Most businesses want to be independent. But there may be advantages in a co-operative approach.

Could you share costs with business neighbours? These could include:

  • Setting up a community Wi-Fi source for a number of businesses.
  • Sharing unused office or storage space.
  • Negotiating insurance cover on an “estate” basis to trim premiums.
  • Setting up a delivery service – one van to make local deliveries for a number of businesses.
  • Retail outlets in a common location could club together to promote their mall or street.

There will always be what-ifs to this type of co-operative effort but if the cost sharing made a joint contribution to cost savings, wouldn’t it be worth exploring your options?

Practically, it may be necessary to form an umbrella management company to deal with the costs and recharge members for their share of costs. But as long as there are overall cash savings to be had why not at least consider this as an option?

Past disruption and the current impact of inflation has taught us that flexibility is a key element if you want to stay afloat. For many businesses, the stresses and strains have proved too much and cherished family businesses have been forced to close. But those businesses that have survived are leaner and better able to cope.

It may well be that co-operation of this sort may not be an option for your business, but you have nothing to lose by considering what may be possible.

Source: New feed