5 – Van Insurance
If a business has a van, it’s very likely that it has more than one. Just think about the types of businesses that have vans: courier services, builders, decorators etc. There’s usually more than one person in the company who needs the van, so having a few is generally necessary. With that being the case, making them road-worthy can be rather expensive, particularly if you have a large fleet. The largest expense you’ll face will be the insurance. Despite being quite cheap individually, the pennies add up if you have 10 vans to insure – a rather expensive do.
4 – Human Resources
Although the vast majority of companies outwardly tell you that they enjoy ‘investing in their people’, the recruitment process is extremely expensive and is one of the things businesses wish they could cut costs on. This guide from Forbes to efficient recruiting using cheaper, external recruitment companies is extremely helpful if you’re looking to make hiring people hurt less.
3 – Broadband
This is mainly a problem for small businesses. If you are a business in the 21st century, it’s almost certain that you’ll use the internet for at least a part of your work. Whether it’s marketing and social media, or tracking your deliveries, the internet is massively important. The problem is, installation costs for business internet lines are quite expensive, and monthly costs can be difficult to manage if you have a high package. You can use a comparison site to find the best price, though if you’re clever.
2 – Advertising
Every business benefits from good branding. If your online and physical marketing presence doesn’t reflect well on you and drive customers through your business’s front door, you aren’t marketing right. Advertising is so important, that even political campaigns in the 21st century are like ads for beauty products. The famous example of this is the marketing campaign led by the Conservative party which looked like this. The campaign was so expensive that the party spend over £100 million over 5 years – the largest amount of any campaign in British politics.
1 – You
Companies spend the largest amount of money on the people they hire. No business likes a high employee turn-over, so companies generally spend a lot of money developing their employees through expensive training programmes and personal development courses. This doesn’t even begin to take into account wages and employee perks like bonuses and performance pay. So you’re the greatest expense on your business.