3 Often Overlooked Costs when Budgeting for your New Small Business

business cost

Creating a budget and financial plan for your business is a daunting and difficult task, but it is a necessary step to regulate spending and ensure that you maintain long-term success. Your budget should be based on your profit estimates, cost and expense estimates, and current investments into your business thus far. If you are just opening your business, profit estimates can be especially hard to predict, so it is best to use a smaller, easily attainable target at first. As your business progresses, you can use past data on sales and costs to adjust this target more accurately.     

To make your first budget or financial outline easier, here are some commonly overlooked items you should include in your cost or expense calculation!

Branded Materials

At this point, hopefully you have already purchased your business location (or online website if you are a digital-only company) and any equipment required, such as laptops or technology for employees, desks and chairs, printers, and so on. After purchasing these essentials, it is then important to account for the costs of branded materials. Examples of branded materials include signage for your storefront, business cards, window decorations, clothing/uniforms, or any other items you plan to put your logo and/or business name on for marketing purposes. Designing the perfect sign for your business can be difficult, so researching some business sign ideas can be a great first step. Many branded materials like signs and window decorations are a one-time purchase (unless you rebrand your business later on), making them good investments for the future. 

Research Costs

An often overlooked step is researching your target market, industry, and audience both before and after opening your business. Assessing your competition and learning what types of customers to target with your marketing, products, or services is crucial for making your business successful in the long term. Although research can set you ahead over time, it does require both upfront and ongoing costs. You can outsource your market research to a specialized company, or you can do your own research with an effective yet cheap marketing tool. Either way, including research costs in your budget upfront is a great way to increase your future success. 

Required Software Subscriptions

Another frequently forgotten cost is required software subscriptions or purchases. For example, if your business needs Photoshop software for designing mock-ups or creating graphics, including the price of an Adobe Creative Cloud subscription is necessary for your budget. If your business needs marketing or sales software, buying access to HubSpot or a similar product is also necessary. Additionally, including the price of maintaining and hosting your business website is important to include as well. 

Conclusion 

Overall, there are many things that must be included in your budget when you first start your business. Budgeting early can set you up for long-term success, so making an accurate financial plan is very important. Hopefully, this list has helped to simplify the process and give you some ideas for other often-forgotten costs to include for your unique business!

Money Saving Tips For Summer

save money

This Summer we all want to have the best time possible, I think we can agree we all deserve it. But why break the bank along the way? Many people are taking out a payday loan for there activities and hobbies this Summer season, but this isn’t always 100% necessary. Here are some of the best tips, so you can save money this Summer.

Turn Off The Heating 

This is a refreshingly natural habit to adopt. Day and night, allow the cool air to cool the house down in the evening so the warmth Summer sun can heat it back up in the daytime. You can also put fans in the windows to help pull in the cooler air. Just make sure that you close the windows again in the morning before it heats back up. This can save you on electricity costs by not running your air conditioning as much when it’s warm.

Buy Snack For Your Day Out Before You Leave

Whether it is the park for a picnic, the cinema, or the beach, we all know that local shops, especially in tourist saturated destinations, will always charge higher. Beat them to it by bringing your own, so you can eat your home prepped sandwiches with a smiled, knowing that you’ve beat the system and made some top savings along the way. 

Exercise Outdoors

You don’t need to pay for the gym, especially if you pay-as-you-go with the whether as good as it is. In the Summer, the whole world is your gym, so go and explore the great outdoors without having to fork out.

Go to a local event instead of a movie

Check your local Facebook page or newsletter and see what’s on in your area. You don’t have to pay for a top quality day out, so why not enjoy the better things in life that are free?

Wash your clothes in cold water

This may seem like somewhat of a blast from a past, but bear with us If it’s an exceptionally hot day, this one is an absolute no-brainer and you’ll thank us later. About 75% of the energy you use doing a load of laundry comes from heating the water. This is not an unhygienic measure and you will get the absolute same result. Your clothes can still get clean even without using hot water. If saving money isn’t enough incentive, cold water also helps your clothes last longer by not putting the same strain on them that warm water does.

Cook outside

BBQ season is here, and who knew it could help you save on energy? Grill to you hearts’ delight, there are even some wild recipes out there you would never have thought of. Cooking pizza on the grill for instance. If you don’t have a grill, local shops nearly always have some type of countertop grill or disposable BBQ you can also cook with outside.