Overlooked actions you can take to make your money go further for your small business.
Running a small business is tough, but there are ways you can cut down on overall costs to help get you through quieter or more costly periods. To help you identify where you can save, we’ve put together 7 money-saving tips for your small business.
Read on below to find out what they are, and how they can help keep your pennies in check!
Applying For Grants and Funding
Did you know as a startup there are a number of grants and competitions you can apply for that often have monetary prizes? Receiving these grants will not only help you grow your business but can also help you get your business out there – as winners are often announced through social media.
One such grant is the AXA Startup Angel competition, in partnership with The Standard, which offers two top prizes of £25K, mentoring – plus one year of business insurance. You can find out more about the competition on the AXA Startup Angel hub page here.
In addition, schemes like the Gigabit Broadband Scheme could help your business grow, as they provide vouchers up to the value of £4,500. So, why wait? Get out there and get searching, as these funding options are often overlooked but can go a long way in helping you meet your bottom line.
Review Your Active Subscriptions
As a small business owner, it’s likely that you’ll have lots of active subscriptions that help you run your business efficiently. Whether it’s something like Mailchimp or Canva, you should keep an eye on how much you’re forking out for your tools each month. Being on top of your outgoings will help you keep your profits on the up-and-up.
Consider carrying out an audit of your subscriptions and tools each quarter to monitor how much you’re spending, how much benefit you actually get from them, and whether you can do without it. For more guidance around this, check out our article on time-saving tools you can utilize for your small business.
Consider Negotiating With Suppliers
Most small businesses or startups will use suppliers of some kind. If you have a healthy and, ideally, longstanding relationship with your suppliers, why not consider proposing a negotiation of terms or costs?
Oftentimes, when you’re thinking of switching suppliers, your current supplier will jump at the chance to keep your business – this could result in lower costs for their products or services.
Invest in Clean Energy
Your eco-footprint might not be on top of your priorities list when you’re just starting out as a small business owner, but did you know you can save money by investing in clean energy from the get-go?
Whether you’re working from home or you have an office with a small team, consider focusing on cleaner energy. Things like switching to LEDs screens and motion-detected lighting can help when the energy bill comes through, so should not be overlooked. In addition, you might even save on maintenance costs as well – handy!
Utilise Remote Work and Freelancers
We know that the running of a small business can often require a lot of hands on deck, so you might find yourself hiring for expertise, or to help free up more of your own time for networking and focusing on your goals and growth. Hiring full-time staff can come with many expenses, but have you considered hiring freelance or remote working employees?
Freelancers are often widely experienced and more cost effective than full-time hires, allowing you the flexibility to hire help when you need it. Plus, freelancers are often happy to work from their own locations or at home, saving you costs on office space. If you have a busy period coming up such as the festive period or a big launch, freelancers could be a vital resource for you!
Freelancers Reduce Excess Inventory
As a small business that is just starting out, you’re likely to stockpile your products early to meet demands. While that’s great for cultivating sales early on, it can also mean your day-to-day monies could be tied up in this excess inventory.
To safeguard against this, consider reviewing your stock against sales forecasts to ensure that you’re spending wisely. In addition, consider negotiating small, more frequent payments to suppliers - more flexibility could help you save in the long run!
Pay Attention to Your Allowable Expenses
Are you certain on what you can and can’t claim as a business expense? As a small business owner, allowable expenses should be top of mind when it comes to the daily running of your business and reporting on your ins-and-outs.
For example, did you know you can receive tax returns on office items like pens and paper, but not on entertainment expenses like dinners? Being clued up on your allowable expenses dos and don’ts will help your profits sit in a much healthier place. If you need to know more about what you can claim, check out our guide to allowable expenses here.
Do you feel better equipped to handle your finances for your small business? Remember, being organized with a solid growth plan will see you on your way to meeting your goals with confidence. You know you can do it.
The AXA Startup Angel competition, in partnership with The Standard, will be back for 2026 and we'll be on the lookout for this year’s winning business idea. With £25,000 and mentoring sessions from our AXA Startup Angels up for grabs, this could be your chance to turn your dream business idea into a reality. Find out more here.