Finding a way to reduce waste is one of the main tasks of any business—no matter if it is a huge corporation or a small home-based business. Wasted time, wasted materials, wasted effort—it all can take a big chunk out of the profitability of a business. In our home businesses, we actually have more flexibility and are better able to reduce waste than those large, cumbersome companies—we just have to make the effort to get it done.
You might be wondering why you should even worry about a little waste if you are such a small operation? It can’t possibly cost that much and who has the time or the focus to be on the lookout for waste? Well, consider that if you are wasting paper, postage on items mailed to an ancient database/mailing list, or frittering away an hour or so each work day—it might cost you $25 a week. That is $100 a month or $1,200 a year. What could you do with $100 a month back in your business or family coffers? I don’t know about you, but for me that amount would make a big difference in my family budget.
So, where can you look for waste? I mentioned a few places—keep your mailing lists up-to-date so you are not spending money mailing to dead addresses, make sure that you use paper wisely and are buying affordable supplies (You might have gotten used to buying certain items and not actually priced them in a while. You may be able to find stuff cheaper.) Consider how efficiently you are using your time, as well. Wasting time can be a big way to keep your business from making as much money as it can.
You might also look over your transportation costs—this is one of those areas where a few extra, unplanned trips can add some substantial expense. If you regularly ask yourself if you are running an efficient business and keep an eye out for waste—you should be able to maximize your profit potential.
Also: Eco-friendly Home Businesses