Frugaling

Money — it makes and breaks a solopreneur, so much so that many single-person businesses don’t make it past 12 months because the finances just don’t add up.

And while you can read all the articles you can, watch all the videos you can find, and listen to every podcast you’ve sourced, there’s no blueprint for how your business should manage its money.

I’m not here as your white knight. But I am here to tell you that there are ways you can save it money.

However, you might need to take a seat. Why? Because it’s not all jolly cuts.

Everything I’m going to tell you now is about spending money, but doing it in the right way – so that you save money in the longterm and your business lasts well beyond its first year.

Use credit to manage your cashflow

Cashflow management is a simple concept that’s hugely important to first-year solopreneurs – it’s controlling your incomings and outgoings, so that you don’t spend more than you make.

Solopreneurs need to take credit in their first years – it’s a given. However, you can save yourself the cost of late payment fees by taking the right sort of credit, sensible borrowing that lets you manage your cashflow.

There are many examples of credit you can take, such as government loans. One of the simplest is to get a fuel card. This allows you to buy your petrol and diesel now and pay for it later – so you can deliver goods or visit clients, and keep the lights on.

You can pick from plenty of options, with this review explaining the benefits of a Texaco fuel cad. The important thing is that you pick the right for you, the one that gives you most control to manage your cashflow.

Go second-hand where possible

Buying equipment can be a big drain on your finances as a solopreneur – you need the tools to do your work and there’s no getting around that.

Except, there is a way of getting around the cost – using second-hand equipment.

I’m not simply talking about buying a cheap office chair. My suggestion is that you start by forgoing new items wherever you possibly can and there are many examples when you can do just this.

Take computer equipment. Do you need a shiny new monitor? Nope. Is it essential that your keyboard is fresh off the shelf? Not a jot. Is software even something that has to come wrapped in new packaging? Not at all.

You can find lots of great options for second-hand office equipment – including Microsoft office. Take this site – you can get everything from licenses to operating systems. The key is that you vet the second-hand goods you get first – there’s no sense in picking up a chair that collapses the first time you sit on it.

Use sensible outsourcing

What’s the best way of saving money? Not spending any of it, of course. But if it were that simple I wouldn’t be writing this article and you wouldn’t be reading it – and you’re right, because sometimes you do need to spend. What am I talking about here? Investing in sensible outsourcing.

As a solopreneur, the temptation is to do everything yourself – the hint is in the name. But that’s not a sensible strategy, both for your sanity and for your company accounts.

The reason for this is that you (quite literally) can’t do everything – you just don’t have the skills. And I’m sorry if this is a rude awakening but it’s one that’s necessary. What this means is that you need to use sensible outsourcing for the things that you can’t do, so that you can spend more time on the things only you can do.

Without knowing your unique skillset, it’s nigh on impossible for me to say what you should and shouldn’t outsource. So, I’ll use myself as an example and hope that helps.

I can write (you might argue that I can’t, but we can agree to disagree on that) but I can’t do much in the way of accounting. Now, I need to do accounting as a solopreneur and I can’t change that. What I can do, though, is accept my shortcoming and outsource my accounting.

This allows me to spend more time writing and less time making an ass of myself with Excel spreadsheets. And what this ultimately means is that I make more money because can do more writing and bill more to clients.

Adopt the same approach to your solopreneur ventures and you too can save yourself money in the long run by spending it sensibly.

Recommended reading: 4 TIPS FOR STARTING A BUSINESS IN A SMALL TOWN

Saving money in your first year as a solopreneur isn’t simply about spending less cash – it’s about being smart with your necessary expenses.

Because let’s be clear about this – you do have to spend money, you just don’t have to throw it away on a shiny new monitor that means you can’t afford the electricity bill next month.

So, put my recommendations into practice and you’ll feel the benefit in the long run.

More and more, business owners value employees who are capable of performing multiple roles at once. It’s easy to see why; having one team member who is capable of performing a wide range of tasks can alleviate many logistical issues a business may face. But just what are the skills that matter most on the job market? Today, we’ll take a look at five profitable skills that all professionals can –– and should –– take the time to learn (or at the very least review). Check them out here:

Copywriting

Contrary to popular belief, writing ability is an objective skill. Professionals can sharpen their writing abilities by fixing common mistakes, including:

• Confusing syntax.
• Run-on sentences.
• Improper grammar.
• Word misidentification (E.G. “bear” vs “bare).
• Overuse of passive voice.
• Comma splices.

You don’t have to be the next Stephen King to author coherent emails, blog posts, or website page copy. Yet, being able to do so is a highly translatable skill that virtually all business owners covet.

Basic Web Maintenance

Perhaps you have the time, energy, and resources to learn how to build a website from scratch through complex coding techniques. If so, then great! If not, though, you can still pick up basic web maintenance knowledge by playing around with a platform like WordPress or Squarespace. Just knowing how to upload a photo to a website or add a tracking tag to a landing page can help you stand out from the competition.

Money Management

No matter what line of work you pursue, all professionals should understand the fundamentals of budgeting, investing, and saving capital. Otherwise, they could find themselves in a precarious financial position sooner rather than later.

Photography/Video

Do you have a camera on your phone? If so, you have the equipment that most businesses need to create video or image-based advertisements. Knowing how to shoot and execute basic videos can be a tremendous boon for entrepreneurs who are looking to make an impression on social media. Plus, original photographs tend to be more engaging than stock images.

Organization

All successful business leaders recognize that disorganization leads to waste and inefficiency. Therefore, it’s crucial for all employees to learn how to keep their desk organized and their work efficient. Great organizers also enjoy more free time and have more capacity to take on new projects around the office.

Conclusion

Not only should professionals use this list to better themselves, but business leaders should strive to educate their staff. Implementing training programs that follow adult learning theory can help your team pick up vital skills that will boost their productivity and your business as a whole. So keep this in mind moving forward.

Regardless of whether we avail ourselves of free nationalized healthcare or a private scheme, there is one thing that remains a constant source of annoyance, and that is the cost of prescription medications. Whether it’s something that has officially been prescribed or something suggested by the doctor, medicines are essential, which means they often come with a high and unavoidable price tag. That said, there are some commonsense steps we can take to drastically minimize the cost of prescription medication.

Buy Generic

Make no mistake, both doctors and pharmacies will try to encourage you to buy a name brand medication. Not only is it more money going through the counter at the pharmacy, but ethical considerations aside, many healthcare professionals will receive bonuses from wholesalers or manufacturers. However, according to the FDA, there is often very little apart from fancy packaging that differentiates generic and affordable medication from its branded counterpart, costing as much as 10 or 20 times the price. If a doctor prescribes a drug, it is worth jotting down the name of the active ingredient and insisting on the generic variant when making a purchase. Unless there is a different milligram or dosage amount, there is literally no difference between the two.

Is The Prescription Cheaper?

This is something we often take for granted. The doctor writes a prescription, then we take it to the pharmacy and go home. But we’re often paying an inflated amount for something we can actually just buy over the counter for a fraction of the price. Some doctors will even write a prescription for paracetamol, available for small change, yet often sold with an exorbitant price tag on a prescription basis. Of course, the majority of doctors will hopefully avoid this counter-productive activity, and pharmacies will often encourage customers to make a purchase ‘off prescription’ in order to save money. Unfortunately, however, there are some unscrupulous healthcare professionals who will happily let us pay over the odds.

Buy Online

This is something that many people do, yet others frown upon or simply do not consider. While in many countries with nationalized healthcare, the cost of a prescription is the same online or in-store, for private prescriptions or countries without free healthcare, the difference can be massive. Physical pharmacies have more overheads and often buy in smaller amounts due to limited space, sending the price tag skyrocketing. A quick online search will often find the same medication for a fraction of the price, from an accredited and legal online pharmacy that has far fewer overheads and sends thousands of units out every day. Furthermore, the wait times are only a fraction longer than a lot of physical locations. It’s not unusual to have to return later the same day or another day altogether, either because the stock is low or a pharmacist is not physically present. Most online pharmacies will have a ‘next day delivery’ option. No more trawling to the pharmacy with our ailments only to go home empty-handed.

Many online pharmacies, in a very convenient move, now also offer a repeat prescription service at no extra cost. This basically means that if we are expecting to have two renew our prescription for, let’s say, inhalers on a quarterly basis, we no longer need to visit our doctor to pick up a prescription and repeat the process every few months. The online pharmacy will either be proactively sent the order by the doctor, or their reminder system will ensure the doctor is contacted and the medication sent out promptly. They will also likely offer a volume discount on repeat prescriptions, so paying upfront will save a hefty chunk of change.

In summary, the days of wondering whether an online pharmacy is legitimate are thankfully largely behind us. For anyone looking to save money on healthcare, going online should be the first port of call.