Online entrepreneurs in Malaysia have to be very careful with money and budgeting for start-ups. Making mistakes could potentially drain all the money from a new business before it can ever get off the ground. You can do something to avoid that. Here are a few ways to reduce costs when starting a new business online.
Outsource Instead Of Building In-House Departments
Your online business in Malaysia is likely to need support in several different areas to be successful. You could need a warehouse and fulfilment department. You need customer service, billing and payroll for employees. You can save money by outsourcing these things instead of spending a small fortune to develop in-house departments. You can outsource logistics, customer service, payroll and marketing. The initial start-up costs will be minimal when using third-party service providers.
Bundle Your Ecommerce and Credit Card Processing
Most online businesses in Malaysia are attempting to sell something to consumers through a website or app. This means you need to have a payment gateway and online credit card processing service. You can reduce your start-up costs by bundling your ecommerce hosting with a credit card processing service. This is actually something you can commonly find when looking for hosting providers. Find a service that will host the ecommerce site and including credit card processing all in one package.
Opt For a Serviced Office Space
You are going to need physical office space at some point even if it is just for a short time. You can lower your start-up costs by leasing a serviced office in Malaysia. A serviced office allows you to rent fully equipped office space for the exact amount of time your need. You can even rent additional space as needed like meeting rooms. This is a far less expensive option than signing a major lease for a costly empty office or buying a building.
Stay Focused On Your Core Business Only
A major mistake some online entrepreneurs make in Malaysia is attempting to over-diversify when starting a new business. This occurs when you attempt to stretch your start-up too far in the initial stages before establishing the company in the online marketplace. You can avoid this by staying focused on your core business only. You want to narrow the scope of your business to just a few basic products or services. Do not attempt to offer too much or expand into unrelated areas in the beginning. That will just dilute your brand, waste money and confuse consumers.
Use Carefully Targeted Marketing
Marketing is very important for any online start-up in Malaysia. If you are not careful, then you could be wasting money on broad marketing campaigns that see little in the way of returns. You need to use carefully targeted marketing when first starting an online business. Know and research your key demographics and market segments. Use precision marketing that will reach the people most likely to convert. This will reduce your marketing costs significantly.
You do not want to take anything for granted as an online entrepreneur. The small things that you do to help lower the costs and overhead of starting a new business will pay off in the long run. These tips will allow you to keep costs down as much as possible when starting a business online.