Because there are virtually no economies of scale for small businesses, there is little reason to invest in capital equipment that brings down your costs of goods sold in volume production. The less fixed costs you have to support, the more survivable your business will be when facing the unexpected. Conserve cash by managing cash flow.
Lavish perks send the wrong message to both employees and customers.
Strive to get paid early by customers, pay suppliers late, and pay yourself last. Don't expect to pay yourself a salary until you are absolutely certain that the business venture has consistent sustaining monthly revenues. Having a positive cash flow is a key element in ensuring that you have the flexibility to react to business changes. Invest only in technology that increases business flexibility. Use a mentor or consultant to help guide you through the reengineering of business processes.