Reduce Your Expenses Amidst COVID-19 Pandemic

If you’re currently using an online software for managing your books, you will be able to pull a list of your expenses from that. If not, start making a list. Take a look at your bank account, credit card statements and invoices to check that you have every expense listed and supplier that goes with it. Suppliers (creditors) can be weekly, monthly and yearly so check back to this time last year. To speed the process up, jump on a call with someone you work with that can assist with this list.

Now that you have your full list, what can be downgraded, deferred or cancelled immediately? Reducing your expenses is number one on this list for good reason, be realistic but also remember why you are doing this.

Start with subscriptions; music, TV, magazines, social tool managers, workflow apps, staff memberships, licenses, SEO, advertising. Whatever your business doesn't 'rely' on to operate right now, drop it.

If you’re a brick and mortar business, think electricity, internet, cleaning services, gardeners, advertising/marketing services. There's no point having them on while no one is using them.

Lay off staff or reduce hours. In the event of reduced hours, the Canadian government has launched a Temporary Wage Subsidy program starting March 15, 2020. Refer to the link below for details on this, https://bit.ly/2xj1BLQ. If you are laying off staff, you must lodge a Record of Employment (ROEs) for each individual. The Government has stimulus available for your employees; standard Employment Insurance (EI) or $2,000 a month for up to 4 months depending on which one they qualify for. If your employee has been laid off, you must submit an ROE regardless. This allows your employee to get the process started.

For subscriptions, before cancelling, ask if they will give you 3 months free. That way they can expect continued revenue from you while you reduce your expenses now.

What other areas or ways can you reduce your expenses in the interim?

#covid19 #reduceexpenses #saveyourbusiness #smallbusiness #businesssupport #covidadvisor