Finding the Right Location for Your Business

You’ve heard it before: “Location, location, location.” Pay attention! Because choosing the right spot can make or break a business. Regardless of whether a particular business has special needs, the universal requirement for a business location is its convenience for customers, suppliers and employees.

Cost is another factor. Yet a focus on cost alone is often one of the biggest missteps for a business owner. To keep overhead down, you may be tempted to secure a location with below market pricing in a remote area. Keep in mind, there will be consequences. For example, can you afford the higher marketing expenses to create awareness? Will the added marketing be enough to draw regular and repeat customers to your business?

To help you choose the right location, consider these six key factors:

Zoning and Restrictions – Be sure to check that the premise you are considering is zoned appropriately and does not have any deed restrictions for the planned business use.

Level of Traffic – Based on the type of business, the level of foot and vehicular traffic can have an enormous impact. Foot traffic is essential for retail businesses and leads to higher sales. Whereas, heavy vehicular traffic in and around a wholesale distribution business can delay outbound and inbound deliveries resulting decreased sales.

Accessibility – Adequate parking, links to public transit, and walkways make it easier for customers and employees to move to and from the business. From a supplier perspective, make sure there are no delivery restrictions and that the premise is nearby main thoroughfares. 

Competition – Is your product or service unique to the area? Examine the local competition as having too many competitors in close proximity can have a negative impact on sales.

Nearby Amenities – Having easy access to the bank, post office, gym and restaurants can help attract and retain talent. Employees prefer working in areas that offer such conveniences.

Area Image – The nature of the location can affect the image of your business. Find out what perception people have of the area? Is it consistent with the image of the company? 

Above all, do your research. Talk to potential customers and other local businesses, monitor traffic patterns, investigate hidden costs, taxes and possible incentives. Regardless of the chosen site, you’ll find advantages and disadvantages. Just be sure the good outweighs the bad, and that the location meets the universal requirement of being convenient for customers, suppliers and your team.