Location. Location. Location.
Finding the Best Location for Your Business
The startup phase of a small business is a critical time. So many things can go wrong, and lots of things can be overlooked. From choosing the right business name to procuring the proper licenses, business owners face a number of difficult challenges.
One of the biggest challenges is choosing the right location for your new startup. If you are opening a new retail store, you want a location with lots of foot traffic and plenty of consumers with an interest in your wares. If you are an accountant opening a new tax preparation service, you will need a location that is convenient for your customers and easy to find.
The key is finding a location that meets your needs without breaking your budget. Few startups have unlimited funds to work with, so business owners need to walk a fine line between spending too much on rent and settling for a substandard location.
A few Tips:
- If you are opening a new small business, you will want to consider your options carefully and think about the kind of location that will work best for your firm. If your business model is amenable to a home-based business, setting up a home office could save you a ton of money. Things like tax preparation services, hair styling and accountancy are all well-suited to the home office environment, although the costs of setting up a workspace could be significant.
- If you are lucky enough to have a spare room with a separate entrance, you might have everything you need to set up a home office. All you will need is a quality desk, suitable chairs for yourself and your clients and some interior decorating skill. In that case a home office makes a lot of sense. You will still need to obtain the proper permits and make sure your property is zoned for a small business, but the startup costs should be quite minimal.
- Business owners who do not already have a suitable workspace face more difficult choices. They can add on to their homes or build a separate office space, but the costs could run into tens of thousands of dollars. Depending on the complexities and the costs, it might be better to look for a more suitable office ore retail space.
- If your business is dependent on passing traffic, it is important to choose a spot with plenty of passersby. When evaluating a potential spot, you will want to observe the traffic patterns at several times of day – in the morning, over the lunch hour, in the evenings, on the weekends, etc. Few retail stores can survive without solid foot traffic, so choose your space accordingly.
- If rents are high in the parts of town with the best foot traffic, it might make sense to trade a smaller storefront for greater affordability. You can always move to a larger location later as your sales grow and your coffers swell.
Choosing the best location for your new business is never an easy process. You will need to consider a number of different factors, from the nature of your clientele and the needs of your customers to your budget and operating schedule. Taking all of those factors into account will help you find the best location for your new enterprise.