Page 19 - Trading #101 Course – Part THREE: SETTING UP YOUR BUSINESS – www.traderscoach.com

TRADING #101 COURSE – PART THREE: SETTING UP YOUR BUSINESS – WWW.TRADERSCOACH.COM

night watchmen, and not carrying more fuel than the planes needed - which,
interestingly, would be dumped in flight prior to landing to avoid the danger of
combustion.

As you can imagine, every time gas prices increase at the pump, the airlines struggle to
stay alive. And, extra weight on an airplane uses more fuel and costs more money.
American Airlines systematically went through every single line item in their budget and
lightened up the load to save money on fuel. And, it worked. The airline avoided
bankruptcy, weathered that storm and lived to see another day.

Here it seems that necessity is the mother of invention.

The first commercial flights took place in the 1930’s, and it took around 70 years for the
airlines to really look at fuel efficiency the way American did. Of course, the measures
that American took have now been adopted by every major airline around the world.

But, what took them so long to think of these ideas in the first place? The answer lies in
the fact that American was forced to look at everything possible to save money when
faced with bankruptcy. It was a necessity.

When running your business, you do not need to be faced with bankruptcy to get
creative and think of new and innovative ways to cut costs. You just have need the have
the mind-set to think that way in the first place. I urge you to do so.

16 Ways to Immediately Cut Costs

This is a list to get started with and it is mostly common-sense ideas. The list helps to
cover all the bases and get your mind thinking in the right direction. And, you can
probably come up with a few ideas that would work for your personal situation.

1. Delay expenses.
If you are not going to use an item right away, delay the expense. If you have
expenses like insurance, rather than paying in one big lump sum once a year,
make monthly payments and spread the expense out over time.
2. Lay off personnel.
Do whatever you can do yourself. Lay off the baby sitter, cleaning lady, gardener,
receptionist, bookkeeper, and so on.
3. Restructure debt to get lower interest rates.
This includes business debt, your mortgage, and credit cards. You can negotiate
with anyone; just get on the phone and start the conversation and come from a
position of strength since you can take your business elsewhere.
4. Lower rates with your vendors.
Call every service provider you have and ask if they it can lower your monthly
payment., They may say no, but they know that you can go elsewhere for
services, so they may try to work with you, and any discount is a good discount.

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