When starting a new company, you'll need to take cost-saving measures to ensure your cash flow stays positive.
Every major company in the world began as a startup at some point. Entrepreneurs everywhere have felt the struggle of limited access to capital, strained resources, and a perpetual fear of ending up with more liabilities than assets.
Fortunately, there are a handful of quick, easy ways that any startup can use to save money during these tough early stages of growth:
1. Use a co-opted space. Having your own office is rewarding, but in your early stages, it's an unnecessary expenditure. Have team meetings in public places while working from home most days, or co-op a workspace so you don't have to pay as much rent.
2. Use the power of negotiation. Most new entrepreneurs underestimate how many expenditures are negotiable. Fixed costs, subscription fees and even some utilities can be negotiated under certain conditions.
3. Rely on freelancers. Don't make a new full-time hire every time the workload gets a little out of hand. Instead, build a reliable network of freelancers who can handle the overflow as it comes up.
4. Get a few interns. Don't use interns as slave labor, but do open your startup to college students and recent graduates who need a real employment experience. They'll help you get work done, and they won't cost you terribly.
5. Compare your sources. There's almost always a better deal, somewhere out there. For every expense you have, shop around to different providers to see if someone can give you more for less.
6. Use free marketing outlets. It doesn't cost anything to set up a Facebook page. Take advantage of free and cheap marketing outlets to help spread the word about your company.
7. Learn the best way to handle your taxes. An experienced tax professional is a worthwhile investment. Odds are, they'll save your business more money than you'll end up paying them.
8. Buy used products. There's no reason why your desk and computer have to be brand-new. Buy used to save money, especially in the early stages of your startup.
Put these strategies to good use in your startup, and watch as your cash flow starts to return in your favor. Just make sure the rest of your long-term strategies are in order first!
Jose Vasquez is a serial entrepreneur and tech enthusiast dedicated to helping startup technology companies get the direction and momentum they need to succeed. As the founder of Build. Brand. Blast., Jose has established a collective resource for tech entrepreneurs to consult when brainstorming, creating, launching, or expanding a new business. Jose is also the founder and CEO of Quez Media Marketing, a marketing firm that combines technology and creativity to help new and growing companies get the results they need.
Jose graduated from Goldman Sachs' 10,000 Small Businesses program. Goldman Sachs is a partner of the What Is Working: Small Businesses section.