It’s easy when starting up a business to be so worked up with the finer details of your business plan that your concentration is led a stray from the bigger issues. Things like where you choose to locate your business and the competition that may come from a particular area or town can slip away from our thoughts. In this article we’ve looked at the main points you need to consider when picking a business location from the start to finish…
Competition
Depending on who you speak to, and the industry that you work in, competition can mean different things to you. If you’re opening up an Italian restaurant for example, setting up your business next to a popular well known Italian may not be the smartest of ideas (especially if you’re a sole trader competing against a well-known franchise). But that’s not to say that we should avoid our competition completely, if your business involves selling cars, then positioning yourself next to a mechanic’s business could be a wise move for you. Remember to think carefully about the benefits of working alongside different organisations, weigh up the positives against the negatives to determine the overall outcome of where you choose to locate.
Objectives
Your business objectives will determine where you decide to locate your business. Although it may not be the number one consideration when determining where to locate, it’s definitely worth considering. If expanding your business within the second year of opening is on the cards, or, if you’re looking at trialing different locations to work out where your markets are, then why not look into a pop up structure. Not only will this make your life easier when on the go, or, when looking at deciding whether a new location could work for you, the key thing to remember is that it’s temporary, so it’s your call whether you decide to make it permanent.
Customers
It goes without saying that in most cases when you’re thinking about where you should locate your business, you need to consider where your customers are located. This is true in many senses, regardless of the niche you’re working in. If you’re a fashion retailer, then setting up in a quite location or on a business park would be extremely questionable. Whereas, if you’re a PR/Marketing organisation then choosing to locate in an area that is close to transport links could be a great way to boost potential clients and bring in additional revenue to your organisation.
Parking
Parking. We’ve all been there! You’re trying out that new hairdressers/barbers on the high street, trialling that new gym around the corner from work, or you’ve got a job interview in a bustling city location. You arrive, and there’s no parking, or quite high charges. This is an important one because it can instantly determine whether your customers decide to come to you, or go to your competition!
Be sure to do your research, make plenty of visits to your desired locations and don’t jump into making a quick decision. Whether you’re looking to expand or not, where you choose to locate can have a knock on effect on the success and profitability of your business.