The last few years have been hard on the industry We are all starting to suffer from the effects of inflation and recession with many struggling to stay afloat. But there are ways you can think differently, potentially using technology to improve efficiency and cut costs, reduce waste, and increase your profits without taking on more debt. Every business is different, with different financial arrangements, structures and leveraging – so do take specific advice should you need to but in the interim – think about these strategies that could help small companies:
Use technology to improve efficiency and cut costs
In today’s world, where a company’s success depends on its ability to adapt and evolve as technology advances, using technology is no longer an option. It is essential. We are all in the tech business. In order to stay competitive while dealing with inflation, your small business must use technology to improve efficiency and reduce costs. Here are some ideas for how you can implement this strategy:
- Streamline processes through automation
- Although a potential on cost – use a CRM system to centralize customer data, sales pipeline tracking and reporting, Think about what you need in terms of reporting, and insight then go with a system that gives you this
- Automate repetitive tasks with software robots (e.g., email or text campaigns) or 3rd party services like Zapier or IFTTT
- Build reports on demand instead of having someone gather the same information over and over again (this will save time in the long run)
Outsource some aspects of your business
Your small business is facing a tough economy and you can’t afford to hire new employees. You’ve got to find ways to keep your costs down, even if it means outsourcing some of your work. Outsourcing is an effective way for small businesses to save money and get more done with less effort.
Outsourcing can take place in-house or through a third party:
- In-house: If the task being outsourced is within the scope of what already exists within your company, then hiring someone internally might be a good option for you. This means that instead of hiring another employee who will require payroll taxes and insurance payments, this task is simply assigned to one of your current staff members.
- Third-party: When it comes time for something outside of what’s currently available at your company (like marketing or accounting), outsourcing may be the best way forward. For example, if there’s no one on staff who knows how to manage social media accounts effectively, hiring an expert could save both time and money by getting those tasks done right away without having too many resources invested into learning on-the-job training processes every day over again…
Waste is any activity that doesn’t add value to your customer or client. Examples include:
- Waiting too long for something to happen (e.g., waiting for a call back from a vendor)
- Doing something completely unnecessary (e.g., sending an email that isn’t relevant)
- Not doing the right things at all (e.g., not responding quickly enough to customer service inquiries)
The best way to reduce waste is by focusing on your customers’ needs and priorities, then making sure you’re doing everything you can do meet those needs and priorities in a timely manner. This means giving people what they want when they want it—and nothing else! It also means being transparent about how long certain tasks actually take so people know what to expect from you going forward. A good way of measuring this is by using recent data from past projects as well as current project goals; if the average turnaround time was 2 weeks last month but now its taking 3 weeks due partially because of an increase in demand then maybe there’s some room left over here where we could make some savings without impacting quality too much.”
Use “good” debt to grow the business
A lot of small business owners find it hard to take on debt, as they think it’s too risky. You can use debt to grow your business without worrying about going bankrupt!
- Buy equipment with “good” debt
You may need a new piece of machinery or some software for your office. You might also want to hire an intern or two so that you have more time for yourself and the rest of the team, but don’t have enough money in reserve for either one. Rather than putting these purchases off until next year, try looking into borrowing money from an established company or bank today!
- Take out a loan to buy a product
If there’s something else on the market which will help sell more products and make more money (e.g., an app), then consider taking out a loan so that it can be purchased sooner rather than later!
You can survive a recession if you plan in advance.
If you’re going to survive a recession, it’s important to plan in advance. Here are some tips to help you do just that:
- Don’t panic. Start by taking a deep breath and reminding yourself that recessions are temporary. There’s always another training opportunity around the corner; don’t stress yourself out by getting caught up in short-term thinking.
- Don’t take on too much debt. It’s tempting to expand when times are good—but remember that there will always be another chance for growth later on! You may have missed out on some opportunities because of this; but if so, don’t worry about it too much—you’ll still have plenty of options once things turn around again (and meanwhile, you’ll be able to afford higher-quality tools!).
- Don’t cut your marketing budget or training budget (or any other part of your business). Even if your customers aren’t buying as many products or services from you right now, they may still find value in what else is available elsewhere–so why not keep offering those same services anyway? It could mean the difference between staying afloat during tough economic times versus having trouble keeping up with payments down the road when things start looking up again… plus people will still appreciate finding out about new products/services through word-of-mouth instead of advertisements alone.
It’s not easy, but it is possible, and if you plan ahead of time and use technology to your advantage, there’s no reason why your small training company can’t thrive during a recession.