Three Ways to Save Your Business Money So That a Minimum Wage Increase Won’t Hurt

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This Tuesday, the National Federation for Independent Business sent a letter to the U.S. Senate advocating against raising the federal minimum wage from $7.25 to $10.10. The NFIB, which represents the interests of small businesses across America, argues that the raised minimum will jeopardize the health of many small businesses, which frequently have smaller revenue margins than larger corporations.

On the other hand, as democrats and labor activists point out, the current minimum wage is simply too low to reasonably support the average individual. Many people working on minimum wage are forced to rely on government handouts to get by. Raising the minimum wage would positively affect 16.5 million employees, and lift almost a million people above the federal poverty level.

There are two sides to every story, and it’s easy to understand the concerns small businesses have. They don’t want to keep employees in poverty — they just want to make a comfortable living, something that’s increasingly difficult with the multitude of government taxes, regulations and obligations affecting them. Here are three ways small businesses can lower their costs of operation so that a wage raise is feasible.

1. Reducing Cost of Supplies

Supplies can comprise a significant part of overhead cost, especially because it can be difficult to see how these costs add up over the course of the year. One recent article in the Huffington Post detailed how a simple switch from c-fold paper towels to an automatic paper towel roll helped to cut down on monthly costs. It’s also good to check where your supplies are going. If the entire office has access to a printer, are people printing up pages for personal use? No one thinks much of using it once a week, but over time the costs of paper and ink can add up for your business.

2. Cloud Solutions Can Streamline, Cut Costs

Cloud computing solutions allow businesses to access data storage, software and hardware through a remote location. This can save your company money in multiple ways.

  • You don’t need as many IT employees on hand, saving labor costs
  • Increased accessibility to data storage through cloud computing means not only greater efficiency, but an opportunity to become a more “paperless” office, thus saving on printing and storage costs
  • Cloud hosting makes software more accessible to employees since they can access it from mobile devices, from home, etc.

Overall, it’s not surprising that the majority of businesses report saving money by employing cloud computing solutions.

3. Taking a Second Look at Your Utilities

“A penny invested is a dollar earned,” as the saying goes. Investing now in greener solutions for utilities can save you money in the long run. LED lights, for example, typically cost more but last years longer, while consuming less energy at the same time. For offices where corridors might often be empty, you can also consider getting motion-sensitive lighting that turns off when no one is in the room. Research your utility providers as well to make sure you’re still getting the lowest price; are there other providers with better rates?

Are you looking for ways to reduce your business’s costs? Will you contact cloud solution providers? Let us know in the comments. Learn more at this link: