5 Easy Ways to Improve Your Profit

Profit improvement doesn't happen by chance; you need to implement a plan and hold yourself accountable. Top entrepreneurs know that small profitable business ideas can go a long way. Running a successful business is hard work.

How to improve your profit | www.deductingtherightway.com

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#1 Reduce your accounts receivable

Unpaid invoices are your worst enemy and the biggest source of stress. You must create a strategy to tackle past due balances. Your customers help keep your doors open, but they can also cause its closure.

#2 Sell unused assets

If you have too much inventory or unused equipment and supplies, then sell it. Use the extra money to pay down business debt, pay operating expenses, or increase cash flow.

#3 Sublet unused space 

Turn open spaces or unused rooms into cash by leasing them for short-term events or offices. Make sure you have general liability insurance and require the renters to have it too.

#4 Hire freelancers and independent contractors

Sometimes you make tough decisions —  reduce work hours or let go of employees but it doesn't mean you shouldn't have the help you need to run your business. Use freelancers seasonally or for one-time projects.

TIP: Make sure you follow federal and state rules for correctly categorizing 1099 workers vs. W2 employees.

READ MORE: Why You Need to Hire a Freelancer for your SMB

#5 Automate tasks whenever possible

Stop doing things the old-fashioned way; it wastes time and money. You need to modernize your business and eliminate inefficient workflows and processes.

DISCLAIMER: Please consult with your accountant, attorney, and financial advisor before implementing any information displayed on this website. DIY research does not replace the advice of a licensed professional who has thoroughly reviewed your file.