Inc.com offers small business ideas and resources for entrepreneurs. Teri Cettina, an amazing business and finance journalist, put together a list of 5 Places your Business May Be Leaking Money. Below is a quick summary of the Top 5 but you can also read the full article here!
1. Meals & Entertainment
2. NOT Outsourcing
3. “Bright, Shiny Object” Syndrome
4. Office Space
5. Automatically Recurring Expenses
I was asked to be an expert for the above article. I see recurring marketing costs, especially, as a huge area of improvement for business owners.
“If you actually get referrals or new customers from them, that’s great,” says Kelsa Dickey, owner of Fiscal Fitness, a financial counseling agency in Tempe. “But oftentimes these things are expensive yet add very little value to your company.” The fix: Regularly review bank and credit card statements for recurring expenses. Is each item worth the cost? If not, cancel it-pronto.
Set a reminder to your calendar every 60-90 days to review your recurring, automatic expenses and ensure you’re not spending money that’s not paying off!