Where does your company money go?

2024 Author: Malcolm Clapton | [email protected]. Last modified: 2023-12-17 03:44

Successful entrepreneurs explain from their own experience what they cannot save on and what they can.

Where does the money go?

The salary

If we are talking about a relatively large company, this particular expense item will probably be the largest. As a rule, there are no serious fluctuations here during the year, except that from time to time employees receive bonuses for especially large-scale projects.

Top 3 of our expenses:

1. The salary.
2. Advertising.
3. Servers.

Business service

This includes accounting, legal support, and technical services such as purchasing licensed software. You can save money here. For example, if you need the services of an accountant or a lawyer only a few times a month or less, it makes sense to look for an outsourced specialist. Perhaps it will be cheaper than constantly paying a salary to a person who sits idle most of the time.

Alexey Ponomar Publisher of Lifehacker

For outsourcing, it is better to choose not an individual specialist, but a company that provides such services. A person may get sick or not cope with the increased workload, and the organization has the resources to scale. In addition, such companies usually provide legal support. Since it is required rarely and irregularly, it is economically unjustified to start a staff unit.

Household needs

Office rent, utility bills and communication fees are fixed costs. If desired, they can be reduced, but it is unlikely that it will be possible to completely delete them from the list of expenses.

It all depends on the size of your company and growth prospects. If you are just starting a business, it makes little sense to immediately rent a luxurious office in the city center: at this stage, it is better to invest in finding qualified employees.

When the company has grown and strengthened, you can look for a more spacious office and, preferably, with an eye to the future. Moving is not such a cheap event that you regularly spend money, time and effort on it.

Alexey Ponomar Publisher of Lifehacker

In 2015, we decided it was time to change our office. We found a new premises, made good repairs and thought that we would stay there for a long time. We did not foresee everything: after a year the office turned out to be small, we had to move to another place and again make repairs from scratch.

The reason is simple - lack of experience. We have never done this and thought that a little more space would be enough for years to come. Everything ended well, but the money invested in the relocation cannot be returned.

Development of the company

As the business grows, these expenses become inevitable: you need to expand the office, equip new workplaces and at least from time to time invest in improving the qualifications of employees. Giving up such expenses is like giving up extra profit, because in the end, the money spent will return with increased sales.

Alexey Ponomar Publisher of Lifehacker

Training is not an expense but an investment. If a company invests in development, they should go not only to upgrade technology, but also to train employees. Austerity only hurts here.

Another important item of expenses is promotion. For profit to grow, potential customers should at least know about your existence, and ideally also understand why you should be chosen. Advertising costs should be approached soberly and rationally, but there is no point in completely abandoning them: few advertising means few customers, and therefore money.

Ruslan Fazlyev CEO Ecwid

We always had the best technology, but sometimes competitors raised more funding and invested everything in advertising. In the end, customers did not choose the best product, but the one they knew about. It turns out that they themselves paid for this advertisement.

How to cut costs while maintaining business efficiency

Give up spending that is not beneficial

Determine the expenses without which the business will not be able to continue working, and the rest is under the knife. Frequent company-sponsored trips that are of little benefit, generous hospitality costs - feel free to discard anything that is not profitable.

To always be aware of the company's expenses, organize the movement of funds so that it can be easily tracked. It is convenient to do this using a bank card that is tied to the company's current account. You can issue it in the Mastercard payment system.

It is convenient to manage money and control company expenses with a business card. It will save you from fiddling with cash: if an employee goes on a business trip, you issue a business card, set a limit and keep track of what he spends the company's funds on during the trip.

You can also link a business card to a taxi application and a mobile operator or an advertising account in social networks in order to quickly pay for the necessary services. Finally, if you have a network of retail outlets where you regularly collect revenue, send money to your current account using an ATM, and do not fool yourself with cash collection and security.

Don't forget about the comfort of your employees

Ruslan Fazlyev CEO Ecwid

You cannot save on people, because a company is, first of all, a team.

Even if the business is not going very smoothly for the company, this should not affect the working conditions: it depends on your subordinates in many respects whether the business will eventually go up the hill. If, in the name of economy, you deprive them of their usual bonuses or move them from an office in the center somewhere to settlements, it is unlikely that employees will work harder and better.

Alexey Ponomar Publisher of Lifehacker

If you have to rent an office on the outskirts, where everyone has to huddle on each other's heads, it certainly does not add to the joy of the work process. This means that the performance will be appropriate.

Take advantage of special offers

If partners do not spoil you with discounts, use cashback from the bank where the current account is opened and bonuses from the payment system that issued your business card. Even the usual reward for paying with a card at the end of the year can result in a round sum.

Ruslan Fazlyev CEO Ecwid

Since we started paying for servers with a business card with cashback, this very cashback has become quite tangible.

There is a program for holders of Mastercard business cards. Now the program involves about 50 partners in five categories: "Accounting and Finance", "Advertising and Promotion", "Travel and Transport", "Everything for the Office", "Goods and Services".

Here are 5 suggestions that almost every company will need:

• Accounting service "Kontur. Elba" offers three months of free service at the maximum rate.
• Kokos Group gives a discount of 27,000 rubles for a package of services for promotion on the Internet.
• OZON.travel opens a 30,000 ruble credit line for members of the Mastercard Business Bonus program for urgent business trips.
• HeadHunter gives a 50% discount on the search for new employees.
• MTT Business gives three months of free use of communication services and a number as a gift.

If more and more funds are spent on servicing the business, one can only dream of rapid growth. With the help of Mastercard, you can save on basic expenses required for the operation of the company and invest in the development of your business.