Let’s talk Business: Ways to reduce office costs

 …with Ndungutse Robert

Small business owners and entrepreneurs often face a difficult choice between spending money on an idea they are certain would work, and the logical step of keeping costs down. For any company, keeping its running costs down is often a high priority, but for small businesses and start-ups it is essential. Here are couple of tips which you might want to consider.

1. Opt for a virtual office

It is completely acceptable that you need a physical address or even a meeting room from time to time, and through using a virtual office you can have both. By opting for a virtual office, you could work from home or from any other location, but for branding and suppliers sake, your address will appear as if you have a physical one. Often your mail will be forwarded to you by the virtual office company and you will be able to rent meeting rooms. This makes an excellent choice for many small businesses and start-ups.

2. Use 3rd party contractors

Instead of hiring in-house staff, a process which is considered very expensive, look to hire talent using a outsource firms. These help small and medium sized business to hire, manage, and pay remote freelancers or teams. There are many options on the market for these outsourcing companies, and you can choose any depending on the kind of service you require, all offering you an option to pay based on the work you need instead of hiring in-house staff.

3. Cut the cost of your communication

While communication is essential for the success of the business, it comes at a cost. It is no surprise then that often huge savings could be made by cutting the cost of your communication, from telephone line costs to fax and even emails. Some VoIP companies such as Skype offer your own personal online phone number with Skype which you could renew on a monthly basis, while web based email services such as Gmail will allow you to send and receive business emails through your personal address.

4. Reduce the cost of office supplies

Office supply includes consumables such as printer ink, but also computer hardware and software. A substantial saving could be made by switch to open-source software. Open-source software costs a fraction of the price as commercial products while still offering all, if not more, of the features. Consider Open Office for your Word and PowerPoint needs and Thunderbird as your desktop mail application.

5. Sublet parts of your office

If you decided to rent a physical office and you have some space left, consider subletting. There are always individuals who are in need of small office space that is affordable, or even firms that need extra office space for meeting rooms, etc.

6. 'Hire' family, friend and students

From time to time you might need some help around the office.  A cheaper option to hiring permanent staff is to use local talent from family members to students in your local collage. Often local collages have an internship program which is a win-win situation for your business, while hiring family members and especially kids will teach them responsibility.

The Writer is consultant with Maisha Consults Ltd, a Management and Skills Development Firm

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