Launching your new startup has been the most thrilling experience of your life. Daunting and overwhelming, but ultimately hugely satisfying, you are now working for yourself rather than lining the pockets of a corporate fat cat. With a newfound lust for your job, you are keen to see your new company thrive and become a real success. One vital facet of your new business is your ability to keep your overheads low while productivity remains high. By maintaining high standards and implementing a sound business vision that all staff members buy into, you could create the next market leading business entity.
As a new business, you must keep your cash flow buoyant and your overheads as low as possible without forfeiting on the quality of your service or product. It doesn’t matter whether you are a restauranteur, an eBay empire builder or a self employed accountant, your reputation is what matters. Take a look at how you can keep your overheads low while you build up your business.
Hire When You Need
Don’t start your business running before you can walk. It’s vital that you keep at a steady pace and don’t allow your orders, products or staffing to run away with you. You might have visions of needing ten employees by the end of year one, but that doesn’t mean you need to employ them all in month one. The chances are this will be eleven months wasted money paying people for roles that aren’t even fully formed yet. If you need an online marketing expert for a project, consider outsourcing rather than employing one in-house. This gives you greater flexibility in the short term, and you can receive expert advice from a longstanding and reputable professional.
When you do begin hiring staff, consider opting for those with slightly less experience that you can mould into your ideal employee. Those individuals with more experience will tend to cost more to employ as they will demand a higher salary for their services. Less experienced staff may need more coaching, yet they can learn on the job in a way attuned to your company. Choose staff that will fit into the ethos of your company, not simply those candidates with exceptional qualifications and professional achievements. You are creating a cohesive team not a group of talented individuals.
Premises
The location of your business premises will be dictated by the sector in which your startup sits. If you are launching an eatery, the chances are that you want your little bistro situated where there is plenty of footfall and passing traffic. In the centre of a city is ideal, yet can be incredibly expensive especially if you want a premium postcode. For services such as accountancy and IT contracting, the location of your office is a little less integral so save money by venturing a little further out of town.
Your office or premises should be large enough to cater for your needs, but not so vast that you are getting lost. This will inevitably waste money, but the square footage that you are leasing is empty space. Consider the space you need and choose wisely.
To save even more money, opt for an office that may need a lick of paint or a bit of a facelift. Location is everything so get the postcode you desire but select a premises that’s a little worse for wear. Suggest to the landlord that you will give it a bit of a makeover in return for lower rent. You can employ the services of Chem-Dry, a carpet cleaning company, to revitalise the upholstery and fabrics within the premises. The musty smell will disappear to be replaced by a cleaner, fresher atmosphere. To brighten up the premises, you can simply white ash the walls. This creates a bright, minimalist facade that will enable you to dress your premises and add a company touch. You might want your branding displayed through signage and pictures.
By sourcing second hand office furniture, you can save yourself a small fortune. Head to auction houses, look in the classifieds and check out online auction sites to see the sorts of furniture on offer. At the very least, invest in some desks, chairs and filing cabinets. It is much more worthwhile to purchase high quality second hand furniture rather than brand new inferior gear.
For productivity to be high and for your workforce to work at their optimum, you need to foster an environment that encourages sound working practices. Set up booths conducive to teamwork, add a touch of greenery so that your premises are more inviting and calm, and always encourage those water cooler light bulb moments. Don’t hark back to the 1990s and set up row upon row of individual booths each with a laptop and a phone. Connectivity and collaboration are key in the twenty first century.
Infrastructure
This is an area of your company that you should not ever scrimp on. If your startup will function at its optimum only when using an expensive piece of software, it’s vital that you budget to obtain this. In the long run, your company will be more productive, and the software should pay for itself in increased revenue and higher profits.
Think about installing data management software to collate your data and make it accessible via a range of programs. Make sure that your staff members are well trained on any software so that they aren’t missing out on vital features that will make their working days easier or more efficient. Ensure that you iron out bugs quickly by employing a troubleshooter or by outsourcing to an offsite company that specialises in fixing IT issues. By doing this, you can focus on implementing your business vision rather than getting bogged down in IT maintenance.
Develop processes and follow industry standard methodologies to secure your footing as a market leader. By keeping your overheads low where you can, investing in high quality software and services as needed and by keeping a close eye on your purse strings, you can save money, keep productivity high and see your startup go from strength to strength.