Reneé Borowy of VIP Salon & Spa says renegotiating has been key to keeping costs under control.
Michigan has been particularly hard hit by the recession and Reneé Borowy’s VIP Salon & Spa in Riverview is no exception. For Borowy, renegotiating has been key to keeping costs under control. “We have a staff of 52 with 25 nail techs. With a very large overhead, everything has had to be looked at,” she says.
Here are some of Borowy’s tips:
> Renegotiate the charges you pay your merchant for credit card sales.
> Explore long-term contracts. To reduce our rates we signed a three-year contract with our telephone company and two-year contract with our cable company.
> Negotiate with your bank to waive your monthly service charge if you hold a constant balance.
> Requote all printing for your brochures and purchase larger quantities for a price reduction.
> Requote all of your business insurances (liability, workers’ comp, property, etc.).
> Renegotiate your Yellow Book and Yellow Page ads.
> Have your hourly employees punch in.
> Buy washers and dryers that are energy efficient (if you need new ones) and consider a tankless water heater.
> Add ceiling fans to help with the air flow and distribution of heat and cold air.
> Send e-blasts rather than paper promotions to save on postage and printing