The return on investment (ROI) calculation is a performance measure used to evaluate a business’s financial return after spending a specific amount of money.
To calculate ROI, companies must divide the investment return by the investment cost and express the final result as a percentage.
Maximising ROI means reducing costs and increasing profit. However, business owners must identify the right expenses they can cut to increase ROI. Otherwise, they risk of:
- Reducing the costs necessary for a business to grow (e.g., switching remotely to reduce overhead costs and running the business from home, with no office).
- Reducing some unnecessary costs (e.g., expensive laptops and company cars) but not those that can actually help them maximise ROI. For example, if a business is paying rent for a traditional office while the team is able to work remotely, minimising stationery expenses won’t help (because the company should reduce or cut overhead costs and not small business expenses).
Therefore, any small business that can operate remotely should consider getting a virtual office to increase ROI.
Most small business owners are divided into two categories:
- Business owners who are not using an office at all (in order to save money)
- Business owners who are paying a large amount of money for a physical office
These two categories of entrepreneurs may need a virtual office to maximise ROI for the following reasons:
- If they are not using any office – Without an office, their companies cannot have a reliable and professional image. As a result, they won’t be able to generate enough sales and revenues to increase ROI (because they cannot build trust with sales leads)
- If they are using a physical office – For a business that does not need a physical office to run properly, overhead expenses (e.g., insurance, repair and maintenance, rent, etc.) are way too high to allow a significant ROI increment.
Thus, these companies will be able to maximise ROI only if they access the same services like the ones provided by a physical office at a fraction of the cost (and this is how professional virtual offices – like the ones provided by B2B HQ – work).
5 Ways To Maximise ROI With A Virtual Office
1. Organising face-to-face meetings
Face-to-face meetings are a powerful communication tool. Important business meetings with customers and investors should never be held via video call (unless COVID-19 has caused everyone to not be able to be co-located). To get the most out of their meetings, business owners should organise these sessions in a professional and fully equipped office space that leaves a first good impression on all participants in the discussion.
High-quality virtual offices provide customers with rentable modern rooms with essential amenities and facilities. Professional meeting spaces can build an excellent brand reputation. As a result, the chances to maximise ROI increase.
2. Getting an address in a reputable location
All virtual offices include a virtual address that business owners can use to register their companies (virtual addresses are legal, according to ASIC – Australian Securities and Investments Commission).
A virtual address is a company’s official business address. Since appearance matters in business, the virtual office provider’s location is extremely important to build trust. Building trust means generating more sales (and therefore, increasing ROI).
3. Improving customer service experience
Customer experience drives sales. Therefore, every company should measure the ROI of customer support. Business owners can ensure an excellent customer service experience by including a virtual receptionist in their package.
Virtual receptionists are real agents who manage phone calls on behalf of a company. They are available 24/7 and always ready to deliver excellent customer service.
They are cost-effective and able to generate a financial return (because an excellent customer service experience can retain customers, and customer retention is one of the best sources for growth).
4. Claiming a business listing on various websites and platforms
Using a virtual address to claim a business listing on various websites, platforms, and directories is a powerful marketing strategy that can help a business maximise ROI.
A company can claim a free business listing on Google My Business, Bing Places, TrustedPilot, Facebook, Yelp!, and more using a virtual office address.
In other words, most of these websites and platforms provide free business advertising that can significantly increase a brand’s visibility (and ROI).
5. Hiring the best talents in the world
One of the most significant advantages of using a virtual office is that companies can access the global talent pool and hire the world’s finest talents at a fraction of the cost.
For example, an Australian company can hire the best remote employee in a country where the average wage is much lower than in Australia.
Using this strategy, companies get a high return on investment (because a good employee is a valuable resource that helps a business generate profit and maximise ROI).
Conclusion: Using a virtual office is one of the best strategies that companies can apply to maximise ROI (because a virtual office means having the same benefits provided by a physical office for a low monthly “rent”).
A virtual office can help any business generate a high ROI with a small investment.
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