Cost Management Strategies for Green Businesses

With the economy in the state that it's in, we all have to find creative ways to save money and better utilize our resources. So, when it comes to the business world, being that 50 percent of new companies close their doors within a year, it's vitally important that they come up with cost management strategies that will keep them thriving.

If you have a green business and you're looking for some ways to be as financially savvy as you are energy efficient, here are five tips below:

Be smart with your utilities. Above just about everything else, a green business should be known for being smart when it comes to the use of their electricity and water. You can do this by doing things like opting for natural light over lamps and overhead lighting during the day, opening your windows instead of using the central air in the spring and autumn months, being on your laptops more than desktops (laptops use about 60% less energy), having a water filter on your sinks rather than bringing in bottled water and unplugging whatever does not need electricity at the end of the work day.

Use social media for job recruiting. There used to be a time that you had to pay to post ads in the newspaper or even hire a recruitment company to get quality employees. These days, thanks to social media, you can use Facebook, Twitter, LinkedIn and even Craigslist to seek out qualified people to interview for positions. This is a cost management strategy because all of those options are absolutely free.

Download free software. You can find free software for just about any technological need that you have. You can download Skype for video conferencing, Google Drive for storing and syncing your files, DropBox and SugarSync for cloud storage and Open Office for software that is similar to Windows, only sans the cost.

Buy smart. Get less. When it comes to finding other effective cost management solutions, it's always important to remember that you don't have to (always) buy brand name things to get the quality that you're looking for. For instance, the grocery store brand of print paper is going to be just as good as the more commercial brands, so don't run to an Office Max just because it has the name "office" in it. And while we're on the subject of paper, a green business should not just have the reputation for utilizing energy wisely, but also for conserving resources; especially paper. Thanks to online communication, thankfully, we don't have to use paper as much as we once did when it comes to correspondence, sending contracts (such as with SignatureConfirm.com) or even booklets for staff (you can also put it in a PDF file). But, if you just have to use paper, make sure to use recycled print paper, to print on both sides and to go to a local store like Walgreens to have your ink cartridges refilled.

Write off your deductions. One of the best ways to save money is to not have to pay so much at tax time. A great way to do that is to make sure that you make proper tax deductions on an annual (or quarterly) basis. There are even write-offs that can be made when it comes to certain energy efficient upgrades that you make at your place of work, so make sure to visit IRS.gov before turning in your tax forms.