If you are opening a new business, you will need to choose a location that gives you exposure to the type of customers you are looking to attract. For example, if your business is a manufacturing one, you need a large space and zoning areas to conduct your operations. Businesses that need to store items will be appropriate if they are located in industrial zones that are accessible to transportation routes and warehouses. If your business provides services relating to the internet, accounting, etc. then you will need ample office space. If you are looking to start a restaurant chain, then you will need to look for a location where people frequently visit and the type of food you provide is not available. The examples go on and on, but it helps to get an idea so you know where to start. There are plenty of things that you need to consider when choosing your location and many aspects that will factor into where you might want to look into locating your company.
With the type of business you have, you need to look for a way that you can attract customers easily, so you will want to look at traffic. Traffic here means automobile traffic or foot traffic. For instance, if your business is about car repair, it is wise to locate your company besides a busy street where many drivers can see it clearly and can access it with ease in the event that they need your services. If you are running a restaurant, you may want to look at shopping centers and parks in town where people might gather, hang out, walk around and may eventually get hungry.
Proximity to Other Businesses
No business is an island. You need to depend on other businesses like your suppliers for you to carry on. An ideal location is not far from where you receive your supplies from. Also, other businesses will be attracting customers, who may also become your customers too. For instance, if you have a restaurant placed near a company, the employees will be your trusted customers since they will be frequenting your location during breaks, or even before and after working hours. Additionally, if you place your business near similar enough stores or companies, you may get some run off. If you place a sandwich spot amidst some other sit-down restaurant, you may attract people who are too hungry to wait for seating or people who would rather eat something quicker. If you are opening a hardware store, you may want to look into other businesses that offer things such as furniture, cars, home appliances, and anything that customers may need to use the tools you sell in order to assemble or fix on their own.
You will also need to consider rival businesses in a given area. This factor can be looked at in two ways. Sometimes, locating your business near similar businesses can make your marketing easier. Potential customers will already be in the area looking for something along the lines of what you provide. But if your major competitor provides a service or product that is too similar to yours or is significantly larger and already more successful, then you may want to look elsewhere.
It is better to rent than to buy the location where you will set up your business since it will be expensive. Perform research on your area of interest and make sure to look at other nearby rental spaces to compare it to. Using your finds, compare it with your drafted budget to see if you will be financially able to rent it on a monthly basis considering the projected revenues and other expenses.
Adequate parking is a key factor when selecting your business location. You need to conduct an analysis and find out what percentage of clients may come in with vehicles. If there is an overflow and the space you have is small, it is better to relocate since the customers will not be able to park and shop from your premises.
You may find a very good spot to set up your business but there may be rules that govern the zone you are interested in, which may prohibit you from operating in that space. Before closing the lease deal, you should verify that your business is legal at your intended site. This information can be found at your local zoning board offices.
Ask a Pro
When you have finally chosen the appropriate location for your business, you need to close the deal on your lease. There are a lot of things to consider when you are filling out the paperwork and you may need people who are experienced professionals in that field to guide you as there are things that you may forget, overlook or simply not be aware of. Ask for legal advice or go through a trusted real estate agent when looking to purchase a location, whether it is a building for rent or purchase, or even land to build on.