To Invest or Not to Invest: Balancing and Conserving Your Budget in a Tight Economy
6/11/2010 at 9:30 am by
The Office’s Michael Scott once had an important decision to make: should he invest in a new copy machine for the office, or invest in new chairs for his workers? Okay, maybe this decision doesn’t seem that difficult, but it was for Michael. And – true to form – he took the counterintuitive approach and bought new chairs. Ultimately, this increased his employees’ productivity.
Maybe your company would better benefit from a new copy machine, but there is an important lesson to be learned here. Sometimes you have to make counterintuitive decisions to advance your company. In a tight economy, it may seem superfluous to spend money expanding your company. But savvy investments are key to growing your company regardless of the climate.
Spend wisely
When funds are tight, a good rule of thumb is to avoid overstocking inventory. Remember, every item sitting on your shelves should be able to be transformed into cash or it’s a waste. You also don’t need that top-of-the-line, giant, LED-back-lit monitor.
Instead, invest a little more money in your social media campaign. A recent study from Omniture shows that 69 percent of business owners think social media marketing is an effective way to promote their products and services.
Another tip is to invest more money in CRM technology or hire new customer service agents. According to CBS Business News, serving and supporting customers is the new marketing in the recovering climate, and CRM tools can help companies most accurately address consumers’ needs.
So what’s the Michael Scott lesson learned? Even when budgets are slim, it pays to invest money in your business – just be smart about it!





