Most businesses can benefit from a periodic review of spending to identify opportunities to reduce waste. Every dollar you save can be redirected into business improvements or growth opportunities.
Consider these quick ways to improve your spending habits.
Keeping careful tabs on your spending can help you make better financial decisions and capture deductions at tax time. Consider adopting expense-tracking software or mobile apps that let users sync expenses with their bank and credit card accounts to better monitor cash flow. If staff members make business purchases, consider providing business credit or debit cards that allow you to monitor spending and set limits.
Review your account statements to find costs that you can easily cut, such as subscriptions or memberships you no longer use. Also, look through bills for add-on services that you don’t need. For example, some internet providers offer online backup for an additional fee, which may be unnecessary if you have another backup service in place.
Experts say that business- or industry-related associations can be good sources of money-saving tips and other advice. These associations can put you in touch with other business owners who face the same types of business issues you do. You can also network with businesses outside of your local market — while you may not be comfortable sharing cost-saving tips with a local competitor, and vice versa, it may be helpful to share this information with a business owner in another state.
Overdrafts can be costly for any business. They are also, in many cases, preventable. In some instances, accounts may not be structured properly, so that one runs out of money even though balances are healthy on the whole. Setting up accounts differently or using a service such as a zero balance account, which essentially pools a business’ money to handle debits presented to specific accounts, can help to minimize overdraft expenses.
We are committed to helping your business succeed. Our dedicated business banking professionals can help you find the right product to meet your business’ needs. To learn more, please call 1-800-428-7463, visit us online, or visit your nearest Citizens Bank Branch.
Disclaimer: Views expressed may not necessarily reflect those of Citizens Bank. The information contained herein is for informational purposes only as a service to the public, and is not legal advice or a substitute for legal counsel, nor does it constitute advertising or a solicitation. You should do your own research and/or contact your own legal or tax advisor for assistance with questions you may have on the information contained herein.