You have to take into consideration what your business is and what you are trying to accomplish prior to cutting costs. It can seem like a good idea to cut costs to a bare minimum in order to have the most streamlined budget however this can cause a business to lose employees and customers. When costs are cut too deeply without consideration of need and direction then a business can suffer and possible put themselves out of business.
Key Takeaways:
- Every business will hit a financial pothole, with the first response being to cut costs and cut them quickly.
- The phrase ‘cut costs however you can’ can be a very dangerous directive.
- . All too often the tangible cuts, such as sacking staff, are clear, but the less tangible cuts, such as reducing meal sizes in a restaurant, are less apparent.
“All too often businesses become obsessed with cutting costs at the expense of actually doing business and this causes far more grief than the issue that instigated the cost cutting the first place.”
Read more: https://www.inc.com/andrew-griffiths/cut-costs-without-destroying-your-business.html
