Gas and Oil prices are rising and forecasted to possibly hit $5 per gallon by summer time. Business owners need to be proactive to stay ahead of their competition in fighting this new reality. If your business heavily relies on transportation, whether you do it in house or outsource, you need to be prepared. Here are a few ways you can protect your business, as well as potentially profit, from rising energy costs:
-hedge your costs by buying futures in oil contracts
-buy a storage tank to stockpile gas/diesel while oil prices are low
-buy stocks in oil exploration and refining...as the price of oil increases so will the value of your stocks
-Look for fuel efficient ways to manage your fleet, reward drivers through an incentive program for lowest fuel mileage in the fleet
-Upgrade older less efficient vehicles
If you have another strategy that has worked well for your business feel free to comment and share with other owners outside of your area that may benefit.
No comments:
Post a Comment