Avoiding Impulse Spending
Some questions and answers to think about:
Q. Does people mention that you spend too much money and haven’t thought through your purchases?
A. What is a good idea today is a good idea tomorrow. This statement has saved me from making many purchases that would have been duds. It always seems like someone else may get there first, so let them have it if it’s soo important to them. You will find a better deal and by better I don’t mean cheaper, or newer. Sometimes a better deal is one that you made after your brain has had some time to think through the ideas. You can really surprise yourself with how much you can learn just by applying a wait rule.
Q. Are you surprised each month when your bills arrive at how much more you charged than you thought you had?
A. Take a moment and check your account before purchases. This will help you not to over spend and get into that viscous loop of getting fees that you can’t pay.
Q. Do you have more equipment in your business than you could ever possibly use?
A. Take an inventory of your equipment and supplies. Make a list that you keep in an obvious place so you can add to it and remove items you no longer use. One list should be equipment and another supplies. Every item that needs to be purchased over and over should be listed and now you will be able to plan your purchases. Larger amounts of an item usually mean discounts so check online and at local shops for deals if you buy in bulk. You are going to need those items again and again so why not save money on the larger purchase that you are going to need. In the outdoor business like landscaping and lawn care it is really common to have a back up of everything or two so make sure you have what you need without over buying. Sell the equipment you do not need and use that money to shore up your business in other ways.
Q. Do you own every new product that enhances your business before it has time to collect dust on a retailers shelf?
A. Those purchases are only good if they will complete your business in a way you are developing toward. An example would be to purchase a GPS device that is mounted on the dashboard so you don’t have to fumble with your phone while driving if you are developing a lawn care business.
Q. Do you buy things you didn’t know you wanted until you saw them on display in a store?
A. Do your research before purchasing and remember we mentioned taking some time to think it through about whether it is needed. It is important to join organizations where other people in your industry gather because they can shave years off of your learning curve about what you will need and how to structure your business.
If you answered yes to yourself any two of the above questions, you are an impulse business supply spender and indulge yourself in equipment purchase therapy.
This is not a good thing but there are some ideas related to each question that will help. Following our tips will help you to save for the important things like a house, a new car, a vacation or retirement. You must set some financial goals and resist spending money on items that really don’t matter in the long run but instead to purchase the things you logically need after you had some time to think it over.
Impulse business spending will can potentially put a strain on your finances and relationships, as well. To overcome the problem, the first thing to do is learn to separate your needs from your wants and to make lists and compare what you find. Joining organizations where others can give you more input will help you to have the information you need for comparing ideas.
Advertisers hit us hawking their products at us 24/7 and some of them are needed. The trick is to give yourself a cooling-off period before you buy anything that you have not planned for, and to really consider the purchase.
When you are considering making a business purchase, make a list and take only enough money to pay for what you have planned to buy.
If you see something you think you really need, give yourself a couple of days to decide if it is really something you need or something you can easily do without. By following these ideas your business will move forward one day at a time and will become a stable source of income for your family.