Many SaaS tools can seem like an attractive, cheap method of bolstering your business in many different ways. Looking in from the outside, it’s all rosey. However, it’s not until you scratch beneath the surface you realise how expensive your range of different software programs can prove to be.

Just as it is in everyday life, it’s good practice to have a spring clean of your business. By carrying out an audit you’ll be able to see a clear breakdown of your tech startup costs. Evaluate the different software to decide whether it remains within your business or it needs binning. This post will outline how your tech startup costs can mount up and provide you with some hot tips on how to carry out a full audit.

We’ll cover:

• The Hidden Tech Startup Costs
• How to Conduct a SaaS Audit

The Hidden Tech Startup Costs

Free Trial Periods

If you’re undecided on whether an app is worth the investment, see if they offer a free trial period. That way you get to see all the capabilities of the app and how it can benefit your business, without actually paying for it.

Free trial periods on applications are a god send - until they get forgotten about and you get charged. This is more common than you’d actually think. If the app is worthwhile having then happy days. But if not, it’s another unnecessary cost that you’ll be shelling out for.

We advise you set a reminder in you calendar just before the free trial period is about to end. That way, you’ll get a notification and can assess whether you’ll be cancelling it or not before you get charged for the forthcoming month.

Unauthorised Subscriptions

We’d advise that you make clear to your employees that you have to have the final say in what they can and can’t download onto their machines. Even to those with a company credit card.

Different SaaS applications can mount up dramatically, even excluding the hidden costs, so it’s better to be safe than sorry. Before you know it you could be signed up to various different applications and programmes and lose track completely.

Tiered and Unused Licensing

Company wide licenses don’t come cheap. For example, Adobe Creative Suite. For two users it might be quite cheap and you can pay monthly or annually but, as your business starts onboarding new staff, you’re going to need more licenses.

The price gap between the different tiers can be more like a gulf in some cases. Not to mention the double whammy of having to pay a lot more for one extra person and then having unused licenses that you’re paying for. In some cases, this situation can be a necessary evil as it can be an unavoidable situation. Either pay more or lose function.

Watch out for Add-Ons

SaaS companies may lure you in with an attractive price tag at first but then sting you with a premium rate for add-ons. For example, you may come across a cheap option CRM which offers all the basic functionalities in with the price. But, once you’ve downloaded it and realised you need analytics, you’re going to have to fork out for it.

Once you’ve realised this, you may start putting ideas together of switching your CRM. It’s not always as easy as that though, as once all your business data is in one place it can be a pain in the neck to transfer it over to another.

How to Conduct a SaaS Audit

So, now you’ve had the chance to see where all your tech startup costs can potentially arise from, it’s time for you to cull the unnecessary ones. Follow these three simple tips when carrying out your audit.

Find out Exactly What You Have

We recommend that the easiest way to keep track and identify your SaaS software is by checking through bank statements. Make sure that you check every statement for each different card of the bank account as some may be licensed to particular individuals within the company rather than the business itself. Go back six months too, as there could be potentially one off payments that you won’t see on one month.

Not only this, check in with your financial department and see what expenses are being paid out. Has one of your employees got one in their name they use at work and then claim the money back with a receipt each month? It’s worth checking.

Canvas Your Staff For Usage

A friendly email is all this stage requires. All you’re asking here is “Does anybody still use Buffer?” And that’s quite simply it. Take your employees word to get a feel for if anybody is still or isn’t using a particular application.

If the result is convincing on either side, well you have your answer. But, if it’s a bit touch and go consider checking statistics and making a calculated decision to reduce your package and go for a lower tier price with less licenses.

Check Usage Statistics

This will give you a more detailed view on who uses which apps the most and which software programmes are the most redundant. Basically, if usage levels are up for the majority of the company, that’s absolutely fine. But, if apps and software aren’t being used at all, you’re wasting your money and need to get rid.

After following these three key steps, you should have an idea of what’s crucial to the everyday running of your business and what isn’t. You can then start to end your subscription with the ones that don’t really benefit your business and start seeing more disposable income in the bank.

Don’t Forget Your Phone Communications

One piece of software that you definitely should not cull from your business is your phone system. After all, businesses need phones, period. If you’re wondering how you can cut costs but still have the most efficient phone system in place, download our free guide below. The comparison guide will ensure that you choose a future proofed phone service that is just right for your business.

One piece of software that you definitely should not cull from your business is your phone system. After all, businesses need phones, period. If you’re wondering how you can cut costs but still have the most efficient phone system in place, download our free guide below. The comparison guide will ensure that you choose a future proofed phone service that is just right for your business.