The tough economy calls for practical money saving tips to help small business people save some cash every month. Ranging from very simple tips like taking your lunch to work rather than eating out, to more specific financial suggestions such as invoice factoring, these tips could help you make it through the tough times until our economy has recovered.



Did you know that insurance companies will charge more if you pay monthly? However, if you pay once a year you will pay less.

If you travel in your business, pay serious attention to reward credit cards that pay out in cash or points that can be redeemed. Most of these cards don't have an annual fee, and they allow you to travel for free using points earned from the credit card.

And, while we are on the topic of credit cards, pick up the telephone and request a reduction in the interest rate on your highest interest bearing credit cards. As with home equity loans, credit card companies, when pushed, sometimes are willing to reduce their interest rates, especially if you pay on time, and pay more than the minimum due amount.

Another tip for credit card debt is to simply pay down, or pay off the cards with the highest interest rates. Using single invoice factoring - you could pay off one of your cards every month. Factoring is a way to acquire business capital without having to make payments to a lender that requires monthly payments. You simply contact a leading factoring company online, then hand over invoices. They will check the credit of your clients, not you, and agree to collect the money due. You get the money in as little as 24 hours, and they get a small fee. The factoring company then assumes the role of getting the funds.

Did you know that replacing your office light bulbs with compact fluorescent light bulbs can mean your bulbs will not only last 10 times longer, but they will also use 75 percent less energy, saving money and energy.

A Flexable Spending Account (FSA) allows you to pay certain medical, dental and child care expenses using pre-tax dollars. It is is similar to a health savings account (HSA) or a health reimbursement account (HRA). Medical FSAs are commonly offered with traditional health plans. FSAs can be utilized by paper claims or an FSA debit card also known as a Flexcard.

Does your business experience seasonal fluctuations for its products and services? Is your company lacking capital? If so, this is just one more reason why you may want to consider a factoring company.

Today's small businesses are under constant pressure to maintain profitability and survive. At these times, business owners often spend too much time and money on their accounts receivables and collections, when in reality invoice factoring could save you time, and eventually increase productivity and profits.

Most recently, however, there is a trend for something known as single invoice factoring, which can also be called spot factoring. This is when you factor one invoice at a time. A number of companies have learned to use factoring to get through tough times.