Relocating your business is a good way to expand your customer base and your brand. In fact, lots of businesses have relocated and made a killing in the process. But, are you going to get the same result? It is a question you need to ask because no two businesses are the same, and that is a mistake you can’t afford to make. Relocating and trying to expand is by no means a slam dunk that will pay off as there are plenty of risks. To offset that risk, you need to consider the following.
Are You Ready?
The biggest mistake bar none that SMEs make is moving before it is time. They see the bright lights, think they have the cash, and take the punt. And, the ones that do that are the ones that end up on the scrap heap. You need to contemplate whether you are ready for the move or whether you are jumping the gun. A good sign that you are ready is that you have a steady cash flow and not enough room to operate.
What’s The Cost Of Living?
Another sign that you are ready to move is that you can afford the cost of living. Businesses, for the sake of their brand, like to move into a hip and happening area. However, what they forget is these areas are a lot more expensive than their current residence. Before they know it, the rent alone is enough to bankrupt them and put them out of business. Although it sounds obvious, always work out your budget for rent and licenses for your new premises. The odds are that they will be a lot higher than where your company currently resides.
Can You Afford The Move?
And that doesn’t just mean will you survive when you move. That means can you afford to pay for everything that goes into a move. Of course, you are going to need to hire a decent team of movers because you can’t do it alone. Then, you are going to have to tie up the contract with your current building manager, which might mean forking out to pay off your remaining balance. And just to round it off, you will need to put down a deposit and a month’s rent on your new premises. The cost of moving alone is huge.
Is It Going To Hinder Your Clients/ Customers?
Even though the move is about you, it will also affect your customers and clients. It sounds petty I know, but people won’t like the fact that you are moving out of the area. For one thing, it makes it harder for them to secure your services. If you move into a new area, you could alienate a big faction of your customer base, and that will affect your profit margins. If you are a company that boasts about being a local brand, you need to stay local. That doesn’t mean you should work out of a box office, but you do need to be careful where you move.
As long as you take these considerations into account, the move should go like a dream.
