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Whats Wrong With Your Profits? Check These 10 Tips To Reduce Costs

Aug 17, 2007
Did you know that... it is really simple to reduce the cost of your business and you are about to find out some great tips exactly how to do it!

It is a way to common problem nowadays that people are not doing the best they can to reduce business costs as much as possible.

You are pretty much throwing you hard earned dollars into the garbage.

But it is fixable...

Increasing profits through cost reduction must be based on the concept of an organized, planned program. Unless adequate records are maintained through a proper accounting system, there can be no basis for ascertaining and analyzing costs.

Cost reduction is not simply attempting to slash any and all expenses unmethodical. The owner-manager must understand the nature of expenses and how expenses inter-relate with sales, inventories, cost of goods sold, gross profits, and net profits.

Cost reduction does not mean only the reduction of specific expenses. You can achieve greater profits through more efficient use of the expense dollar. Some of the ways you do this are by increasing the average sale per customer, by effectively using display space and thereby increasing sales volume per square foot, by getting a larger return for your advertising and sales promotion dollar, and by improving your internal methods and procedures.

Now, here are the 10 tips...

1. Barter

If you have a business you should be bartering goods and services with other businesses. You should try to trade for something before you buy it. Barter deals usually require little or no money.

2. Network

Try networking your business with other businesses. You could trade leads or mailing lists. This will cut down on your marketing and advertising costs. You may also try bartering goods and services with them.

3. Wholesale/Bulk

You'll save money buying your business supplies in bulk quantities. You could get a membership at a wholesale warehouse or buy them through a mail order wholesaler. Buy the supplies you are always running out of.

4. Free Stuff

You should try visiting the thousands of freebie sites on the internet before buying your business supplies. You can find free software, graphics, backgrounds, online business services etc.

5. Borrow/Rent

Have you ever purchased business equipment you only needed for a small period of time? You could have just borrowed the equipment from someone else or rented the equipment from a "rent-all" store.

6. Online/Offline Auctions

You can find lower prices on business supplies and equipment at online and offline auctions. I'm not saying all the time, but before you go pay retail for these items try bidding on them first.

7. Plan Ahead

Make a list of business supplies or equipment you'll need in the future. Keep an eye out for stores that have big sales. Purchase the supplies when they go on sale before you need them.

8. Used Stuff

If your business equipment and supplies don't need to be new, buy them used. You can find used items at yard and garage sales, used stores, used stuff for sale message boards and newsgroups etc.

9. Negotiate

You should always try negotiate a lower price for any business equipment or supplies. It doesn't hurt to try. Pretend you are talking to a salesman at a car lot.

10. Search

You can always be searching for new suppliers for your business supplies and equipment. Look for suppliers with lower prices and better quality. Don't just be satisfied with a few.

You can apply any of these 10 tips and see an overall reduced cost of your business and in end a jump in online sales.
About the Author
Steven Gwillim is a internet marketing top gun and expert affiliate marketer...

You can download a FREE copy a $97 valued FREE e-book titled "Discover How To Make Your First $1000 Online In 30 Days" at http://www.ewenchiaautopilotprofits.com/ {Steve's Partner site)

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