Reduce Costs and Increase Profits

Every business owner wants a leaner company with increased profits, but finding areas where you can cut costs can be difficult. These ideas may help.

Reduce Your Tax Bill

Opening and contributing to a qualified retirement plan like a SEP-IRA (front cover), profit-sharing or 401(k) can minimize your business’ taxes, which may potentially increase profits and help you and your employees prepare financially for retirement.

It’s too late to establish a 401(k) plan for 2018 taxes, but you can set one up by December 31, 2019 and have its effective date retroactive to as early as January 1, 2019. You have until the tax filing deadline plus extensions to set up and contribute to other qualified plans.

Market Digitally

In today’s digital world, companies communicate with customers via social media. Post regularly and make your business relevant and useful to your customers. Acknowledge your best customers with rewards. Thank them online. Satisfied customers can help contribute to increase sales.

Save with Tech

You and your salespeople can travel the globe without leaving your office through teleconferencing and other meeting tools. Consider cloud-based software solutions and online backups, which may save you considerable money. And, while you’re at it, consider filing estimated quarterly taxes online, too.

Work via Tech

Consider allowing employees to work remotely, satisfying your employees and opening yourself up to more qualified job candidates throughout the U.S. and, for that matter, the world. Use online tools to reduce redundant paperwork and the wasted hours used to produce it. You may even consider moving to a smaller brick-and-mortar office space, thanks to your new telecommuting policy.

Tech and Finance

Bank and invest online. Deposit checks via your smartphone, thanks to newer technology. You can even find personal assistants, bookkeepers and other financial types who work exclusively online.

Take Precautions

While you count your tech-enabled cost savings and the additional profits generated by content marketing, don’t forget to take precautions by maintaining current virus-scanning and malware software to guard against a digital hack. For banking, investing and other online financial transactions, use a password manager that changes your password every time you log in. Or use two-factor verification, which includes a code texted to your cell phone, each time you use your password.