With the rapid developments in technology, it’s easy to imagine a world where you don’t need a physical office space to run your business. However, for those start-ups that do require a premises, the next step is to consider where it should be. Finding the perfect business location is paramount for the success of your company.
In depth market research will help you to analyse where is best to locate your business. For example, the north of England is often associated with industrial estates and warehouses because of the rich heritage. As a result of this, a new business wishing to compete with these businesses has a decision to make: to stay where its competitors are, meaning the demand is high, or differentiate themselves from competitors before they settle on an area. It’s a good idea to analyse your competitors before you embark on your journey, for example:
– Where are they based?
– Has this been beneficial to them? And if so, how?
– Lastly, would it be damaging to your business if you didn’t stay in the area?
There are advantages and disadvantages with your business location being in a city centre. For one, the prices for leasing some premises can be extremely high, with little opportunity to buy anywhere, renting would be the only option. In addition, you would need to take into consideration where your staff may be commuting from, and how difficult and expensive their commute may be. Furthermore, the level of competition would also be incredibly high, especially if you are a retail business or restaurant owner. Moreover, the pollution levels in a city centre are astronomical, with pollution being the cause of illness and poor health. With this being said, you may find yourself installing a ventilation system if you’re operating a larger business for cleaner air within the workplace, ensuring your staff are happy and healthy. If you’re a small business, you may be limited with value for money buying in the city centre.
The option of working from the suburbs may be appealing, because of the lower rent prices and larger sites available. There would also be less competition, especially if you find yourself being the only local tradesman or business that specialises in your field in the area. On the other hand, you will need to consider whether operating away from the city centre will be beneficial to your business, this entirely depends on the type of business you have.
To investigate where would be the perfect business location, you’ll need to embark on market research including analysing your target demographic and your competitors. Once you have a larger picture of the area you may be locating to, weight up the positives with the negatives, you will have a better understanding of where the perfect location for your start-up would be.