cut down on overheads

Meaning

To reduce the regular, ongoing costs of running a business (such as rent, utilities, insurance, and administrative salaries) that are not directly tied to producing goods or services.

Examples

• By moving to a smaller office, we managed to cut down on overheads significantly.

  By moving to a smaller office, we managed to cut down on overheads significantly.

• The new CEO wants to cut down on overheads by automating administrative tasks.

  The new CEO wants to cut down on overheads by automating administrative tasks.

• If we don't cut down on overheads, we won't survive the next quarter.

  If we don't cut down on overheads, we won't survive the next quarter.

• Switching to a remote-first model helped the tech startup cut down on overheads.

  Switching to a remote-first model helped the tech startup cut down on overheads.

• We need to review our monthly subscriptions to see where we can cut down on overheads.

  We need to review our monthly subscriptions to see where we can cut down on overheads.

Common Mistakes

• ✗ We must cut down overheads this year.

  ✓ We must cut down on overheads this year.

  The phrasal verb is 'cut down on' when meaning to reduce consumption or expenses. Leaving out 'on' is grammatically incorrect in this context.

• ✗ The company decided to cut off overheads.

  ✓ The company decided to cut down on overheads.

  'Cut off' means to completely disconnect or stop something (like power or communication). To reduce costs, use 'cut down on'.

Related Expressions

Practice

• The board suggested that we transition to a hybrid work model to ___.

  💡 reduce ongoing business expenses like rent

  Show answer

  cut down on overheads

• Every business looks for ways to ___ during an economic downturn.

  💡 lower regular administrative and operational costs

  Show answer

  cut down on overheads