Cut Costs to Increase Your Bottom Line

by ryan

How to Cut Costs to Increase Your Bottom Line


Home-based businesses have the benefit of not having to pay for a separate office, but that doesn’t mean they don’t have their own share of expenses. When economic times are tough, many freelance writers want to know how to cut costs to increase their bottom line. You may want to use these ideas for your business.

Learn to be content with the older equipment. New computers, cellular phones, and printers hit the market at an almost steady pace. If your current equipment is still in working order, keep using it until you have to purchase a replacement.

Don’t upgrade your software unless it’s absolutely necessary. Perhaps a client asks you to use particular software when completing their work. If they upgrade, it might be necessary for you to do so as well. Otherwise, use the older software until its necessary and you could save quite a bit of money.

Outsource jobs which require a great deal of your time but that don’t increase your income. It may seem this is counterproductive, to spend money when you’re trying to save it, but if you can concentrate on aspects of your freelance writing business which does bring in money, you’ll be better off.

Cut down on marketing costs which aren’t paying you back. Some writers spend money each month on search terms without earning anything in return. If what marketing you’re doing now isn’t giving you a return on your investment, there’s no sense in continuing to use it.

Sign up for whatever incentive programs you can for office supplies. Staples, Office Depot, and others track your purchases and may send coupons off future purchases. You may also receive a percentage check back each quarter depending upon your past purchases.

Use free applications wherever possible. It’s amazing the number of applications available online these days. Take a look around and you may find software you need without having to pay for it.

Make improvements to your collection process. If you have clients who are consistently late in paying you, contact them a day or so before the bill is due to ensure they’ve received your invoice and that they are prepared to make a payment. Offer to send the invoice by fax if they haven’t received it yet. In many cases this will be enough to get them to pay on time.

Reduce other costs wherever you can. Even if you’re only saving pennies per dollar on something you use regularly, in the end it can make a difference. Compare costs on big ticket items to get the best possible price. Order using an 800 number when placing your order and try to get the best price on shipping.

Are there big changes in your freelance business? Write a winning press release which can be sent to both offline and online sources. This will give you free advertising as well as let others know what you’re up to.

Business may be slow but better times may be right around the next bend. Learning how to cut costs to increase your bottom line can do more for you than merely getting you through lean times. If you use some of these ideas now and continue to use them when times are better, you can continue benefiting from them.

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