Why Reviewing Costs Is So Important For A Small Business

“Benjamin Franklin believed, ‘Beware of little expenses; a small leak will sink a great ship.’

Curious about how a small saving became a billion-dollar strategy?”

Ever heard the one about Jeff Bezos and the doors? Back in Amazon’s early days, Bezos was all about pinching pennies in the smartest ways possible💰

it’s the mid-’90s, and Amazon is just a fledgling online bookstore. Money is tight, and every dollar counts. So, what does Bezos do? He decides to turn doors into desks. Yes, you read that right—doors! 🚪

Bezos discovered that buying actual desks was too expensive for the cash-strapped startup. Instead, he bought cheap wooden doors, slapped on some legs, and voilà! Instant desk. This quirky move wasn’t just about saving a few bucks. It was a powerful symbol of Amazon’s frugal and innovative culture. The idea was to foster a mindset where every team member, from the newest hire to Bezos himself, was conscious of cost-efficiency 🙂

These door desks became a legendary part of Amazon’s history. They weren’t just a funny story to tell at parties—they embodied a philosophy. Bezos believed that by being scrappy and saving on the small things, Amazon could invest in big things that mattered, like customer service and product development 🙂

This door-desk strategy paid off. Those initial savings helped Amazon reinvest in growth, eventually transforming it into the e-commerce giant we know today. The story took another twist when, years later, Amazon started selling actual door desks on their platform, turning the frugal beginnings into a cheeky nod to their history.

It is always wise to regularly review your expenses and see if you can make any cost savings!! Maybe make it part of your monthly review meetings. You may be surprised at how much you can save 🙂

Disclaimer: Paul Stankiewicz is the owner and principal at Paul Marks & Co Chartered Accountants which is the trading name of Paul Marks Ltd a Limited Company registered in England and Wales (registered number 4487645).This article is designed for the information of readers only and is the opinion of the author only. Readers should not act on any of the information contained in this article without seeking professional advice. Nothing in this article constitutes advice, nor does the transmission, downloading or sending of any information or the Material create any contractual relationship. Links to third party websites are provided as a convenience to the reader, Paul Marks Ltd does not control and is not responsible for any of those websites or their content. Paul Stankiewicz and Paul Marks Ltd accepts no liability or responsibility whatsoever for any loss or damage suffered by any user of the information contained on or accessed through this article or the Material downloaded.