You have been toying with the idea of relocating your business lately, but you're still having doubts. Moving to new premises will have a great impact on your business-but how can you know whether this impact will be positive or negative? What things should you consider before deciding?
Weighing Up Pros and Cons
Relocating your business is a life-changing decision, and hence it must also be a meditated one. It is important that you devise a list with all the advantages and disadvantages of moving out. Include your hopes and expectations for the new area. It is advisable to try to assess if the new location will translate into bigger profits either because it will be easier for your target customer to have access to your business, or because the expenses will be lower.
It may be the case that your current area has become too small for your business prevents it from growing. You may find more market opportunities and expand your business in a different area. Although the reverse could also be true: Your area has grown a lot, by population or popularity, but unfortunately your business hasn't kept up and it is getting too expensive to stay where you are now.
You may also want to move your business for pragmatic reasons: A specific product that is essential or important to you may be more readily available or cheaper in a different area. Sometimes, if a very important customer or supplier moves away, it is better for your firm to just follow them to stay in business. All of these reasons are good enough to ponder whether relocation is what your business needs to either improve or stay afloat.
Things to Consider
- Ask your customers for feedback. If moving somewhere else will mean losing all your current customers, it is very likely a bad idea to relocate. Talk to them about the idea and see what they think. If they're not willing to travel to the new premises to continue buying your product or using your services, or accept to use the phone or the Internet to communicate with your firm after the removal, then relocating may not be a good choice.
- Research the new area carefully. It is a good idea to talk to people who already operate there. Of course competitors are out of the question, but other companies, preferably of the same sector or with a similar target audience can be really helpful.