When starting a new business, choosing business premises is arguably the most important decision a business owner/start-up will make therefore it requires a lot of planning and research before a conclusion is reached. It can be likened to a balancing act as the choice has to satisfy the needs of the business start-up, employees, customers, business associates and the owner as well.

Finding premises for a new business can be a daunting prospect but all it takes is a thorough understanding of your business needs and careful consideration of a few important factors that will guide you in putting together a plan of action.

Some tips to help you choose the right business premises are as follows:

1. Your Customers

It is important for you to locate your business where customers can easily find and visit you especially if they are based in a defined geographical area. Most businesses go for a location that exposes them to customers.

2. Competitors

Find out if it is most suitable for your business to be close to your competitors or it is better to have exclusivity in a location. It is vital to determine whether the businesses around are complementary or competing with yours.

3. Proximity to Suppliers

It makes sense for you to be close to your suppliers. They must be able to reach your business premises easily without much stress/hassle.

4. Your Employees

Does the area have potential employees? Can your employees reach the premises easily? Will the location meet employees’ need for housing, schools, shopping and eating? These are questions you need to answer before settling for a particular business premises.

5. Business Image

You have to go for a business premises that is consistent with the business image you want to maintain and also think about the impression that visitors will form when they visit your premises. It is certain your customers will make important judgements about your business based on its location.

6. Plan for Future Growth

You need to think ahead as you might need additional space quite quickly if your business is successful. The more reason you need to find out if it’s possible to get additional space in your business premises if it is required in the future. As long as you anticipate further growth, a location that has extra space would be needed.

7. Security

This is also an important factor to consider when choosing a business premises for a new start-up business. You have to consider the crime rate in the area and also ask yourself whether employees, customers, suppliers etc. will feel safe over there.

8. Finance

This is a determining factor in choosing a business premises. New towns and developments or areas with vacant property are often cheaper, but might not suit your business. Besides determining what you can afford, you must also consider other financial parameters such as Hidden Costs and Taxes.

Hidden Costs: Since very few spaces are always business ready, you need to find out the costs you might incur from renovations, decorating, IT system upgrades etc.

Taxes: You also need to find out the tax rates in the location you have chosen for your business. You can consider changing your mind by settling for another suitable area if you will pay less over there.

In conclusion, it is important to do your research well before choosing a business premises for your start-up business. Also talk to other business owners to sample their opinions as well.

Tags:  business manage operations Start-up Operations start-up planning