New Profit

As a business owner, it's essential to be constantly on the lookout for new profit-making opportunities. What you may not realise, however, is that creating a business within your business can be one of the best sources of hidden profits there is. In fact, most businesses have multiple ways of increasing profits just waiting to be discovered.

The following 10 profit-boosting actions can be done without any extra cash investment. Plus they are environmentally friendly because you won't be using any extra fuel, paper, or other natural resources.

1. Product Mark-ups

While it may not be the most original way to increase your business profits, product mark-ups can be quite advantageous. Buying low and selling high is obviously the best model for your business profit-wise, and if you can mark up products even more and keep a steady stream of business, you may tap into an undiscovered profit centre.

Few clients would object to a 2-5% increase in prices so it’s a no-brainer.

2. Client Sharing

If you have an unmanageable abundance of clients, don't stop taking on new ones; instead, partner with another business and client-share in exchange for a cut of the profits. A web developer, for example, may charge a client €2,000 for a website. If they don't have the time to develop that website straight away, then they may pay a third party €1,500 to do it, keeping €500 for themselves.

Pro tip: make sure that you partner up with only the best companies out there.

3. Paid Advertisements

If you have a website that receives a lot of traffic, then why not partner with a similar company, that sells in a complimentary sector. For example, if you own a business that specializes in athletic shoes, you could profit by having advertisements on your website for other athletic gear. Thomas Jefferson supposedly said, "The man who stops advertising to save money is like the man who stops the clock to save time."

Zac Johnson said "if you're good at marketing online, you'll soon learn that paying for customers is crucial to scaling your business online." Zac is famous for making almost $1 million online in a matter of 4 months using such methods.

4. Consulting Fees

If you're an expert in your field, don't limit yourself to just practicing your expertise; instead, become a consultant who teaches others how to do what you do. Or offer seminars, webinars, and speeches regarding your forte. Charging for consultations and seminars is an excellent way to increase your business profits. So you know what to charge, check around and see what other consultants who specialise in similar services are charging. If you have more experience or education than these other consultants, then you have a good case for charging more.

5. New Additions

If you're a business owner that's succeeding in your endeavours but want to optimize your profits, consider adding a new product line or service to your company to create an entirely new profit centre. Take Extra Space Storage for example. They are adding multiple electric-vehicle charging stations to their self-storage locations to promote a more environmentally friendly profit centre. Make sure the product is in-line with your current offering, and market and advertise your new offer well. And don’t forget to develop a plan of action for the implementation of this new product or service.

6. Referrals

Generating revenue from clients that already know, like, and trust your brand is much more cost-effective than spending money acquiring new customers. If you provide clients with a superior experience, they'll want to do business with you in the future and will likely send referrals your way. Almost any business can implement a customer referral program by offering current customers products or services for referring new customers or clients.

Referrals are 100 per cent how I've been growing my business for years. These are by far the best ways to exponentially grow your business year after year. Don’t forget to refer your clients to other businesses you trust as well.

7. Free or Discounted Offers

Depending upon your business type, you may be able to entice customers or clients with freebies in order to make a sale. For example, solicitors often offer initial free case consultations as a way to entice a client. Or, a Garage may offer a free pre-winter check for vehicles, and then offer a service or replacement parts found to be faulty during the pre-winter check. You can also offer discounted services or products through sites such as Groupon.

8. Affluent Clients

Depending upon who you're marketing to, you may have a profit centre hidden within your clientele. By seeking more affluent clients, you may be able to increase your business's annual profits dramatically with hardly any work. Just be sure to approach these potential clients the right way, don't appear too needy or pushy, know your stuff, and reach these potential clients through networking. One well known or high profile client using your services can be subtle PR and with the right approach can lead on to further introductions.

9. Creative Acquisition

Customer acquisition is an expense, but one that yields a future of guaranteed business income. By acquiring customers more creatively and more efficiently you can reduce your acquisition costs and therefore improve your ROI (return on investment). Turning a scheme developed in another sector of business into one you can use, will help you to create a previously unexploited profit centre. Monitoring and constantly improving your advertising and marketing is key in customer gain and retention.

10. Learning New Skills

Consider learning a new skill or adding to the knowledge that you already have. For instance, you could pick up some new IT or business skills by completing an online course. You could also improve your public speaking and leadership skills by joining a club such as Toastmasters International.