5 Creative Ways to Save Money as a Small Business
If you are running a small business, you’re likely faced with less resources, less revenue, and more uncertainty. You’re probably also looking for new ways to optimize your costs as you grow your business.
But compromising on quality or people is never a good idea. So here are some creative ways you can keep your business costs down without lowering your product quality or reducing staff.
1. Save on international money transfer fees
Even as a small business, you may work with overseas suppliers, partners, or personnel. International money transfers can be expensive for your business whether you send or receive payments from abroad.
Many businesses tend to rely heavily on bank-to-bank transfers - some of the most expensive and slow means of payment. International bank transfers, also known as IBAN or SWIFT transfers, take on average three business days to complete, and the fees range from institution to institution, often with extra-costs associated with currency conversion.
If you frequently make or receive cross-border transfers, it may be a good idea to look for a more cost-effective alternative. Fin.do enables you to send money internationally between cards rather than between bank accounts, avoiding the high charges of bank transfers.
2. Switch from credit to debit
Credit cards can come in handy when you’re just starting your business and can’t count on cash reserves. However, borrowing money from the bank can be expensive due to interest rates and high fees on certain operations (ATM withdrawals, for example).
Choosing a dedicated small business bank account or a debit card instead of credit can help you save money while avoiding debt for your business. You can read more about the different types of cards that exist here.
With a payment solution like Fin.do, you can make transfers using any type of Visa or Mastercard card, including credit, debit, or virtual cards. In addition, all money transfers are subject to the same conditions and fees, no matter which type of card you use.
3. Outsource whenever possible
For small businesses, hiring can be a risky venture during the first few years, as you may not have enough predictability or revenue to support the costs of employment.
Contracting is an affordable alternative that comes with many more benefits:
- No need to hire for small or limited-time tasks
- Access to a wider pool of talent
- Opportunity to scale back on real estate without losing productivity
The caveat? You’ll need to make a lot of international payments.
If you use Fin.do for international transfers, you can send any currency from your card, and the recipient will receive whichever currency they prefer. We directly exchange any pair of currencies, meaning you’ll avoid double currency conversion charges.
Money transfers sent via Fin.do are delivered in minutes: a win-win for everyone!
4. Opt for free tools and apps
Whether it’s inventory management, invoicing, or marketing, businesses rely on a range of platforms and systems. App subscription costs can add up to make a significant impact on your bottom line, not least because they require a long-term commitment that your business may not be able to support.
The good news is that there is no shortage of pricing models, including free tiers, pay-per-use, or free trials which you can leverage to save money until your business becomes profitable.
Fin.do is a free cross-border money transfer app, meaning you only pay when you send money, with no hidden fees or unforeseen charges.
5. Mind the cash flow
The pitfall hidden in plain sight: cash flow. When you’re focused on selling, it can be easy to overlook the common trap of delayed payments.
Unfortunately, it’s not enough to make plenty of sales to guarantee the success of your business. Instead, you need to track what and when comes in (and goes out) of your bank account. Paying your suppliers on time but allowing clients to pay you (too) late can easily ruin your business.
That’s why it’s important to both be diligent and rely on the right systems. Fin.do is an instant money transfer solution enabling you to move money directly from card to card, with no fund holds. Whenever you transfer money with Fin.do, you can be sure money is delivered within minutes, anywhere in 50+ countries.
How can Fin.do help?
A card-to-card money transfer solution like Fin.do can help you to easily keep your costs in check.
Whenever you send or receive money using the Fin.do app, you get:
- Flexibility: send money on the go from your preferred payment card (Visa or Mastercard);
- Speed: keep your suppliers and your team happy with same-day money transfers;
- Competitive FX: make payments in any of 160 currencies, with no double currency conversion;
- No hidden fees: pay one unique fee every time you send, with no hidden charges or markups.
Starting and growing a small business requires you to be efficient, adaptable, and creative. You can save money for your business simply by optimizing the way you manage your finances or hire people.
Fin.do is an affordable solution for cross-border money transfers which allows you to save money and time, while making payments more predictable.
Give it a try today: fin.do