15 March 2018

What are the costs of a small business?

company expenses

Table of contents

Some entrepreneurs embark on the adventure without knowing the main expenses of a company or without having a clear idea of the monthly or annual budget they have to set aside to meet the bills for property rentals, fuel for company cars, food allowances for their employees on the road... Knowing in advance the costs of a company, even if it is a small one is more important than it seems and that is why we are devoting our full attention to it today.

Small business expenses: real estate

The first of the expenses of a small, medium or large company is the building, office, warehouse, workshop or premises where your activity is carried out. This expense may be more or less considerable depending on the location where you have your premises, the number of square metres you need, your sector of activity, the number of employees you have on your payroll, etc., but there is no doubt that it is a cost of business that you need to consider carefully before starting your own SME.

Small business expenses: salaries

The second of a company's expenses is that corresponding to the employee payrolls, The costs of registering all of you with the various companies, your own payroll as a company director and the added costs of registering you all with the different social security schemes.

In fact, staff salaries are one of the largest items of business expenditure you'll ever incur, but we've got good news: there's a perfect way to getting more and better value for money that you pay your employees, while also ensuring that they are more motivated and that they are more productive. The name of this perfect solution for small and medium-sized businesses: the Edenred's flexible remuneration.

Small business expenses: basic supplies

Another of the unavoidable business expenses to develop any professional activity are those used to pay for electricity, water, heating, Internet or the use of fuel for company vehicles... We are talking about the basic supply costs.

Some suppliers of electricity, natural gas, water or telephone services often offer interesting discounts to their customers. business customers - SMEs, self-employed professionals, etc. -, but what about the unavoidable fuel costsAre there discounts that allow us to minimise the impact of these invoices on our bottom line? The answer is “yes”: the Edenred petrol cards, interesting tools for SMEs that offer you discounts from the first litre of fuel, the possibility of obtaining a single fuel consumption invoice for easy VAT deduction, etc.

Small business expenses: the daily subsistence allowance

Another relevant expense for a small business is the daily subsistence allowance of its staff commercial or seconded employees, the so called "secondments". food diets.

To meet these unavoidable expenses, you have several options:

  • Advance the amount of daily or monthly allowances to employees.
  • Pay the monthly subsistence allowance expenses when your employees submit their expense sheets to you.
  • Take out another of the savings solutions for SMEs offered by Edenred: Ticket Restaurant.

Using Ticket Restaurant to deal with that particular item of expenditure of a company has such interesting advantages such as the following:

  • It reduces the working time of the administrative staff in charge of accounting for the daily subsistence expenses of other staff.
  • Eliminate the obligation for your employees to fill in per diem expense sheets.
  • Ticket Restaurant is exempt from personal income tax and also allows you to deduct the amount from your corporation tax.

Would you like to find out about the different solutions offered by Edenred to minimise the impact of the expenses of a small company? Contact us and we will inform you without obligation..

Edenred Spain

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