GoFaxer Blog

It’s time to cut unnecessary expenses. It’s easy to get sloppy about this when your small business is growing dramatically, you’re making a profit, and the future seems brighter than summer. But with an economic slowdown eminent, it’s time to get Edward Scissorhands on those expenses. An article at BusinessWeek.com by Jeremy Quittner outlines one business’s cost cutting:

“In 2007, Polla Tray sent $30 bottles of champagne to customers as holiday gifts, rather than the $45 box of chocolates she gave the year before. She asked her sales staff to stay with friends and relatives when they traveled and to book flights during off-peak times. Those changes helped Alchimie slash its $20,000 annual travel budget by 15%.”

The key is to cut costs for things that aren’t vital to increasing your sales. You may need to have less company lunches. Maybe hold off on that conference room renovation. Do spend money on email fax, new marketing campaigns, and better systems that benefit your customers.

I like the example of Polla Tray choosing a different customer gift. Maybe the $30 bottle of champagne will actually have a greater perceived value than the $45 dollar box of chocolates. By getting serious about cutting costs, you may actually find better ways to do business.

So feel free to get out the scissors. And make this a strong time for your business.