The word everyone hated to hear a year ago was “unprecedented” … today’s it’s “inflation.” It’s our new centerpiece of conversation. What can you do as a business owner to combat inflation while maintaining valuable relationships with your vendors, customers, and employees?
- Adjust workforce spending.
- Leverage work-study, internship, and other opportunities.
- Create training programs to capture talent you can develop within your organization.
- Consider bonuses rather than salary or hourly increases which can be less costly in the long-term.
- Focus on revenue and productivity growth.
- Consider raising the sales price of good or services after conducting a competitive analysis.
- Improve the uniqueness of your offerings through enhancements or warranties.
- Invest in your customer experience to better your selling process.
- Eliminate commercial real estate costs.
- Mark-to-market study of your lease or broker opinion of value if you own the property.
- Cost analysis to identify ways to reduce spending on property taxes, utilities, and other commercial real estate expenses.
- Evaluate refinance, sale-leaseback, 1031 and other commercial strategies to capitalize on equity and extract cash.
- Decrease operational costs.
- Increase your spending visibility and regularly compare your actual expenditures
- Negotiate lower prices on everyday expenses.
- Explore incentives and discounts with your vendors.
- Accelerate Account Receivables.
- Motivate your customers to pay quicker by providing incentives or discounts.
- If you’re still mailing invoices and taking payments by check, you’re missing out. From Square to QuickBooks Online and more, it’s never been easier to automate accounts receivable.
- Take deposits wherever possible against orders or future work.