Businesses paying too much for essentials

As costs rise businesses are failing to adapt and make cost savings, according to business savings expert Makeitcheaper.com.

In a recent survey, 63 percent of business owners said that their cost base was ‘lean’. However, the research indicated that this is unlikely to be the case. It was found that business owners do not have enough time to focus on cost management and tend to shop like consumers rather than businesses. Their purchases do not always reflect economies of scale, however, meaning that SMEs are often paying more than they have to be.

As a result of the findings, Makeitcheaper.com have joined forces with Doug Richard, of Dragons’ Den, to launch Business Fit – a new service aimed at helping small businesses to cut their costs.

Doug Richard commented: “However lean small business owners think their cost bases are, it pays to have a regular health-check.

“With overheads rising considerably over the last six years, business owners may be surprised at how much weight can be shifted from their cost base by investing some time in taking control of costs and looking for the best deal — or letting an expert do it for them.”