The bottom line is always a big concern for small businesses. The continual quest to cut costs and save money becomes a daunting task, especially when a company is already operating on bare bones. As pocketbooks tighten, more and more businesses are turning to outsourcing to help reduce costs. Let’s look at how outsourcing some of your business functions can help boost your bottom line.
You only pay for the time you use
How many times do you find employees twiddling their thumbs or surfing the internet because they don’t have something to do? When you outsource a position, you only pay for the hours used. This alleviates the burden of having to pay a full-time employee for what sometimes amounts to “part-time” work.
You do not have to provide benefits
Outsourced laborers are not employees and therefore are not entitled to benefits and paid time off for illness or taking holiday.
An outside perspective can sometimes bring fresh ideas
You may bring in someone who can offer strategies and advice to help you further cut costs and/or increase productivity. For instance, an outsourced marketing executive might discover you are paying too much for website maintenance and offer a cost-saving alternative.
Once you are sold on the idea of outsourcing, you may find it difficult to determine which positions are viable to hire out. Below are some of the most common and popular functions to outsource:
- Marketing – All functions of marketing can be outsourced, including graphic design, advertising, copywriting and website development.
- Finance – There are both individuals and firms who can be hired at an affordable rate to handle any and all aspects of your finances, including accounts payable/receivable, bookkeeping and payroll.
- Information Technology (IT) – Many businesses save money by outsourcing their IT services. This has become even more feasible with the introduction of cloud-based infrastructures.
- Customer Service – Whether it’s in-bound inquiries or outbound quality assurance, a call centre offers easy and affordable options to outsource your customer service functions.
If you have never tried outsourcing, it can be a big step. Remember to thoroughly screen and interview any companies or individuals you are considering. When you find the right fit, the returns can be impressive. The best of British to you!
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