Cutting costs can be difficult, especially if restructuring the business involves redundancies. Work out the areas of the company where you can trim the fat, starting with the most bloated overheads but later looking at the minutiae. If something does not add value to the business, then it’s time to ditch it.
For instance, if your greatest cost is your commercial lease or property taxes, consider moving to a smaller location, or maybe even take the bigger step of moving to be an online store only, to cut the cost of facilities altogether. You might also consider your customer occupancy flow and reduce the number of hours your store is open during the day.
Payroll is another way to reduce costs: If you have employees, taking the difficult step of downsizing may be necessary; if you are a one-person army, taking the step of paying yourself in dividends, rather than a wage, can eliminate the needs to assess yourself payroll taxes. Talk to your accountant about how to make this shift. Additionally, if you are paying WCB premiums on optional personal coverage, you may consider canceling this for now.