New research from the Forum of Private Business (FPB) has revealed that it is becoming more expensive to run a commercial enterprise. With inflation falling too, it leaves business owners scratching their heads as to how to keep their company profitable despite these barriers.
According to its ‘Cost of Doing Business’ survey, the FPB has found that some 63% of ventures are reporting that it is costing more to keep going. Three of the biggest expenses are listed below and, in the interests of making the most of the money coming into your business, we’ve come up with a few tips on how to combat them:
Energy
Soaring energy costs are the chief kvetch of business owners, with 70% saying that they are spending more on utilities. It’s well documented that energy companies have hiked their prices over the last 12 months, so it’s little surprise to see companies being forced to be more resourceful or pay the price.
Our best advice here is to shop around. Sites like Money Saving Expert are becoming increasingly tuned in to the needs of businesses, as are price comparison sites. Of course, sensible measures like not leaving appliances running unnecessarily should be practiced whatever deal you strike with your provider.
Transport
In an advancing world, transport is becoming increasingly expensive and time-consuming, and was mentioned by 65% as being another increased cost. It’s therefore worth considering how often you need to do it, and whether virtual meetings may be a more economical option. Make sure you are claiming the expenses you can from HMRC as well.
If you travel by train, you should be aware of some of the discount cards available. The recently launched Two Together Railcard is ideal for business partners who travel together. For £30 a year, two co-travellers can each enjoy a third off their fare, so even one trip a year from Manchester to London, for example, could make this a worthwhile investment.
Staffing
With 65% of businesses citing an increase in staffing costs, this is a timely reminder that the solution to an increased workload is not always simply to bring in new bodies.
Outsourcing finance tasks like bookkeeping is a way to get an essential aspect of your business covered professionally and without the added expenses and responsibility of recruitment. Businesses that use accountancy solutions providers from outside of the workplace can save time and therefore money, while still having an accountancy expert just a phone call or email away.