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Cost Saving Strategies for Small Businesses in Singapore

March 20, 2015 | Sharon Cheong

Even the world's largest companies have had to cut back on expenses and lower their work force over the last five years. Sometimes it can be quite helpful to analyze expenses in your small business in Singapore to see if you could be wasting money in some areas. Generally, there are places where almost any company could shave money off their expenditures. The first step is to evaluate whether every disbursement is completely necessary. Your expense analysis should include everything, such as building lease, employee salaries and utility bills.

Outsourcing in Singapore 

Many companies are now outsourcing specific tasks and Singapore is famous all over the world for being an economical region for this. It has a quality infrastructure, a welcoming business environment and close proximity of a vast pool of Asian clients. Many large global corporations now have an offshore home in Singapore including Credit Suisse First Boston, Microsoft, Hewlett Packard, and IBM. These large corporations consider Singapore an excellent place to invest or build electronics, IT and communications firms. 

Lower Building Lease Costs 

Monthly building costs are also normally a large part of the expenses. If you have a business that needs to be in an upscale location in Singapore, then you're probably paying more for your location than for other expenses. Some businesses don't really need an upscale location for their everyday business needs. They only need a prestigious address and a place where they can occasionally meet with clients. With a serviced office, you can get all the perks and luxuries of the very best without having to pay for it. You might be able to save thousands of dollars per year by leasing a virtual office and moving your day to day operations into a more affordable area. It is definitely worth a look. 

Difficult Customers

Every business has customers who are simply not worth the money you earn off of them. If you don't want to let them go, then increase your prices to compensate for the extra attention they require. You could just explain that you've had to institute an overall price increase for your goods and services so they will not suspect that this increase is only for them.

Experts often speak in terms of the “lifetime value” of a customer. It's important to know this about your customers and be prepared to take action if someone isn't lining up. If you can't deliver your offerings at a reasonable profit, then you may be better off without that customer and their business. Some business owners take this option very seriously and perform a customer profitability analysis from time to time. This can help you understand if you are generating target profit margins on each customer.

Get the Best for Less 

In Singapore, you'll find plenty of reasonably priced office space and skilled employees. This region is a major center for the banking industry, investors, insurance, marketing and real estate. Whether your finances are limited or not, it's wise in this economy, not to spend money unnecessarily.  Servcorp Services Offices provide luxurious office space in the city center with fully trained staff, internet, phones, and everything you need. These offices are near Mass Rapid Transit with access to major highways throughout Singapore. 

Call Servcorp today to learn how you can save more and earn higher profits with a serviced office space in one of Singapore's busy financial districts.