Total Gas & Power
Total Gas & Power is a business energy supplier, wholly owned by Total SA. It has been a leading business ...Read More
Take shopping for example. It’s winter and you want to keep warm. So you check out your local department stores for the best deal on coats.
At the same time you head online to find out if you could be on a cheaper gas and electricity deal for your home.
Either way, you’re shopping around. It pays to do the same in business.
What’s more, the money you save can be put to better business use, as Cardiff-based entrepreneur Wyn Griffith, points out.
He owns software firm LetMC.com, and Pinnacle letting agents and has this advice: “Shop around. For energy, insurance, telephone, broadband, banking.
“In business you should do the basics first.
“Manage these costs and the money saved can be used for advertising.”
Negotiating can seem daunting. After all, the British are hardly known for their haggling skills, typically finding it all a bit awkward.
But think of negotiating in business as no different to enquiring about a free upgrade when extending your mobile phone contract, for example.
Jo Rogers, owner of Navistar Legal, which offers in-house legal services for small businesses, says: “Remember, every number is negotiable.
“People are not always driven by money when dealing with small businesses. Many will support you because they believe in what you do.
“So just because a supplier can’t negotiate on price, it doesn’t mean they won’t negotiate over payment terms, for example.”
Ensuring you have enough money in your personal bank account to meet your domestic bills is no different to how it should work in business.
But every year, many otherwise healthy businesses fail because they haven’t got enough money coming in to cover that going out.
That’s why it’s important to keep on top of your cashflow, as Rogers of Navistar Legal knows from personal experience.
“I’ve been in a situation before where I’ve been owed £10,000 that hadn’t come through, which left me short of money to pay what I owed. I was technically insolvent.
“As a result, my money-saving tip to any business would be to know what your numbers are – your monthly turnover, expenses, and cash flow to keep you in business.”
John Coles, singer with and manager of Perfect Day wedding band echoes Rogers’ point on the importance of managing cashflow.
He says: “Ensure you receive deposits from clients. This helps me with cashflow for running the band.
“If the PA system breaks for example, we always have a float of cash available for a rainy day. A lot of small businesses go bust because they run out of cash.”
Finally, if your business runs into financial trouble seek help, as you would with your personal finances.
Business Debtline offers free, expert, professional debt advice over the phone to the self-employed and small businesses in England, Wales, Scotland and Northern Ireland.
The service – available online or on 0800 197 6026 Monday to Friday, 9am -5.30pm – gets around 40,000 callers a year on matters ranging from bankruptcy and insolvency to bailiffs and bank accounts.
What do you think?
We want to hear from you! What’s your top money-saving tip for small businesses? Share them with us below.
Renewel for electricity
"Spoke to Bhavni at SwitchMyBusiness to see if I could get a better deal on my shop electricity. She was very helpful and got me a better deal for my premises. Highly recommended in all departments. Thanks again, Glen"This review was posted by Glen Thomas on the 21st of February 2018
Jess Purnell was very helpful
"Jess Purnell was very helpful, found great prices and offered to sort the documents for cancellation with my existing supplier."This review was posted by Elizabeth Hay on the 21st of February 2018
Thank you Bhavni for all your help
"Delighted to have come across SwitchMyBusiness yesterday. Bhavni was a delight to deal with and made the whole process very easy for us to renew with our current supplier at a cheaper rate than they had offered us. Refreshing to deal with a company that are not pushy or just talk at you! Thank you Bhavni for all your help. Alison Dairy at Daviot"This review was posted by Alison on the 21st of February 2018
thank you nicole for your kind help to…
"thank you nicole for your kind help to set up my business electric account fantastic service and your personal touch thank you"This review was posted by Sam Raju on the 19th of February 2018
Aaron Gallagher recently helped me…
"Aaron Gallagher recently helped me switch the gas and electricity supply for our business. He was extremely helpful and well informed which was great for me as I know nothing in this area! He saved us a small fortune and dealt with all of the switch for us which again was extremely helpful as it wasn't completely straightforward. Thanks again for you help Aaron, it was so appreciated."This review was posted by Rachel on the 17th of February 2018