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39 Great Business Bargains (3)

A company car--plus a tax break

Under the Energy Policy Act of 2005, individuals and businesses that buy or lease a new hybrid gas-electric car or truck, or an alternative-fuel or fuel-cell vehicle, are eligible for an income-tax credit of up to $3,400, depending on the fuel economy and the weight of the vehicle. (This credit is in addition to the regular depreciation or lease expense you're allowed to deduct for any vehicle.) If you buy more than one vehicle, you get a tax credit for each. This tax credit applies to vehicles "placed in service" beginning January 1, 2006. Once a manufacturer has sold 60,000 eligible vehicles, the tax credit for its cars will be reduced, and eventually eliminated. So get on it now.
When buying a printer, check out the "print yield"

A cheap inkjet may be easy on the wallet today, but it'll end up costing you more later. That's because with printers, it's all about consumables--paper, toner, etc. For example, with a $300 laser printer and compatible cartridge, it costs $30 to print 1,000 pages (black ink only); with an $80 inkjet printer from the same manufacturer, the same print run costs $100. After a little more than 3,000 pages, the more expensive printer has paid for itself. Check out the "print yield" specs for the toner cartridges the printer requires, and divide the price by that number--that's your cost per page. Let that number, not the cost of the printer, guide you to the real bargains.
Retail Space

Mall tenants may enjoy foot traffic, but that traffic comes with a steep price tag--incidental costs can run from $18 to $55 per square foot per year. Wherever you set up shop, scrutinize your lease for so-called pass-throughs--charges on top of the basic rent for things like common-area maintenance--and make sure you're paying a share that's proportionate to the actual square footage you're occupying. Another way to save: Minimize your square footage in an expensive retail area by leasing storage space in a cheaper space off the premises.
Stress-Free Employees

Treating your staff to monthly massages may seem like a needless indulgence, but it can save you in the long run. Research shows that employees are more productive on quantitative tasks after massages and report feeling less stress. There is also, not surprisingly, less absenteeism on days that massages are scheduled. And because office massage specialists provide education about ergonomics and repetitive-stress injuries, you may reduce the costs of such injuries. A 15-minute seated massage--about the time of a coffee break--is all it takes to realize the benefits. On-site massage rates vary by location--expect hourly rates of about $75 and up in larger cities (a massage therapist will typically fit in three 15-minute massages per hour). Go to amtamassage.org and use the locator service to find a qualified provider in your area.
Corporate jet: a good option for small groups

It's a bit of a stretch to call a company jet a bargain, but look at the upside. There's no penalty for booking last minute, so it's attractive if you make spur-of-the-moment trips. And since jet operators charge by the hour, not per person, a private flight can be a good option for flying small groups (midsize jets can accommodate about eight). Full or fractional ownership requires laying out millions up front, but Sentient and Blue Star Jets' SkyCard program offer membership plans that give you planes on demand for less than the cost of fractional or outright ownership. With both companies, you make an initial deposit (minimum $100,000 for Sentient, $50,000 for Blue Star) and funds are deducted as you use flight time (hourly fees start at about $2,000).
Deals on PCs

Comparison shopping is a no-brainer. But with PCs, you'll be surprised at how large the price variations are for identical products. A recent search on comparison-shopping site NexTag, for example, turned up about 20 different vendors offering new Toshiba Portege R200 laptops for prices ranging from $1,162 to $2,159. Another useful tool is NexTag's "Price Drops" section, which tracks the market in a range of tech categories and reveals, for example, that in April, the best price for an IBM Thinkpad T43P abruptly dropped 25 percent.
Travel Tips

Travel is typically a company's second or third largest controllable expense, and one way to control it is to implement a managed-travel program. Most of the online booking services have launched programs for small companies. Expedia Corporate Travel ($149 a year) and Orbitz for Business (fees vary according to use) drive down travel expenses by 10 percent or more by lowering transaction fees (an average of $5 per ticket, compared with about $30 for traditional agencies) and negotiating discounted rates with airlines, hotels, and rental car companies. Obviously, the larger the company, the larger the discount a travel service can negotiate. But in some markets, just being able to offer an airline or hotel a 10 percent incremental increase in your company's business can be a potent bargaining tool. American Express' small-business travel program (starts at $500 a year; $100 for small-business cardholders) offers discounts on airfares of up to 15 percent on domestic flights and 35 percent on international trips. AmEx also promises to beat any fare you find online.

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