Whether it’s Main Street in the market area or Highway, your business location can mean the difference between success and failure. Your business location is important for your reputation, your brand, and your profits.
Choosing a business location is perhaps the single most important decision a small business owner or startup will make, so it requires precise planning and research. It involves looking at demographics, assessing your supply chain, scoping the competition, staying on budget, understanding how state laws and taxes might impact you, and so much more.
Write down your needs first.
Drawing up a list of what you need from your premises is a good way to start your search. This list might include the following points:
1. size and layout of the premises
2. structure and appearance, both internally and externally
3. any special structural requirements, such as high ceilings
4. facilities and comfort for employees and visitors - including lighting, toilets and kitchen facilities
5. utilities, such as power and drainage, and any special requirements - for example, three-phase electricity
6. permission, including planning permission, to use the premises for your type of business
7. access and parking space - for deliveries or customers, including disabled customers
8. whether you need the flexibility to alter or expand the premises
9. your long-term business plans
10. Your choice of premises will also depend on your budget. Whether you rent or buy, costs can include initial purchase costs, including legal costs such as solicitor's fees and professional fees for surveyors
Other factors you should consider while selecting business location are:
1. Brand image – Is the location consistent with the image you want to maintain?
2. Competition – Are the businesses around you complementary or competing? Some businesses, such as retail stores, benefit from being in a retail hub alongside the competition. Others may be at a disadvantage if located close to competition.
3. Local labor market – Does the area have what you need in terms of potential employees? Can they make it into work without encountering hellish traffic?
4. Plan for future growth – If you anticipate further growth, preempt the need for multiple moves by looking for a building that has extra space you can expand into should you need it. Your budget should also include cost estimates for furniture, utilities, and IT needs.
5. Proximity to suppliers – They need to be able find you easily, too.
6. Safety – What’s the crime rate? Will employees feel safe alone in the building or walking to their vehicles?
7. Local regulations – These determine whether you can actually conduct your type of business in certain properties or locations. You can find out how property is zoned by contacting your local planning agency.
Choosing a business location is perhaps the single most important decision a small business owner or startup will make, so it requires precise planning and research. It involves looking at demographics, assessing your supply chain, scoping the competition, staying on budget, understanding how state laws and taxes might impact you, and so much more.
Write down your needs first.
Drawing up a list of what you need from your premises is a good way to start your search. This list might include the following points:
1. size and layout of the premises
2. structure and appearance, both internally and externally
3. any special structural requirements, such as high ceilings
4. facilities and comfort for employees and visitors - including lighting, toilets and kitchen facilities
5. utilities, such as power and drainage, and any special requirements - for example, three-phase electricity
6. permission, including planning permission, to use the premises for your type of business
7. access and parking space - for deliveries or customers, including disabled customers
8. whether you need the flexibility to alter or expand the premises
9. your long-term business plans
10. Your choice of premises will also depend on your budget. Whether you rent or buy, costs can include initial purchase costs, including legal costs such as solicitor's fees and professional fees for surveyors
Other factors you should consider while selecting business location are:
1. Brand image – Is the location consistent with the image you want to maintain?
2. Competition – Are the businesses around you complementary or competing? Some businesses, such as retail stores, benefit from being in a retail hub alongside the competition. Others may be at a disadvantage if located close to competition.
3. Local labor market – Does the area have what you need in terms of potential employees? Can they make it into work without encountering hellish traffic?
4. Plan for future growth – If you anticipate further growth, preempt the need for multiple moves by looking for a building that has extra space you can expand into should you need it. Your budget should also include cost estimates for furniture, utilities, and IT needs.
5. Proximity to suppliers – They need to be able find you easily, too.
6. Safety – What’s the crime rate? Will employees feel safe alone in the building or walking to their vehicles?
7. Local regulations – These determine whether you can actually conduct your type of business in certain properties or locations. You can find out how property is zoned by contacting your local planning agency.