Reduce cost of sales and fixed overheads
The final way to boost your business performance is to reduce your overheads. These are your fixed costs, e.g. phone, power, interest, etc.
How often do you review your overheads? It should be done annually. Go through your annual financial statements or your Xero reports.
While we’re on this subject, let’s talk about bookkeeping fees! We’re telling you to reduce your costs - if you think we are a cost, then you should cut us now. But if you want to work with us as a strategic partner in your business then you need us now more than ever. Think of us as an investment rather than a cost.
Our goal is to save you give time, mind and financial freedom to do the things you want in life and business.
Key questions to ask yourself
- Do you create an annual budget?
- When was the last time to conducted a review of the phone and internet contracts?
- When did you last meet with your insurance broker?
- What was the total adverting spend over the past 2 months? and can you measure the ROI?
- When did you last review all wage costs? Would the business benefit from a restructure?
- When was the lats time you review all your subscription costs?
Overhead reduction strategies
- List all APs and review them annually
- Better terms
- Bank interest
- Computer support