Location is everything when it comes to business – any business. If you have successfully started your business and survived your first year (or first couple of years) in the market, then you might be looking to expand your business by relocating to another location. Perhaps to a more populated part of the city?
Or maybe you want to transfer to a bigger place. Whatever the case, a new location meant several adjustments and a capital. If you’re currently looking to finance your relocation plan, you can apply for a small business loan. Now ask yourself these important questions:
- Will the new location contribute to the success of your business?
- What type of location will best fit the type of your business?
- How much rent can you afford? Or how much capital will you need?
- Is the location appropriate for what you plan to offer/do there?
Now let us tackle each question one by one.
Will the new location contribute to the success of your business?
Location can make a huge difference between a businesses’ continued success or eventual downfall. However, this will depend on the type of business you have. Let’s say you own a bakery.
Naturally, you’d like to be where most people are.Now say you own a service business like plumbing or Internet-based service.
Location may or may not be important for you since most of your dealings will be done online. Every business is different, so if you reckoned that moving to a more populated or a cosmopolitan will benefit your business, then by all means, relocate.
What type of location will best fit the type of your business?
The top consideration when choosing a profitable location is understanding the factors that will increase customer volume for your business. Answer these questions:
- Will your customers arrive on foot?
- Will customers drive and, if so, would you need a drive-thru or parking area?
- Will customers come if you’re located near other similar businesses?
- Will the new location’s reputation or building help draw customers?
Take note that different types of businesses attract customers in different ways. Ultimately, the perfect location for your business is a very individual matter. Study the habits of customers you want to attract, and then choose a location that fits.
How much rent can you afford? Or how much capital will you need?
In most cases, businesses rent rather than buy a space for your business. Start-ups don’t have funds to purchase real estate and may even struggle with rents for the first few months.
You can quickly apply for a small business loan. You may also take advantage of third-party lenders since some of them offer non-collateral business loan plus a one-day approval method.
In any case, find a commercial space that you can afford while still following your goals for size and location.
Is the location appropriate for what you plan to offer/do there?
The building facilities in the location you choose should be either appropriate or adaptable to your business. For instance, if you’re looking to open a coffeehouse, you need a place with kitchen facilities. If the place doesn’t have this, it’s not worth the cost of the upgrade. Communications wiring should be present since modern business needs both telephone lines and internet connection to flourish. Adequate parking is another common requirement for many businesses.
That’s most of it. Remember, the location you choose will depend on the type of business you operate as well as the customers you want to attract. It has to work with your capital as well as have the right facilities too.