It is very useful for specific work or to improve in those aspects of your business where you do not have enough knowledge. Basically it is about hiring the service of other expert professionals in certain areas.
It is unproductive to try to implement a web page for your business, for example, without knowledge of computer programming. Or mount an advertising campaign on Facebook, if you do not understand social networks.
You have to be aware that delegating certain aspects of your business to other professionals is a plus. The time savings for you and the effectiveness of the results for your business are basic to take this step.
My advice is that you do not try to keep the accounting and taxation of your activity if you do not have enough knowledge. You will spend too much time and you will lose money from paying fines and surcharges. The idea is to reduce expenses. Remember, trust professionals.
Save on the development of your activity
Here everyone has to do an “examination of conscience”. You have to think if the activity you develop deserves to have a rented space or specific facilities. If your business can be developed at home, do not miss the opportunity to eliminate the cost of a rental. In addition, you can deduct expenses.
But, if you have rent to deal with, you are very attentive to the costs of supplies. There are certain offers for specific hours that you must match with your working hours.
If the telephone is another tool for your work, you have to know that the telephone companies also have offers, including plans for the self-employed. Take a look before deciding on one in particular.
And if your business could be developed in a small space, but you have to receive clients, for example, and you do not want to do it at home, opt for a “coworking”. They have shared workspaces where a fairly tight rent is paid and the common areas are shared with other workers. They usually include expenses in the price and there are different styles. Normally each one has its assigned and bounded space, even totally closed.
Beware of external financing
It is not bad to resort to a financial institution to obtain credit to start a business or certain projects within it. But it is not bad either, quite the contrary, be aware that there are other ways to finance cheaper than paying interest to a bank.
The first one is to postpone your debts with the Administration. Finance and Social Security offer you this possibility.
But you also have other formulas such as crowdfunding and crowdlending for which, in exchange for certain rewards or low interest, you get the necessary credit from a group of anonymous investors. Do not let them pass.
Make a good forecast of income and expenses
If there is something that will make you reduce your expenses is to eliminate those that are unnecessary. Ever before I have spoken on this point.
My conclusion is always the same: if you have taken the pulse of your business you know perfectly what you are spending that does not contribute to you and where you have to invest more to obtain greater profitability.
For this, it is important that you make a good forecast of income and expenses. That you know where the capital will enter and where you will invest it. This is an analysis that you must do every so often. It must be a periodic exercise.
Consult several suppliers before deciding on one, outsource parts of the production process, control delinquency, have something saved to deal with the unexpected … All this is vital to reduce costs and obtain greater profitability.
Go to digitalization to reduce self-employed expenses
It’s fashionable if you have already managed to digitize part of the process, make the final leap. From day 1 of this same month, the self-employed have to relate to Social Security with your digital signature and all the procedures are via telematics. So more than an option, this step is becoming mandatory.
The sooner you do it better because you save time and time translates into money. In addition, you will reduce costs in paper, printer, ink, electricity … And you will help preserve the environment.
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