When you are starting a business, you cannot just start it wherever it is easy for you. Sometimes you have to make small sacrifices when you choose your location and look for something that is a little too far for you, but would guarantee you good business or ease of transporting your products.
This rule applies for not just your company/ store but also your storage locations and warehouses. Take a look at the following tips to find out the importance of location and how you should choose the location based on how important they are for your business.
The best places to locate a business are places that are easily accessible to your clients/ customers. Whether you are planning to build a large company building or you just want to start a small and cosy coffee shop, basing it in an area where people gather is the ideal way.
This same rule applies if you are planning to market or advertise your services using billboards or posters. The locations where people pass by and have the chance of seeing your advertisement are the best. Cities are also great places to look for new talent which would allow you to hire new but skilled and qualified employees.
Important Venues/ Landmarks
How easy it is to drive up to your location from some of the key destinations that matter to your business. For example, if your target market is teens or college students, is your store close enough to the local schools or a university?
If not, you can pick up locations that your target audiences tend to gather often. If you are choosing to have storage units away from your store, then make sure their location is no far off your business, unless you have worked out your transportation too. If your business is located in Dandenong and you are looking for warehouses or factories for sale Dandenong south will be a good location to choose.
Real Estate Costs
When choosing a place to locate your business, the next item on the list to think about is the real estate costs. We all have a budget planned or at the least an estimated budget when we are starting a new project.
But when it comes to a business, you need to consider how much you are willing to invest in the location or the land. Real estate costs are the second largest expense after labour costs. Also think of regulations and tax that comes with the location which is another cost you will have to incur. Therefore, when choosing a location, make sure you are capable of affording the costs that comes with it.
If you are looking only for a temporary location soon or planning to move into a different city, then try not to invest too much in the venue or the location you are choosing. Or, when you do your location research and your market researches, if you predict that the population clusters will move to a different area in the city in near future, then you can opt for that later location. This is because that area has the chance of bringing you more customers in future. Similarly, if there is an already growing city near your focus area, you can also choose that. This is because growing or expanding cities tend to attract more population.
Remember that there is always more than one factor to think of when choosing your business locations. In order to pick the one that is the most convenient but also the most profitable and affordable, consider of all of the above factors