Calculating Your Business Telecom Expenses

In the current economic climate, it has become absolutely vital that expenditure in all areas be addressed to ensure a smooth, consistent and ultimately profitable business operation.

Costs continue to rise in all areas even though the world recession continues to bite. The price of crude oil means logistical expenses are at an all time high while the cost of raw products, outside services and employee wages continue to have a dramatic effect on company outgoings.

One area that needs constant supervision is the accountability of business telecommunications. It is vital that costs are correctly calculated and usage is efficiently monitored.

Costs themselves are essentially easy to calculate. There is always going to be the need to make outgoing calls to customers, suppliers, outside service providers and associated companies. These costs will be coupled with the staff you employ and you will need to rent a sufficient amount of telephone lines to cater for the demands of your business.

Additional costs can be added for logistical reasons, such as mobile phone services to stay in contact with employees who are not confined to a particular site or office. Calculations in this area will include incoming calls as well as outgoing.

For a small business that operates in a home office scenario, it is incredibly important to monitor all usage and separate calls from those that are made for social or domestic purposes. Keeping stringent accounts, no matter what size your business is, will help in monitoring, calculating and reducing costs.

Maintaining control over telephone expense is accentuated by the fact that certain areas of business telecommunications are tax deduct able.

Costs can be controlled by selecting a package from your telephone service provider that offers a competitive price on a combination of factors including line rental, call costs, Internet accessibility and mobile phone facilities.

The advent of the Internet also means that using e-mails instead of a telephone makes for an effective cost cutting exercise. There’s also the benefit of using free services such as Skype which allow you to make calls for free.

Ensuring that all company mobile phones are on the same network will also save significant sums, especially as network-to-network calls for business purposes are often free of charge.

It’s also important that business lines are used solely for that purpose and employees shouldn’t be using company facilities for personal use unless agreed beforehand.

With a vigilant nature, comprehensive budget and some sensible shopping there’s significant amounts of money to be saved for any business that’s prepared to work a little harder to cut back on unnecessary expenditure.