There’s more than enough information online about how to start and run a business. However, there’s surprisingly little information about how to start and run a FRUGAL business.
What is a frugal business?
A frugal business is run by an owner who is smart about money. The money smart business owner:
- Understands the value of both time and money which allows them to make productive choices for using both.
- Makes financial decisions with the long term in mind.
- Cuts unnecessary costs while improving revenue.
A Frugal Business Bears Fruit
The word frugal comes from a Latin word which means “to bear fruit.” When an apple tree bears fruit, it’s doing what it’s supposed to do. When your frugal business is bearing fruit, it’s satisfying its customers while delivering profits.
The word frugal is used to describe planning to use resources in a way that avoids unnecessary waste or expense. That’s the concept we want to embrace here.
Using resources – not just money- in a way that avoids unnecessary waste or expense.
A Frugal Business Invests Wisely
The frugal business owner makes wise investments of both time and money.
The frugal business owner knows when to hire an expert to do a difficult job. Hiring experts to do essential tasks is a wise investment of your time and your money.
The frugal business owner recognizes that it’s OK to give up on a project that’s going nowhere.
A Frugal Business Embraces Simplicity
Simplicity is frugal and frugal is simplicity.
Simplicity is cutting out the extras, the unneeded, and getting to the core of what’s essential. A simple Frugal Business costs less. Saves you money. Saves you time. And simplicity is somehow satisfying.
Check out 7 excellent reasons to embrace simplicity in your frugal business.
A Frugal Business Saves Money
Too many business owners wait until financial disaster is looming before they begin looking for ways to maximize cash flow and minimize expenses.
The frugal business owner recognizes that building up cash reserves is critically important to fund future growth.
A Frugal Business Nurtures the Big Idea
Every business needs something big that is unique and compelling to sell. Having this unique, compelling idea is at the core of your business. Without it, you can’t proceed. How do you know what to market, to sell? How do you know who to sell it to? And where? That’s where your BIG IDEA comes in.
A Frugal Business Operates with an Abundant Mindset
Running a frugal business requires a lot of resources. Of course, there’s the obvious resource of money, but there are others that may be in ever shorter supply such as time, energy, knowledge or connections.
If you’re not careful, running any business can feel like you’re in a constant state of NEEDING SOMETHING. That’s where developing an Abundant Mindset can transform your business and your life.
If you’ve got questions about running your frugal business, contact us.