News • Case Studies • Features • Videos • Exhibitions • Seminars • Events • Resales • Resources

Auditel Franchise

Charity begins at home – but how to begin?

1st June 2011

‘Charities are facing rising demand and shrinking incomes during the recession and a third are now unsure about the future.

However, 21% have tried to reduce office and energy costs.’ reported the Charity Commission last month. Clearly, and especially in this difficult climate, there are many more who would profit by taking this step.

Cost management consultants Auditel have been working with charities for over 15 years, and offering them a free examination of all their business costs. They found that many were paying too much for these services.

Their research indicates that most charities focus on the headline prices of their essential overheads, assuming that these equate to the total cost. But this is not so! A low price offer from a supplier does not mean meaningful, long-term savings. How do you know if this is the best price? What if the price goes up next month and you’re tied into a long-term contract? Will minimum charges be applied, pushing your costs up rather than down? Do you have time to monitor your prices regularly and check your bills? … etc.

Charities need to concentrate on managing their costs consistently and diligently to achieve their aims, rather than making one-off savings. This requires time, resources and specialist application, which many lack. Increasingly therefore, a number are turning to outsourced providers of these services. Thus, they can access expertise, mitigate the financial loss of taking key individuals away from their core responsibilities and eliminate the costs of employing in-house staff.

However, as in any other profession, there is best practice in cost management. Always check exactly what is offered! For example, one of the most important things to consider when outsourcing is the auditing procedure. Best practice should include the following: -

A comprehensive, in-depth review of current essential services expenditure
A thorough analysis to determine where savings can be made
A detailed report of recommendations including information about how the consultants will earn their fees, eg, on a contingency basis or a set fee
A consultant should take full responsibility for managing relationships with existing, or new suppliers

Achieving the projected savings (and rebates for overcharges in the past) should be just the beginning of the job. The consultant should continue to assess current expenditure against new tariffs and services as they become available. This ensures that the benefits will continue at optimum cost efficiency across all essential business outgoings.

Shown below are some of the benefits from savings provided by Auditel consultants:

YMCA £135,000
John Grooms £54,000
Ben £47,500
Anthony Nolan £32,200
Naomi House £13,800
RAFA 35% electricity, 25% gas, 23% communications
RSPCA 29% electricity, 20% communications, 20% gas, 45% security, 50% cleaning materials

Recently, Brunelcare, a registered social landlord, and an originator of the ‘Meals on Wheels’ concept, commissioned them to undertake a survey on their business costs. Annual savings amounted to £105,000 on gas and electricity usage including a substantial rebate from previous incorrect billings.

Their Finance Director, George Cooke said: “As a charitable housing association, we always look for efficiency gains so we have a heightened awareness that we must spend our money wisely. By reducing our expenditure, Auditel has saved over £100,000. These savings translate into valuable capital which has, in turn, been reused within our organisation.”

To find out more information about Auditel simply complete the form below

Auditel Franchise Special Features

Auditel - Highly effective cost management for the hotel and leisure industry
9th April 2013
Auditel the UK’s leading independent cost management consultancy, have found savings of many thousands of pounds on business costs for the...

How many companies do you need to manage eighty business expenses? - With Auditel, you only need one
12th September 2012
Business owners, directors and senior managers are having a difficult time.

Find the Best Mobile Phone Solutions with Auditel
3rd April 2012
According to Ofcom, “A whopping £4.8 billion is wasted every year by customers being on the wrong tariff.”

Multiflight signs up for electricity from 100% renewable sources with Auditel’s help
13th March 2012
Multiflight’s desire to be as green as possible has seen the company sign up for an electricity supply from 100% renewable sources.

“Integrity and Honesty ... Very Strong Business Model...”
21st February 2012
Established in 1994, Auditel serve thousands of clients ranging from small businesses to global brands such as Pizza Express, YMCA and...

Creating Sustainable Cost Management Through Outsourcing
26th January 2012
The recent study of 750 small businesses reveals that 78% of small business owners identify rising costs as the most significant threat to...

Auditel Tightens The Lady Magazine’s Purse Strings
9th January 2012
The Lady Magazine was founded in 1885 by Thomas Gibson Bowles, the maternal grandfather of the Mitford sisters

Industry Profile - Auditel Franchise offer Business Cost Savings Advice
8th November 2011
Auditel, the UK’s premier cost and purchase management consultancy, generate savings for organisations over an enormous range of...