The most important thing that aids the growth of a new startup is saving money. When a business is in the startup phase, money is a scare and priceless commodity that allows the business to keep surviving and growing, and the business needs it at all times. However, many business owners make the mistake of seeing the phrase "saving money" and take it to mean "not spending it at all". The phrase "you have to spend money to make money" is certainly true; but that does not mean that you cannot conserve the resources that you have and use them wisely!
This is the king of no-brainer advice when it comes to saving money in general, but that does not make it any less true nor any less pertinent when it comes to startup costs! If spending a few hours doing some searching online or in person to find a better deal on whatever it is that you need saves you a few hundred dollars, then it is time well spent!
For Brick and Mortar Startups, Buy Used and Save Overhead
Startups do not need to have all the hippest new furniture, nor do they need to have the most expensive retail space in order to rake in profits. It is all about quality and not quantity when it comes to businesses--if the quantity of space or furniture or even dcor at your business was what mattered, businesses that operated with little to no overhead like dot com businesses and things like food trucks would never be successful, but they are.
Only Hire Help When You Need It
While you would think it would be a good move to hire a marketing team early on to cover what you need when you need it, moves like these could be risky--after all, you do not know when you will need help, nor how much help you will need. Generally, hiring on help before you need them will do nothing but suck up your operating funds for employees or consultants that pretty much just sit around. Use interns to your advantage and have them complete tasks that are within their skill sets. Interns often work for little to no money and are willing and able to fill a lot of roles within your company, so before hiring on expensive employees, try to find out where your interns can help,
Take Advantage of Free/Cheap Advertising Y
ou do not need to put your business in the flashiest advertisement space in order for it to bring you in an income. You do not need to put your business on billboards in order to bring local customers to you, and you generally will not even need commercials if your business is successful enough. Start your advertising campaign on Craigslist and work your way around other free avenues on and offline--your local newspaper is also a great place to contact for advertising space. In many cases, the free slots see the most eyes anyways!
Keep Good Financial Records
Many business purchases are tax deductible, so save all of those receipts! You never know what might come in handy, but it will be more than worth it to have them all on hand at the end of the year when you go to get your taxes done--a certified tax professional will be able to help you out best in that department! Running an early-stage startup on a shoestring budget is not an easy task, and if you want to squeeze the most out of every dollar, you need to cut corners where you can. Try using these tips to help you save your much needed funding and get your startup moving in the right direction and down the path to success.