How to Stay Ahead of Rising Costs in 2025
The latest ANZ Business Outlook Survey shows that many Kiwi businesses are booming—but there’s a catch. 70% of businesses expect their costs to rise as we head into 2025.
So, what can small business owners do to stay profitable while costs keep climbing? The good news is that you’re not powerless! Here are five smart ways to keep your expenses under control and protect your bottom line.
Five Ways to Beat Rising Costs
1. Get Smart with Your Spending
Take a deep dive into your business expenses. Where’s the money going? Are you paying for things you don’t need? Cut unnecessary costs, renegotiate supplier contracts, and tighten spending controls to make every dollar count.
2. Rework Your Supply Chain
Your current suppliers might not be the best deal in town. Shop around, explore bulk purchasing, and team up with other businesses to increase your buying power. A little research could lead to big savings.
3. Focus on What’s Most Profitable
Not all products or services bring in the same level of profit. Identify your top money-makers and focus on those. Drop or tweak the ones that eat into your margins.
4. Boost Efficiency & Cut Waste
The leaner your operations, the lower your costs. Automate processes, reduce manual work, and go energy-efficient to save on labor and utilities. Small changes can lead to big savings.
5. Adjust Your Prices (Wisely!)
Raising prices is sometimes necessary, but don’t scare off your customers. Make small, strategic price increases that keep you competitive while protecting your profits.
Need Help Managing Rising Costs? You can’t control the economy, but you can control your business strategy. Let’s talk about ways to cut costs and stay profitable in 2025, we can look at the effect on cashflow. Get in touch today!
So, what can small business owners do to stay profitable while costs keep climbing? The good news is that you’re not powerless! Here are five smart ways to keep your expenses under control and protect your bottom line.
Five Ways to Beat Rising Costs
1. Get Smart with Your Spending
Take a deep dive into your business expenses. Where’s the money going? Are you paying for things you don’t need? Cut unnecessary costs, renegotiate supplier contracts, and tighten spending controls to make every dollar count.
2. Rework Your Supply Chain
Your current suppliers might not be the best deal in town. Shop around, explore bulk purchasing, and team up with other businesses to increase your buying power. A little research could lead to big savings.
3. Focus on What’s Most Profitable
Not all products or services bring in the same level of profit. Identify your top money-makers and focus on those. Drop or tweak the ones that eat into your margins.
4. Boost Efficiency & Cut Waste
The leaner your operations, the lower your costs. Automate processes, reduce manual work, and go energy-efficient to save on labor and utilities. Small changes can lead to big savings.
5. Adjust Your Prices (Wisely!)
Raising prices is sometimes necessary, but don’t scare off your customers. Make small, strategic price increases that keep you competitive while protecting your profits.
Need Help Managing Rising Costs? You can’t control the economy, but you can control your business strategy. Let’s talk about ways to cut costs and stay profitable in 2025, we can look at the effect on cashflow. Get in touch today!
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