Maintaining a healthy, efficient and profitable business requires careful and proactive financial management, regardless of the sector, so understanding unnecessary expenses in detail is an essential action for the company to continue functioning well.
According to Reinaldo Boesso, financial specialist and CEO ofTMB Education, fintech which offers the possibility of installment payments through bank slips, it is very common in the digital market for companies to want to grow and profit quickly, while forgetting the small financial details that can make a difference. "If you do not understand well how to manage your company, you risk losing control and eventually the business itself," he warns.
According to the executive, it is possible to draw a parallel between a company's costs and a tree. "In both cases, you need to prune constantly so they continue to grow. This is a lesson that every manager and entrepreneur should know," he says.
The CEO of TMB Educação explains that, just as it is common for individuals to accumulate unnecessary expenses, the same can happen in a legal entity. Just like you subscribe to four or five streaming services without using them and realize you're spending unnecessarily, it is very common for a company to accumulate expenses that don't make sense, from subscriptions to tools that no employee uses to forgotten expenses. These costs end up eroding the company's profit if there isn't a manager carefully monitoring them, he advises.
Reinaldo Boesso explains that, with the growth of the business, it is natural for some areas to become more bloated, so the manager's role is to identify these areas to work more efficiently and profitably. It is necessary to consider that some things that were done in a certain way can now be done more efficiently and economically. Success is definitely in the hands of those who know how to manage!
Check out some of Ricardo Boesso's tips for reducing expenses in your company:
- Renegotiate rental contracts and expenses
- Automate processes to reduce labor requirements
- Review internal processes and try to reduce waste
- Adopt practices to reduce energy consumption
- Choose suppliers with the most advantageous rates
- Partner with other companies to reduce marketing costs
- Revisit the product and service portfolio
- Offer new payment methods
