| Most business owners subscribe to the thought | | | | be accounted for in advertising because the |
| that you "must spend money to make money". | | | | lifeline of your business depends on new and |
| This can be true, but you also must know | | | | paying customers. Advertising is the way to |
| exactly where that money is going and the | | | | get the word out to the community or the |
| results it brings. A small business owner | | | | internet. |
| never has any money to waste. | | | | |
| | | | 5. A small business owner will sometimes be |
| Some ways that your business might waste | | | | under self-induced stress to manage all |
| money includes the following: | | | | aspects of the business. Sometimes, leaving |
| | | | the control and decisions to others that are |
| 1. Manage your credit cards - If you have | | | | qualified is the best way to manage the |
| several cards, develop a computer program | | | | business. Releasing control may be hard to do |
| that will show you the exact balances, due | | | | sometimes, but in a lot of businesses, money |
| dates, and the interest rate you are paying. | | | | can be wasted because the owner cannot |
| Always be aware of other solicitations that | | | | possibly be as efficient as the person who |
| save you money and possibly change your | | | | has studied or is knowledgeable about a |
| balances over to a new company. If you have | | | | particular field. For instance, if a business |
| any employee cards, see if you can set a | | | | owner does not know accounting, many mistakes |
| limit on them. If not with the credit card | | | | in reporting income and taxes can be made. A |
| company, make sure that the employees know | | | | qualified accountant can possibly save more |
| their limits. Manage your credit cards wisely | | | | than the cost of their services in reduced |
| and never, ever miss a due date. | | | | taxes. |
| | | | |
| 2. Develop an annual plan so you know where | | | | Take a hard look around your business and do |
| you will spend money. This helps you in | | | | not let anything be set in stone if saving |
| several ways. The business person will be | | | | money is the goal. Challenge everything that |
| aware of what portion of the profits are | | | | will cost money and see what can be done to |
| going to advertising, towards incentives, | | | | change the situation. Any money that is |
| towards accounting and other internal | | | | saved, is money that can be put back into the |
| expenses, etc. | | | | business either in profits or in growth. |
| | | | |
| 3. Do not over-purchase any products or | | | | A business owner wants their business to be |
| services for a business. If you buy in bulk, | | | | successful and will work hard to sustain |
| the money is tied up and a place must be | | | | growth. A business owner wants a way to |
| provided to keep the extras and that might be | | | | continue making and growing money from a |
| costing money not needed to be spent. | | | | product or service that is interesting to |
| | | | them. After growing a business and being |
| 4. Developing an advertising budget and | | | | smart with cash flow, many business owners |
| knowing just what resources to use is key to | | | | will sell their businesses only to start |
| keeping money under control in a small | | | | another business. |
| business. You must advertise, but you also | | | | |
| must get value for your money or you will | | | | The reason is that business owners are |
| soon be out of business. Keep a record of how | | | | independent types and challenges are |
| much is spent, can you get payment terms, | | | | rewarding when met and faced. Saving money |
| when is the most efficient time to advertise | | | | through every day operations will help the |
| your particular product or service to get the | | | | business owner to meet their financial and |
| most value for the dollar. Every dollar must | | | | emotional goals. |