DINEO TSAMELA: When to save and how to spend as you keep your new small business afloat
A few tips to help you avoid big costs that could burn a hole in your budget
For the owners of small businesses, surviving the first few years is hard. According to Bloomberg, eight out of 10 small businesses fail in the first 18 months. And with South Africa's economy in the state it is, it is increasingly difficult for the remaining 20% of those who make it past the first 18 months to stay in business. Cost-cutting and cash-flow management are the two elements that will help you stay afloat. We have a few tips to help you avoid big costs that could burn a hole in your budget: Find an office sharing space Image is important, but people are starting to appreciate that new small businesses are unlikely to have the capital to set up in a swanky Sandton office. You can visit sites such as flexibleworkplace.co.za or theofficehub.co.za to find office space to share. Take advantage of discounts If you work with inventory, always try to take advantage of as many supplier discounts as you can. Making cash payments, or settling items bought on credit early, can save ...
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