Dec 2009
4
And while, yes, the economy is slow to recover from last year’s meltdown, the stimulus efforts to get consumers to spend their money presents a golden opportunity to buy whatever you need to thrive going forward. It’s time to roll up your sleeves and take advantage of this year’s year-end bargains.
They are better than ever. Here are a few examples of what’s out there and how your business can benefit:
Buy a new car
– Buy a new car before January 1st and you may be able to deduct your sales and excise taxes as well as other fees, on as much as $49,500 of the purchase price.
Refurbished gear – There are lots of deals in refurbished gear. You can save $100 and up on LCD flat screens, laptops, netbooks, and more, and they typically come with a warranty. For example: Apple.com currently offers a refurbished iMac 20-inch 2.66GHz Intel Core 2 Duo for $849; that’s a $350 savings off a new model. Or get a refurbished 16GB iPod Touch for $199; a $50 savings.
Last minute deals on new laptops – Dell.com is offering holiday deals of up to 40 percent off laptops, including its most popular Inspiron 15, currently selling for $743 (a near $300 savings). Dell Inspiron minis start as low as $199 with a 2-year AT&T DataConnect plan.
Redeem credit card points – Many credit cardholders don’t pay attention to the points they earn throughout the year by using their credit card. Now’s the time to take a look at your last statement (or look up your account online). Many cards offer a variety of items ranging from golf accessories, kitchenware, electronics, and travel discounts to gift cards for popular places like Red Lobster, Starbucks, and Best Buy. You can typically redeem your points online and the gifts arrive in just a few days. These are great options for employee or vendor gifts without having to cough up any cash, or use a restaurant gift card to take your staff out for a holiday lunch.
Amazon shoppers – If you like shopping at Amazon.com, fill your cart with items you’d like to buy before the New Year. But don’t buy right away—check back every few days. When you open your shopping cart, it will have a popup note letting you know if any of your items have decreased (or increased) in price since you put them in there. Some of these price drops last only a day or two. With a little patience, you can buy what you need for less as holiday deals ramp up in the next couple of weeks.
Trade agreements – As you compile your budget for next year, look for ways you can trade your business services for others in order to avoid spending cash. For example, an independent restaurant owner may trade meals or catering for cleaning, landscaping, or pest control services. You may not offer dental insurance to your employees, but perhaps you can offer to host a local dentist office’s Christmas party in exchange for checkups and cleanings for your employees. Use your imagination—review invoices for the year and see who may benefit from an exchange of your services. Approach these vendors and propose a trade agreement for the upcoming year.
Give the gift of referrals - As often as you get a referral, give a referral. Cash-strapped business owners often have a strong network they can tap, and tap for others. Vendors, customers, and employees may all benefit from your knowledge and personal contacts to get them reduced prices. Besides, good referrals are often returned and pay well.
Commercial renter’s market – Take advantage of the real estate downfall. If it’s time to renew your rental lease, you have a great deal of leverage for renegotiation. With so many small businesses closing their doors, there’s a glut of rental space going at below-normal market prices. And landlords with current tenants will bend over backwards to keep them. If you can’t settle on an amount and duration term you like, shop around. There may well be a larger, more accessible space at a better price that is worth making the move. When dealing with a prospective landlord who has empty space to fill, don’t be shy about asking for additional concessions. Get the best deal you can, while you can. Business may be slow, but you can recoup some of your losses by renegotiating your lease. When the economy recovers, you’ll be poised for stronger profits via lower overhead.
It’s been a tough year for all businesses, as well as consumers. The silver lining is that prices have dropped significantly across the board. Many purchases you make now for your business will qualify for tax deductions on your 2009 return. So it’s not all bad. Take advantage of year-end deals to position your business for a strong rebound in 2010.
Kara Stefan is a freelance financial writer and author of Head of Household: Money Management for Single Parents. You can find her at Linkedin or Kara Stefan Communications.
©2009