5 Easy Ways to Save Money in Your Cannabis Business
Starting up your own cannabis business is no easy fit as it takes a lot of guts for anyone to take that leap of faith and get on with it as there is no success without some form of risk involved and most times opportunities lie in difficulties. However, to be able to break even and make some form of profit in the world of business especially when starting, you need to take some economic decisions which will help your business’s future in the long run.
Things are even more severe in these uncertain times when the world has almost gone into recession as a result of the almost global lockdown caused by the novel coronavirus pandemic, a lot of businesses have been hit hard and most have had to shut down, halt or scale back operations for the time being. Though some cannabis businesses have not been very much affected by all these, these tips can proof very useful for many especially those just starting or intend to start soon. It will not only be useful for this period but can also serve as creative ways to save expenditure while boosting your profits in the long run.
Saving Money on your Business
The following tips are not theoretical suggestions to help with your business but are tips that have been adopted by several successful cannabis businesses over the years.
Barter
There will be instances where you might be unable to handle the payment of a particular service for your company; it could be advertising, marketing, or anything else. You should be able to look out for and negotiate deals that translate to you paying less or not at all for those services where you could offer your services in exchange. This is an arrangement that could potentially increase your sales and profits as it lets them become familiar with your abilities which they could be willing to pay for or even refer others to you in the future.
Go Directly
In as much as you’re trying to find your feet or navigate in an endeavor or process that seems like unfamiliar territory with the help of a ‘professional’, it is up to you to change the direction of things especially when it has failed to move in the direction you would want it to, it might be best to just deal with it directly and direct the fund towards another means of improving your business. This is exactly what happened to LucidMood when its PR firm was not performing as per expectations and they had to stop their services and direct the funds instead to more profitable use in the business. The result was not only an increase in sales but also in media exposure while saving money.
Speak up
There is always that issue of getting the best exposure while spending the littlest money, in this case, there is an open avenue for you to get the word out there about your business without money and that is through being a speaker. Being a speaker or getting speaking and mentorship events is a veritable avenue for you to do free advertising for your business which helps reduce your advertising budget. Executives at Waveland, a CBD company adopted this method at industry events and it worked for them.
Remote Work
The peculiar times we are facing now with the prevalence of the pandemic has made working remotely a very viable option for many businesses. Though there were quite a few who adopted this method before the pandemic, the global lockdown and the resulting need for many businesses to shut their offices has led to the awareness that physical offices are not that important and that remote work is a viable option. Businesses could adopt to save money on rent which could be put back into the business.
Additional Sources of Income
Running your business from day to day might not be the only thing you need to focus on right now. You can think of some ways to generate passive income which could come in handy for your business in the future. Generating additional sources of income is a solid means of bringing in needed funds for the business and they could range from high-interest accounts to advertising income. If you are in doubt or need of advice, ask LeafLink, a cannabis management company that invests in such portfolios to earn enough to pay rent for their offices and still have some leftover to put back into the business.
It is often said that 'where there is a will, there is a way' and this often turns out true in most situations. What this means is that if you wish to achieve some growth in your business, it can be done no matter the difficulties you might experience. This is something that has been exemplified by the various cannabis businesses that have adopted the steps above among others to ensure that their business doesn't just survive but thrive during challenging times.
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