It’s all about location, location, location in the world of business. A good location can give you an advantage over your competitors, plus keep your staff happy.
Here we take a close look at the benefits of finding the perfect location – even if you don’t actually work there.
1. Taxes and regulations
The location of your business will determine the taxes you have to pay and regulations you must follow, so you need to do your homework.
A quick look will show you that rates vary from area to area. Obviously, having to pay higher rates is going to take a bigger chunk out of your profits, while lower rates will mean you keep more of what you earn.
Note that the Government sometimes reduces the cost of locating in certain areas in a bid to improve them.
2. Operating costs
Sticking on the subject of money, location can also influence the overall cost of your business operation.
For instance, renting or buying a property in a high-profile area is likely to be expensive. You need to weigh up the pros and cons of such a move, plus ask yourself whether you can afford it in the long run.
If not, you must consider a cheaper alternative. After all, business is all about profit. Things like shipping costs also vary depending on where you’re based, so remember to keep this in mind as well.
Strong competition in an area can be extremely bad for business. If a number of companies are selling similar products or services to you, then you could struggle to hit sales targets and turnover will suffer.
Ideally, you want to be based somewhere with few direct competitors. That’s the dream for most businesses.
If you’re working on a tight budget, a virtual office can help. It gives the impression of an actual office while keeping your costs low by working from home. Furthermore, you can use additional facilities on site, like meeting rooms if you need to meet clients, so no-one has to know it’s not your place of work.
Where you decide to set up shop is vital. Your business needs to be accessible for employees and customers.
In terms of your employees, they need good transport links to make the daily commute more bearable. You should therefore look for a location that is situated within walking distance of rail and bus services.
The same goes for customers. You need to be accessible. Operating in a small area that doesn’t have many connections will do you no favours.
A close proximity to retail shops also helps keep your workforce happy. It means they have somewhere to go on their breaks, whether it’s picking up a bite to eat or getting some shopping done.
5. Communication links
While transport is an important factor, you also need to find a location that has access to excellent information technology links.
The internet is essential for modern business, so a strong and speedy connection could make a huge difference to your operation. Email, social media and online research are all part and parcel of the daily grind.
Then there are telecommuters. If you employ workers at locations across the UK, or around the world for that matter, you will need a connection that is reliable and up to scratch. We’re talking about superfast broadband.
The 4G rollout across the country continues to gather pace, so find out which regions are up to speed.
Posted by The Secret Businessman