Even a small dorm-run business has a lot of costs you need to consider, and one of the most common early mistakes is to play down just how many of them there are. Many people in the position of just starting out in business are not truly aware of the full truth of how many hidden costs there are. It is worth looking into before you start, as it will give you sense of what you are getting into. And if your business is already up and running, then it will be handy to know what truly lies ahead. Let’s take a look at some of the most common forgotten maintenance costs, and how to ensure that you account for them in your own business.
It’s something that you definitely can’t run a business without, and yet it is one of the main costs that entrepreneurs forget abut. You will need an internet connection in order to run your business, but have you accounted for the costs of having one? Although you shouldn’t have to spend all that much on having an internet connection, it is still something you will need to take on board. It might not be very much month to month, but overall it is a lot of money, and you need to remember that if you want to stay on top of your business as best as you can. It is obviously also worth trying to find the cheapest provider you can, as in the long run this will make a huge difference. But either way, just ensure that you include the cost of the internet connection in your budget. You’ll miss out if you fail to do this.
If your business centers around a brand-new idea – and the best ones do -then it is possible you will want to protect your intellectual property in some way. Having a brand new idea is hugely valuable, and it’s not something you want to toy with. There are any ways of legally protecting an idea, but the most common is the patent. You need to buy a patent for your idea, which costs money upfront, and you will need to make sure you have the money for that. You will also find that having the patent costs you money in the long run, as there are certain administrative and maintenance costs that go along with it. In this way, it will be beneficial if you know your options, just in case you need to take a step back and look at your finances. You can always sell patents if the costs are riding too high, or you might consider putting them on hold until a later date when your business is more in the black.
Again, it is something that might seem so small as not to bother with – but if you overlook these kinds of details, it can make a drastic difference to how successfully or not your money goes. The stationery you use in your business is likely to rack up, and over time will surprisingly constitute one of the major expenses of your company. You therefore need to be a little clever when it comes to purchasing your stationery, as you want to save as much money here as possible. You could consider buying in bulk, so that you are not spending any more than you have to. Or you might decide to shop around for the cheapest wholesale provider. Both of these are good ideas, but more generally it is just important that you keep up with the costs in your budget. Being aware of the costs is the main point of interest here.
Perhaps your dorm-run business is just you in your room, but it is just as likely you will decide that you need a little help. Many people do, and there is no shame in that. If you feel that you need some help from others, then you will have to think about the costs of that as well. The main cost here will be their salary, which might well run you into more debt than you realize. Be sure only to hire people if you can afford it, otherwise your business could truly suffer. Even then make sure that your salary is both fair but affordable. You want to ensure your business can continue, regardless of what you are paying your employees, so be careful here without treading on any toes. It’s a tough line to balance, but it is going to be worth it.