Bringing money in as a business is obviously vital. If a business has no money, its liquidity falls rapidly and it’ll end up going bankrupt. Unfortunately, many businesses encountered this issue during the coronavirus pandemic. Especially those in the tourism or travel sectors. The main income stream was shut down.
It’s why businesses are looking for additional streams of income and other ways they can survive. People are trying to ensure their business can weather any future form via diversification and hedging. There are always more ways to make money off your business, it just depends what time you have available. It also depends on which industry you’re in.
Here are some top tips for you to think about implementing. They may not all apply to you but they’ll at least help you shift your mentality to one which tries to scope out new opportunities.
- Project confidence
- International opportunities
- Sell more products
- Cut back on those supplier contracts
If you and your business project a certain aura, customers and other businesses will feel safer doing business with you. It’s an age-old trick used by sole traders right the way up to the biggest businesses in existence. Project confidence and look the part. This means your stationary had the name of your business on it. You use a top quality designed letterhead. Consider a good invoice example to base your own off so that customers see you as the professional business you’d like to portray. If customers feel confident shopping with you, they’ll be far happier putting money into your business. If they don’t feel confident, then they may just navigate to your customers website instead.
Covid has taught the business community how certain countries have been able to bounce back faster than others from certain setbacks, meaning their industry has picked up pretty fast. It means a lot of businesses have looked for opportunities abroad. This isn’t something that only works in the aftermath of covid either. It’s something that can workout going forward. Essentially, if there’s a market for whatever you’re selling in your own country, there’s probably one abroad. Before you go jetting off to Japan with your bright idea, it’s important to get a notepad out and start researching. You need to look into your new target country and consider how your product or service will land there. Will it fit in with the cultural norms and can your product compete with items already there. If everything is good, there’s no harm trying a bit of market research.
Obviously! But it goes a bit deeper than that. How established is your selling platform? What kind of traffic are you getting? It might be that your products are amazing, but that your website is just struggling to pull traffic in. So, maybe you consider setting up on another selling platform. Amazon for products, Alibaba if you’re a supplier. The key here is to ensure that whichever platform you’re using has a good reputation and is pulling in far more web traffic than you are. You’ll lose some profit due to fees, but it will increase your brand awareness meaning that more people are going to be interacting with you as a business. As this increases, so might your traffic – especially if you ship each item with a business card directing to your website for other products. If you can sell more products, you’ll pull in far more money and be able to invest in other products and income streams going forward.
It isn’t always about attracting money. Stopping money going out can pretty much do the same thing. You’ll still be left with a net increase. Cutting back on the supplier contracts can be a surefire way to save you money. Even if you need what they’re selling, you can still probably renegotiate pricing. This is mainly because of coronavirus. A lot of the pricing has come down, with suppliers ever conscious that a lot of businesses have lost their buying clout. Even if it’s just for a short period of time, you might be able to get a reduction on your rates. You might also be better off singing up to a different supplier. A lot of business owners make the mistake of staying with the same one. There is certainly something to be said for loyalty, and for reliability, but not if you can get exactly the same somewhere else for a lot cheaper. Think of it like car insurance, the prices might creep up but it’ll be cheaper elsewhere if you put the effort in.
Read articles in our small business ideas section for more tips and tricks.