Setting up shop is one of the biggest business decisions anyone can make, which is why you should never ever take the decision lightly. There is just so much to consider, from the size of the space to the cost of leasing it, and even its visibility regarding your target audience, all of which will drastically affect your bottom line.
With this in mind, we thought we should give you a quick 101 on how to choose the perfect spot to set up shop.
1. Delve A Little Deeper
You probably hoped you would have a location in mind and then find a single property that fit the bill. But, more often than not, you will find that you have multiple options that suit your budget and checklist. That is when digging a little deeper can become your best hope. We’re talking about using a service that helps you make the best decision possible regarding commercial real estate and purchasing reports that will give a deeper look into things like rental rates, vacancies, lease terms and even what the properties nearby are saying. Essentially, the more you know the better you can calculate your budget.
2. Get A Feel For The Area
When you are moving house and doing all that neighborhood hopping, you always want to get a good feel for an area. You want to know that the area has certain plus points – good schools, good transport links, good amenities, good hospitals, and everything else you can think of. The same goes for retail space, it is just the criteria that are different. Of course, you can’t know what you want without knowing who your target audience are. Let’s say this is your first physical store and you celebrate the fact you are a unique boutique; in that sense, it is going to be better having a quaint storefront on a street just off the square than it is getting a space in a mall surrounded by big chains. That will turn your customers away. It will give them the wrong idea. It will be bad for your branding.
3. Consider The Local Costs
No two areas are different, especially when it comes to the costs you need to account for. We’re talking about things like the living costs of that area, the cost of utility bills, the rental costs your employees will have to pay to live nearby and, at the very least, the minimum wage in place, which may differ from the federal minimum wage. In that case, you as the employer will have to pay the greater of the two amounts. Sur, it may only be a couple of dollars difference an hour and, sure, you may not have any employees just yet, but it is still worth considering if your plan is to grow.
4. Investigate The Incentives
A lot of areas now have business incentives in place because they know the value businesses have in boosting economic development. That means there could be tax breaks on offer, financial incentives in place or even total exemptions. What is on offer differs greatly, though, and that is why you need to pull your Sherlock hat on and start investigating what you can get for bringing your business to an area.
