The applications of blockchain are numerous to count. It spans the likes of the supply chain, banking, health care, etc. It can be applied in small business activities. Blockchain offers small businesses a reduction in overhead costs.
Small businesses cannot afford to lose out in the very competitive market of today. They must leverage every advantage that blockchain has to offer them. Small business owners should always be on the lookout for new technological shifts in the market that can ensure success for their ventures.
The blockchain is not just about cryptocurrencies and the technology is gradually getting off its shadow, blockchain offers diverse opportunities to impact the operations of small businesses.
It may appear challenging to delve into the blockchain, without understanding its intricacies; nevertheless, it is undeniable that the integration of the blockchain technology into your small business plan can assist you. The major benefits offered by blockchain is its tendency to reduce cost, but we shall explore other ways the technology is useful to manage your business running cost.
Reduction in your overhead costs
A reduction in overhead costs is one of the very obvious benefits of blockchain to small businesses. Adopting blockchain assists ventures to attain a level of improvement and gets a business saving cost.
Since payments of cryptocurrency are done without a centralized verification system, small businesses that accept Bitcoin would only pay for processing fees to fewer merchants.
Skycoin, a blockchain platform has enhanced a $0-to-no fee at all. This platform applies blockchain in what it calls “Coin Hours” to perform its transactions while allowing holders of the coin to receive Coin Hours as “Dividends”. With this service, small businesses can process payments at a fast rate, with a $0-to-no fee.
Another way, blockchain can lower overhead costs is the automation of services, like draft contracts and accounting expenditures. With the usage of smart contracts, small businesses can save cost that gets incurred from services like payroll and invoicing.
Upgrade your technology
Applications that are used in workplaces need constant upgrading. The applications are the software tools for your business and you cannot afford, not to have a good comprehension of it.
Upgrading your tools gives you the leverage to quickly react to the needs and trends of your customers. Hence you a saved a business running cost.
Easily become more compliant
Protection of your operational and customer data is very important for small business owners.
The encrypted storage provided by blockchain makes data protection easier, the system that is decentralized means that hackers will not have a field day breaching the system and there is an enhancement of internal security by incorporating better identification systems
There are small businesses that use digital ID technology to make identification platforms easy. This helps to improve data access and cost control for IT while remaining compliant.
All these processes as simple as they appear if properly implemented would save your business running cost.