Cost-reduction consultants

Contingency cost-reduction firms are paid on a performance basis. They will contract to reduce your costs in exchange for a percentage of the cost reduction actually realized.

Telephone, freight and utility bill auditing comprises a large percentage of contingency cost reduction firm work, although many other supplies and service can be covered. The firm will review your historical payments, seek out over-payments or refunds due, and then share in any cash refunds. They may also suggest alternative vendors or plans at lower rates, and share in the savings going forward.

Get references before choosing a firm. Your contract should be clearly worded to reflect that you pay only for actual direct savings.