It’s difficult enough to have a solid grip on your business finances at the best of times, yet there’s nearly always a hidden threat lurking in the corner, ready to complicate things even further. That is the potentially damaging, always unwelcome “unexpected costs,” which have a habit of cropping up when you least expect them. While how and when these costs pop up may be beyond your control, if you’re aware of what these costs might look like, then you can wrestle back some control. We take a look at some of the common unexpected costs business may have to face below.

Source: Pexels.com

Technological Updates

You rely on your technology and software in order to do your job well. When it’s working as it’s supposed to be working, then everything is fine; when it’s not, you’ll have a problem. And unfortunately, they’re not always the cheapest problems to fix. Though it might sound counterintuitive, when it comes to your hardware it’s best to spend as much money as you can afford; the better your equipment is, the longer it’ll last. You’ll also want to consider working with an IT company who can proactively manage your network to prevent catastrophes.

Late Fees

You have a firm grip on your bills, and know when people need to be paid and how much. Only, there’s a problem: when the time to pay rolls around, you don’t have quite enough money to pay all that you owe. And it’s not your fault; the reason you can’t pay is that someone else didn’t pay you on time, which has messed up your cash-flow situation. To prevent this from happening, you’ll be well served by putting systems in place to ensure clients pay on time (for example, a small discount for paying early, penalties for paying late, and so on).

On the Roads

You have a lot of control about what happens under your roof. But out there on the streets? Other people have as much influence about what happens if you do. If your business involves being on the road (for example, transporting or making deliveries), then this means there’s potential to incur substantial costs that your business may struggle to absorb. If you spend a  lot of time on the road, then take a look at adding GPS tracking cameras to your company vehicles. It’ll help to prevent your company being blamed for accidents that were someone else’s fault, and may also reduce the amount you pay for your insurance.

Legal Entanglements

When you first set up your company, you probably figured out pretty quickly that running a business was a legal minefield. Even if you thought you’d covered all the bases, it’s always possible that you’ll make a mistake somewhere, and face fines or other legal repercussions. As such, it’s best outsourcing your legal work to a professional, rather than trying to do it yourself. They’ll take a proactive approach to your legal obligations so that you’re not caught by surprise by a complicated legal matter.