a low-cost business?
We’ve all been there in business. In an environment where you look around and ask yourself…
Why are spending so much money on this?
Why did we invest in that?
And for those of us who are even more audacious – how does this person gets paid so much?
If you've found yourself asking these questions, then you’ll probably make a pretty good entrepreneur.
This is because most businesses are started on a shoestring budget. It’s not the money you invest which makes a business, but a combination of a great product or service and a solid business strategy.
If you feel you’ve got what it takes to start a successful business, but don’t quite possess the resources to get you off the ground, then check out these simple money saving tips which can help you start a low-cost business.
1. Free business
One of the first things you should so when starting a business is test out your product or service. This will help you optimise your offering before the big launch.
The best way to do this is by drumming up free business within your network. Speak with family and friends and see if anyone might be interested in making a test purchase (at a discount of course).
If you do a good job, you’ll quickly see the word spreading. Their network becomes your network, and hey presto, you’ll be making those all-important sales without having spent a penny on expensive advertising campaigns.
Here is a little more on beta testing, and how you can use it to help launch your business.
2. Free marketing
Utilising your network is not the only way of getting your business off the ground. There are plenty of other free marketing methods out there.
Social media is probably the most obvious one. You can reach an audience far and wide with a little time, effort and decent content.
There is plenty of merit in getting yourself listed on free business directories. Check out this list of the top 15 free UK business directories.
If you’re like us, you’ll want some simple tech to do all the leg work. Take a look at these 10 free online marketing tools that every “hands-on” marketer should use.
3. Free trials
Great software can be a big driver for business success. Another great money saving tip is to test out potentially useful software before committing to a purchase or subscription.
Most applications offer a free trial. This is a great opportunity to see if the solution works for your business and what you intend on using it for.
4. Anywhere offices
Some people need an office to carry out business. This can be one of their greatest expenses, and over time, this expense can end up crippling the business.
Businesses with enough revenue can manage these large expenses, and accept them as an important operational expense.
If you have a business that doesn’t need a physical office, then there are plenty of ways you can implement a virtual office wherever you may be.
Your website can act as a virtual storefront, and has the benefit of being able reach a much wider audience than your typical high-street store.
If you can afford to delay investing in an office, it’s certainly worthwhile. Work from home, use business incubators and co-working space, and invest the money you save in other essential growth areas.
I’m a firm believer, however cliché it may be, that time is money.
I know my strengths and weaknesses. Rather than spend time struggling to deal with a task that someone is better suited to deal with, I let them deal with it.
A simple principle which pays dividends in all aspects of business. Focus on what you do best, making your products or offering your services, and let the experts help you with the rest.
This approach will help keep the cost of employees down, until it becomes absolutely necessary to hire someone to complete a specific function within your business.
This is my favourite. If you’re a natural leader and mentor, this can be a truly great way of saving money, and passing on your knowledge in the process.
Interns are often keen to learn, develop their skills, and make a good impression – and importantly, people like this are relatively easy to find if you know where to look.
Interns can posses a range of skills, and can help fill that all important role which is too time intensive to deal with yourself, but also too costly to outsource.
Starting a low-cost business
These are just some of the simple ways you can start a low-cost business, but the list is endless. Think what else you can do to keep costs down, and how you can invest all that extra profit back into your business.
Do you want to learn more about running a low-cost high-performance business?
Then I might have something for you...
We have been developing low-cost tactics to create high-performing businesses decided we wanted to share what we have learnt with you.
So we developed a free email training course.
If you are interested. Click here. You won’t regret it!