What are 3 hidden costs when running your business?

Running a business is no easy task, especially from the financial point of view. I can tell you from experience that when you are a young entrepreneur, finances can sometimes be the source of unpleasant surprises.

There is a large amount of costs than you might expect being an up-and-coming entrepreneur, but here are some real costs you might not expect.

Equipment and maintenance

Investing in equipment is a no-brainer. Every young entrepreneur out there needs to have great computers, cellphones and other digital equipment that his business requires. Investing in this sort of things is usually a well-planned part of every budget. However, these gadgets can break at any time, usually when it’s least expected and the repair costs can amount to a sizeable sum. It’s very important to plan a maintenance budget that will accompany your equipment budget, otherwise you may get blindsided by the things that are there to help you.

Employee turnover

Having a solid team is a dream come true, but as a young entrepreneur, you need to know that employees often leave in short periods of time. If you don’t have enough financial resources set aside for these situations, employee turnover might leave you in debt. The selection process, the training and the period where you are one person down can have a negative financial impact on your company if you’re not prepared!

Payment delays

You may deliver all your promises on time, but unfortunately, many people don’t. Due to multiple factors, it is possible to get the work done and then to have to wait for a while until you get payed. Your company will suffer because of this, but it is really difficult to always predict which client will respect you. Sometimes, in the world of business, you will be forced to wait, while your company needs to pay the bills. This can mean trouble for your startup if you don’t have an SOS budget prepared.

What can you do?

As you can see, there are many unpredictable costs that you might face as a young entrepreneur. It’s great to set aside a certain amount in case you have a financial emergency coming your way.

However, if this is not an option and if you’re in need of some cash quickly, there are solutions out there. Sites like https://minifinans.dk/ offer short-term loans that can be used to quickly cover your costs. You can take up to 12000 DKK that you have to return in 5 to 30 days.

If you are facing a short-term money shortage, this kind of service just might be perfect for you and your business!

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