6 December 2018

Stay on top of your costs

Approximately 60% of a printer's cost of sales is in materials, consumables and services. Purchasing management is thus vital to controlling costs and boosting profits, but purchasing is seldom seen as a core activity for many printers.

Reduce expenses and supply costs
Many businesses will offer discounts on products and services. One way to increase your odds of getting discounts is to make yourself popular with suppliers and other businesses by paying your bills promptly. Some suppliers offer discounts for early payment.

Our partner, Expense Reduction Analysts (ERA), can help organisations save money and boost business performance through effective procurement, improved supplier management and smarter spending behaviours.

Claim on commercial property costs
Over 50% of commercial property owners have not made a capital allowances claim. With up to 40% of a building being tax relievable, this is the time to look at your portfolio and ask if you are eligible to claim.

Our recommended provider, Garbutt + Elliott, has a team of capital allowances specialist, who have their own surveyor, will make non-chargeable and no risk visits to your buildings to determine if you have a claim, and will get all required details of costs from you/your contractors/your solicitors to process the claim for you. Although capital allowances can no longer be claimed on buildings themselves, it is the internal fixtures, performing an active function, where the potential lies.

Save on energy utility costs
Since energy costs are likely to rise dramatically on your next renewal, the best thing you can do is look at switching your energy supplier. Prices vary by region and usage, so it's always a good ideal to get a comparative quote.

The BPIF have teamed up with Inenco to provide members with an end-to-end utility solution. As the recommended energy consultant for the BPIF, Inenco provide access not only to secure pricing and supply but also to emerging technology, sustainability and legislative developments.

The Climate Change Levy is set to increase considerably from next April, as does the discount available. Those companies getting the discount will need to remember to send out new PP10's and PP11's to receive the higher discount.

Claim for Research & Development costs
Research & Development (R&D) reliefs support companies that work on innovative projects. It can be claimed by a range of companies that seek to research or develop an advance in their field. It can even be claimed on unsuccessful projects.

Put in a claim for R&D tax relief on work you have undertaken to meet clients needs. Expenditure undertaken to get your customers what they need can be eligible.

Reduce insurance costs
Insurance premiums have skyrocketed in the past decade, so it's worth looking at ways to get the price down. Upgrading your business premises with fire alarms, sprinkler systems and security systems can make you eligible for insurance discounts. Having standards and certifications in place for Health & Safety and Data/Cyber Security can also have an impact.

Look at going out to other brokers with your insurance business. It pays to keep brokers on their toes every two to three years. BPIF Insurance Services is the insurance and risk management service designed specifically for the needs of UK printers and packagers and is exclusive to BPIF members. Working with the UK's leading insurance broker, Howden, allows us to provide premium cover with exclusive benefits for a competitive price.

Think about taking out Tribunal Award Insurance. Following the scrapping of tribunal fees, companies may be exposed to more tribunal claims.

Also think about revisiting health care insurance. Alleviate labour shortages by ensuring those already working for you take less time off.

Check your pensions
Be prepared for the pension contribution increases due from 6 April 2019. Employers' contribution rises from 2% to 3%, and employees' from 3% to 5%.

Check whether you are getting value for your pension scheme administration charges. With the rush to finish pension auto enrolment many companies didn't have time to make considered decisions.

Review your business rates
Look to review your business rates. Rates reviewers have reduced many members' rates.

For more information on how to build and maintain a strong HR strategy click here.

For more information on how organise your accounts click here.

For more information on training and apprenticeships click here.

For more information on what's happening in the industry and brexit click here.

For more information on marketing and winning new business click here.