Business Opportunities Weblog

March 27, 2007 by Rich Whittle | 0 Comments

Rhonda Abrams At Gannett News Service:

Each of us who runs a business has fixed expenses: rent, telecommunications, utilities, shipping, credit card fees. This monthly overhead — sometimes referred to in business slang as our “nut” — takes a big bite out of our cash. By adopting a ritual of spending a half-day once a year — I suggest the beginning of spring — we can substantially lower our overhead.

Gather advertisements and promotions for the services you use. Check through your weekend newspaper and save direct mail offers. These give you ammunition when negotiating with your current provider or information when switching to a new provider.

Set aside a few hours, preferably in the morning, to make phone calls.

Collect the most recent statements of all accounts you pay regularly — not just monthly, but quarterly, semi-annually and annually.

Now get ready to make calls. For each account, call your sales representative, agent or customer service and do the following:

Ask to lower your rate or take advantage of a promotion: This seems tough, but it’s surprisingly uncomplicated.

Negotiate: Don’t take a simple “No” for an answer. Mention the other deals you’ve seen or been offered by other companies.

Be courteous: The goal is to have vendors want to keep you as a customer. If you’re belligerent, they’ll be happy to see you go.

Be certain to re-evaluate these expenses: wireless/cellular service, credit cards, rent and insurance.

Photo by cohdra.

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Tags: Operations, Startup