With 2013 well underway and our personal resolutions in the works (some more successful than others), it’s also time to think about shaping up your business. With recent Business Confidence Index research indicating cash flow as the biggest concern for businesses; small business owners and entrepreneurs should use the New Year as a fresh start to approaching their business finances. While personally we can head to the gym or shop less to carry out resolutions, what can businesses do to trim the “business belly fat” and increase cash flow?
Here are five steps businesses can take to be fiscally fit in 2013:
Right size your business: Behind payroll, office space is the largest expenses for small businesses. Ask yourself, do you need a costly, long-term lease that may not apply to your company in six months’ time? See if non-binding, flexible arrangements like drop-in lounges better suit your company’s needs.
2. Get flexible so your business can react to change: Explore today’s many flexible working options such as co-working, home-working and staggered working hours to reduce stressful commuting, improve morale and boost productivity.
3. Reach out for new customers: Businesses that have an address in the same city as their customers and prospects have an advantage over out-of-town competitors. By using a virtual office with a prestigious address, your company can expand into new areas with no upfront capital and minimal risk.
4. Leverage technology in lieu of business travel: Videoconferencing, Skype and online meetings can keep you in touch with colleagues and clients without the hassle of traveling.
5. Learn from your mistakes: Symbolically, the New Year represents a clean slate for your business. Make the time to evaluate what worked and where there is room for improvement heading into 2013.